Upsizing: when and how to do it

For many homeowners, there eventually comes a time when you begin thinking about moving into a bigger place.

Whether your family is growing and your current home is becoming a bit too cramped, or you’re just looking for a change of scenery, there are many reasons to upsize.

It’s important to note that upgrading into a larger home can come at a significant cost. As such, there are a number of things you should consider before you make your move.

1. What can I afford?

Upsizing into a larger home often means buying something more expensive and you may be able to use the equity you’ve grown in your current property to purchase your next home. Keep in mind however, that only a certain proportion of your equity can be used.

2. What are the costs involved?

Upsizing can work out to be quite an expensive exercise once you factor in the costs involved. There are expenses such as stamp duty, refinancing, agent fees, legal and conveyancing fees, building and pest inspection reports, and removalists to help you move your possessions.

3. Should I sell my home or use it as an investment?

You may decide that you do not want to sell your current property and instead, use it as an investment property. If you do keep your current property as an investment, you need to make sure you are financially comfortable paying two mortgages at the same time.

4. Do I have a plan for when I sell and buy?

Timing your decision is an important consideration. Will you sell your home first then buy, or buy your new home first then sell? You may not be able to buy a new property if you don’t sell your current home first, but what happens if you do sell, but are unable to buy the next place in time? You may end up without a roof over your head, so you’ll need to have a backup plan in place if the timing does not work out.

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Upgraders guide

This guide covers all the important aspects of deciding the next move. It's essential to evaluate all the financial options and costs involved in selling a current home and buying a new one.


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There are many elements to consider when you’re thinking about upsizing. It's therefore a good idea to speak to your local Mortgage Choice broker who can walk you through the best options for your situation.

By using our home loan repayment calculator you can work out what your minimum weekly, fortnightly or monthly repayments would be for the amount you are planning to borrow. Click here to access the calculator.

This article was originally published on 22 February 2018, and has since been updated.
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