Homeowners often wonder whether their remodeling efforts will be worth the investment when it comes time to sell their home. In this article, we will review what types of remodels will pay off, and which will be enjoyed in the time the homeowner remains in the home, but may not fetch a higher sales price.
What Kind of Renovation Should I do?
A kitchen renovation is almost always a good investment in your home, with the main bathroom coming in close second. When potential buyers view the home, a great kitchen can be a Wow factor for almost everyone. This has shown to increase the value of the home, by at least the cost of the kitchen, but also may get your home sold a lot faster, possibly creating a bidding war that may also increase the selling price. There is a wide range of options and prices when renovating a kitchen that can make a huge change.
Bathrooms are another great renovation project because they are unexpected. So many bathrooms are very plain with stock materials and boring features. By adding a few premium features and materials, you can really catch a buyer’s eye. It will be something they remember when touring houses.
Another great way to increase value is your exterior, which can be called a facelift renovation. When someone pulls up to the curb and loves the look, they want to see what’s inside. Changing paint, shudders, porches, landscaping, doors, overhangs, and gutters, are just some of the options with this type of remodel.
We have only touched on the many ways you can add value to your home, but make sure you talk to a professional before starting a project if increasing value is your ultimate goal.
How In-Depth is the Renovation?
When it comes to renovating kitchens, there is hard data to show what homeowners can expect in the way of returns. Information collected about kitchens shows that work costing less than $30,000 netted more than what was spent. In cases where the money invested was more than $30,000, it was less likely that owners would recoup the funds they had put in. When the outlay was greater, for example, nearing $110,000, the return was only around $70,000. The rule of thumb is that you can do a remodel that is between 6-10% of the home's value and expect to see a good profit from your efforts.
Does it Fit In?
It should merit consideration that your renovation has to fit the style of your home, as well as the neighborhood if it is going to be an exterior project. Adding costly features in a subdivision where the home prices are modest is not going to see a return for the money, as homes are assessed by their comparative values to other similar houses.
If you're interested in learning about increasing your home’s value with a remodeling project, contact the team at Detroit Build today.
