Looking At the Cost Vs. Value of Home Improvement
Home improvement has twin benefits. Firstly, it makes your home a more enjoyable place to live in. Secondly, it increases the resale value of your home. However, one should remember that not all home improvements willincrease the resale value. So before you undertake any remodeling project or desire to update your home, it is best to do a little homework to find out whether the project would increase home value or not. You can start your research by looking at the Cost vs. Value report, which is published annually in the National Association of Realtors and Remodeling magazine. This report provides a city-by-city guide on what various home improvement projects will payback at resale.
You can also discuss your remodeling project with a real estate agentwho is familiar with housing in your area. He should be able to quickly compare values of properties with and without the improvement projects you are planning.Find out how much the project will cost and how much you can expect to get back, let us say, ten years down the line.
Now let us look at which home improvements will add value to your home. Adding a bathroom or remodeling an old bathroom is always considered a smart move. According to the Cost vs. Value report homeowners can recover 86% of the average $23,000 in construction costs upon resale. Bathroom remodeling is more lucrative because homeowners can recover as much as 102.2% of the cost upon resale. So if you have been thinking about remodeling your bathroom for a long time, it is time you make a budget and start with it. Of course, when decorating or updating any bathroom, be sure your bathroom design includes a conservative style and neutral colors. Although the thought of yellow and purple colored-tile might wake you up in the morning, it might not be acceptable to the next owner of your home.
Kitchen remodeling is another great investment. Home buyers usually look at the kitchen first when they are looking at a home to buy. A brand new looking kitchen fitted with new gadgets or high end kitchen applainces is always appealing and effective in incyour home value. If you are investing in kitchen remodeling, youmight be able torecoveras much as98.5% of the cost upon resale. So for the time being you can enjoy your new kitchen and ten or twenty years later when you are selling your home you will get your investment back. again, just don't go to crazy in kitchen design or color.
Attic remodeling is another great home improvement project to increase home value. You can expect to recover around 94% of the cost upon resale. Think about it, you can create a whole new living space in the attic. Adding a bedroom, closet, new windows and bathroom in the attic greatly improves the resale value of your home. It is also a great place to stick that teenager looking for their own space.
Check with a realtor in your area before you remodel your attic because attic remodeling might not make sense in your area. For example, if you are living in Florida, living in the attic in sweltering heat will be impossible.
The fact islooking at the cost vs. the value of a home improvement project, not all home improvement projects are economically worth doing. On the other hand, make the changes you feel necessary to support your comfortable and happy life. Just remember that the average family stays in their home approximately 7 years, and the average family does not like yellow and purple bathroom tiles in their bathroom!