Adding Value One Improvement at a Time! (and some that don’t)
If done properly, remodeling and renovations can improve the quality of your property while also raising its worth. However, not every remodeling is created equal. While some renovations can significantly increase the value of your property, some initiatives may actually lower the sale price. What then should a homeowner do?
PROJECTS TO INCREASE THE VALUE OF YOUR HOME
1. REMODEL THE KITCHEN.
It pays off to update the kitchen. Modern, modernized kitchens are in high demand from potential homebuyers.
The annual Cost vs. Value Report for 2018 from Remodeling Magazine estimates that you can expect to recuperate 62.7 to 81.6 percent of your investment in a kitchen remodel. Don't go overboard, though. It's not a good idea to add a $80,000 kitchen to a $125,000 house.
Start small while redesigning a kitchen at initially. Replace the kitchen faucet, add new cabinet hardware, and install more energy-efficient light fixtures in place of the outdated ones.
Instead of rebuilding the cabinets, repaint them or engage a business to have the cabinet boxes refinished and new cabinet doors, drawers, and hardware installed. Your kitchen will look better overall as a result of these minor adjustments.
2. UPGRADE THE APPLIANCES.
Consider buying new doors and face panels from the manufacturer if your appliances don't match. Without the expensive costs of upgrading the appliances, this will offer your kitchen a more unified appearance.
Replace old appliances with new energy-efficient ones that use less energy and are better for the environment. Your eligibility for a rebate from Seattle City Light may even be valid. When looking for a new house, potential buyers frequently seek out ways to save money.
3. ENHANCE THE BATHROOMS.
The Cost vs. Value Report states that bathroom remodels will return 87.7 to 93.5 percent of your investment. Take it easy, just like in the cooking. Re-grout the bathtub, paint the space to make it more cheery, and install new fixtures. A new mirror and lighting fixtures can quickly update a bathroom's appearance.
4. SET UP Safe haven. GET DECKED OUT.
Adding a deck is beneficial if it has a high return on investment. Decks improve the living space while costing less to build per square foot, which is one explanation for this.
A wooden deck that costs around $13,084 to build will, on average, recuperate 106.7 percent of its value at sale in the Seattle area, according to the Cost vs. Value analysis. A composite deck will typically recuperate 122 percent of its cost at sale and costs about $19,227.
5. BOOST CURB APPEAL.
Initial impressions matter. A new walkway might be added or your home's siding can simply be scrubbed in order to improve curb appeal. Effectiveness does not necessarily require high cost.
A quick and inexpensive option to instantly enhance the appearance of your home is to install a new front door. According to the Cost vs. Value Report, a new front door is among the top home renovations.
For a final appearance, prune the shrubs and mulch the bushes and trees. With a flowerbed or geranium pots, add some color.
To get rid of years' worth of grime buildup, scrub the siding of your home. Touch up any scuffed spots.
Don't overdo it, just like the majority of the stuff on this list. Although it would be lovely, adding a backyard paradise won't increase your asking price. The only thing you actually need to increase the "wow" factor is a well-kept lawn and some strategically planted bushes and greenery.
6. REDEVELOP THE BASEMENT OR ATTIC.
The cost of expanding the floor space of your home might rise quickly and beyond the initial estimate. Remodel the existing space in your home rather than attempting to add more. Think of the attic as an additional bedroom or a gym. Repurpose the basement to serve as a family area. The more adaptable a space is, the more attraction it has to potential owners who can customize it.
7. MAKE ENERGY EFFICIENCY BETTER.
If your home has drafty doors and windows or inadequate insulation, a home inspector will remark this. All of this increases energy use, which costs the homeowner money. Start with simple upgrades like increasing the attic's insulation. To stop energy losses, caulk the cracks around doors, windows, light switches, and electrical outlets.
Single-pane windows that are drafty may deter potential purchasers. Saving money on heating and cooling expenses can be achieved by installing Energy Star-rated windows. You are also eligible for a green energy tax credit if you upgrade to an Energy Star-rated product.
Window replacement may not considerably increase your asking price because purchasers expect windows to be in good condition before they make a purchase. But failing to replace them can make things worse.
PROJECTS THAT MAY NEGATIVELY IMPACT VALUE
Some home renovation initiatives can actually lower the value of your house when you decide to sell it. According to the general rule, a project's likelihood of having a positive impact on resale value decreases as it becomes more tailored to your individual needs, preferences, and personality. Even while you might adore your home recording studio, a young family might not. They might stop visiting the house entirely if they have to redecorate the space.
However, this does not imply that you cannot complete any of the listed projects. However, do not anticipate that a potential buyer will pay extra for your $10,000 cooking range or the marble floors in the bathroom.
1. SWIMMING POOLS
Although an in-ground pool may seem like the ultimate luxury to you, its value may be significantly impacted. Families with young children could view swimming pools as potential dangers. Some potential purchasers don't want to pay the higher energy and insurance costs linked to pools. Also think about if it can be used all year. A pool could be an appealing selling element if you reside in Florida or southern California. A pool, though, in Seattle? Not really.
2. LUXURY UPGRADES
Even if you may adore the marble flooring in your bathroom, a buyer might not be willing to pay extra for it. Except in extremely high-end homes, the best quality upgrades frequently don't have the same resale value as quality mid-range upgrades. Instead, spend money on enhancements like high-quality flooring, appliances, and furnishings.
Maintain parity with your neighbors in terms of your upgrades. The most costly house on the block is not something you want for your home.
3. GARAGE CONVERSIONS
Although adding square footage to your home's living space by converting garages is an option, most purchasers prefer garages. The worth of your house won't rise as a result.
In the end, IT'S STILL YOUR HOME.
Remember that it's your home after all when you begin by concentrating on little renovations that improve the aesthetics and energy efficiency of your house. While you live there, enjoy the home, but be conscious that not all improvements will be profitable when it comes time to sell.
ARE YOU STILL CREATING VALUE IN YOUR HOME?
Compared to credit cards, personal loans may have cheaper interest rates and provide you more freedom to use the money anyway you see fit. We are aware that if your credit isn't in the best shape, being approved for a personal loan—especially one with a low interest rate—can be difficult. Pre-qualifying for a personal loan gives you an idea of how much you might be able to borrow, which can be useful when making financial decisions.
If you need financial guidance with your home improvement projects, Jacobs and Co. Real Estate (www.jacobsandco.com) Our company's experts will sit down with you and talk about your goals and work to find your dream home. Call us today at (703) 594-3800 to get started.
JACOBS & CO. REAL ESTATE, LLC.
12923 Fitzwater Dr. Nokesville, VA 20155
(703) 594-3800 | jacobsandco.com