Although you may not be planning to sell your home anytime soon, the inevitable question that arises when remodeling is; how much will this improvement add to the value of my home? There’s no easy answer because some home renovations bring you more bang for your buck than others. The payoff varies since some home improvements are determined from neighborhood to neighborhood and regionally as well.
What one buyer might be willing to pay in one locale depends on many factors, such as the project choice, the materials used and the value of other homes in the area. You do not want to end up being the most expensive house on the block.
The key to adding value to your home is to focus on improvements that will attract future buyers without over-improving. However, it’s important to have some general idea of how your improvements will increase the value of your dwelling before you embark on this expenditure. So, what are the top-ranking home improvements?
According to HGTV, kitchen and bathroom improvements increase the value of your house more than most renovations. Since the kitchen is the heart of a home, it’s essential that you invest in a modern, fresh and desirable kitchen. If you’ve neglected repairs over the years, an updated kitchen can make your house stand out. Modern cabinetry, under cabinet lighting, backsplash tiling, upgraded countertops, modern faucets and new appliances will all significantly increase the value of your home. Return on investment (ROI) is 75-100%.
Similarly, bathroom renovations are the second most important room in the home in terms of return on investment. Today’s trends lean toward people remodeling the space into a spa-style bathroom. The preference towards separate showers and tubs, double sinks, and even seating areas make this area a luxurious retreat. Even if the home has limited bathroom space, there are a number of improvements, such as new faucets, updated lighting, new cabinets and floor that can improve the look of the bathroom and the value of the home. ROI is also 75-100%.
There are other top-notch home improvements that add to a home’s value, such as replacing old elements like doors, windows and siding. These improvement in general yield a better financial return on investment.
When a buyer or appraiser looks at your house, the first thing that catches their attention and focus is your front door. Upgrading your front entry can give your house the appearance of solidity and quality. This feature has a positive impact on their opinion of the home and increases its value. Adding French doors leading to the back yard or deck can also increase home value. ROI is 96.6%
Windows are an expensive proposition, but if your windows no longer enhance the facade of your home, shield it from the elements or filter out noise, then it’s time to update them. Today’s windows are energy efficient and can help you save on heating and cooling costs. They can decrease your costs by up to 25% while improving the aesthetics of your home by complementing your home’s theme and design. They are relatively low maintenance and more durable than wood. ROI is 80%
Although siding may not be glamorous, it is one of the best home improvements for adding value to your home. Here is your chance to make a great first impression by updating your old siding, or adding new, because the exterior look sets the tone of what potential buyers will find inside the house. Vinyl siding is an affordable solution to sprucing up the exterior of a tired looking home. ROI is 92.8%
In today’s competitive housing market, renovations offer a relatively affordable means to boost the value of a home. Whether the upgrades are do-it-yourself projects or professionally done renovations, remodeling will make a house not only more appealing to buyers, but also offer a great return on investment.
Contact Ridgeline Renovations to discuss how we can increase the value of your home.