If you’re planning on selling your home in the future, there is no doubt you want to do everything possible to get a great deal; certain projects can add significant value to your home. So which home improvement projects should you invest in? Below are some helpful tips for home improvement projects that can increase the value of your home.
1. Remodeling the Kitchen
Most people don’t want a home that has an outdated kitchen. When you modernize your kitchen, your home value will go up and it may make it significantly easier to sell. Because we spend most of our time in the kitchen, updates here really pay off. According to HGTV.com you can expect to recoup 60%-120% of your investment on a kitchen remodel. In addition to increasing the value of your home, if you decide to stay put a brand new kitchen can renew a love of cooking and make you eager to entertain. You’ll be able to add more space to move around and you’ll probably increase storage as well.
2. Remodeling a Bathroom
According to "Remodeling" Magazine, remodeling an existing bathroom was more profitable in terms of resale value than adding one on. QualitySmith.com states that if you are in the process of taking care of necessary repairs throughout the property, and you include a bathroom remodel as part of the home upgrade, you can expect to see as much as an 80% return on your investment.
In addition to improving your bathroom’s appearance, remodeling allows you to make better use of space. Bathrooms are often too crowded, especially in an older house. Today there are many new furniture and fixture choices that look great and take up less room, so you can make the best of the space that you have. With the right fixtures, décor, and a great tub, your bathroom can become an oasis to relax and sooth away the stress of the day.
3. Adding Energy-Efficient Windows
These days, buyers shop for homes with energy efficiency in mind -- so old, drafty single-pane windows are a major problem. Energy Star claims that adding Energy Star-rated windows can save you up to $500 a year in heating and cooling costs by making your home more energy efficient. According to HGTV, you can expect to recoup 60%-90% of your costs when you invest in energy-efficient windows. You may also receive a green energy tax credit of 10% for this upgrade, as long as you install Energy Star-rated windows. There may be additional credits from the state or utility company as well. Since new windows save you several hundred dollars a year and you receive a tax credit, you will recoup your window investment sooner than you think.
4. Finishing a Basement
Beyond the functional, social, and environmental benefits of finishing your basement, it also significantly increases the value in your home. Finishing a basement offers the best price per square foot of any remodeling project and is very marketable, especially for large families. You can receive as much as 150% return on your investment with a finished basement.
There are an endless number of ways that you can use the space. Basements frequently work well as second living rooms or bedrooms, a child’s playroom, a game room with a big screen TV and pool table, a home theatre with surround sound or a gym. A finished basement often ends up being a favored room in the house and where most family members prefer to spend their time. A well insulated basement is commonly the coolest place in your home during the summer and the warmest in the winter. With today’s new technologies and specialized products, it is easy to be comfortable in your finished basement without paying outrageous energy bills.
If you’re looking to improve the value of your home while providing the immediate benefits of a remodel, finishing a basement accomplishes both, increasing square footage and value simultaneously.
5. Adding a Deck
Building a deck can be a smart and enjoyable way to maintain or improve home value. After all, it's less expensive than building an additional room but it still expands living space and bridges the gap between indoors and out. Robert Markovich, home and yard editor for Consumer Reports says "It's safe to say that a deck is one of the more cost-effective things you can do. Decks are really a high-return item."
Outdoor living spaces have become more desirable, especially since more people are staying home for vacation than in previous years. If you make your deck and your backyard more comfortable, your house will be more appealing to prospective buyers if and when you decide to sell. HGTV.com claims that homeowners recoup 65%-90% of their investment by adding a deck. Improving your outdoor living space is a smart move in today's uncertain economy.
For more information on anything you see in our newsletter or if you'd like to obtain a quote, contact us at 860-584-8784.