If you have been thinking about remodeling your home, the first thing you need to do is take the time to do research. Make sure you realize that not all remodeling projects are created equal. It is important to have some idea of what your improvements might be worth to avoid any surprises when it comes time to sell your home. Renovating, remodeling, and improving your home can be great ways to give it a makeover, gain extra space, or otherwise make it possible for you to stay in one place longer. But will they increase your selling price? There is no easy answer whether you will make your money back from remodeling when it comes time to resell.
Certain projects add more resale value than others. Kitchens, bathrooms, outdoor improvements, roofs and windows are some that generally have the best financial impact. People like to see modern conveniences and styles in the kitchen. Especially in older homes, kitchen improvements tend to add value. Second to kitchen remodels are bathroom remodels. Again, modernizing older styles or appliances usually result in good returns. Your house makes a first impression quickly, so sprucing up its outdoor appearance is a smart investment. This includes siding (fiber cement tends to cost the most, but has the best return) and landscaping, particularly in the front yard. Roofs and windows are expensive to replace, and buyers expect these to be in good condition. Unfortunately, that means that while replacing them will not dramatically increase resale value, not replacing them could significantly decrease it.
There are some general indicators that a project might have negative resale value. Luxury upgrades, rooms that do not fit with the floor plan, garage conversions and swimming pools are examples. While no one wants to see the absolute cheapest renovations in a home, the highest-quality upgrades often do not offer the return of mid-range ones, unless you are in a very high-end home. Marble floors in the bathroom or custom cabinets in the kitchen may be nice, but you should not assume buyers will pay proportionately for these luxuries.
Another item to avoid when remodeling is swimming pools. A pool may seem like the ultimate luxury to you, but when it comes to selling it could be more of a hindrance than a help. It may be seen as a safety hazard by parents with small children. Pools hardly ever return their cost, because a lot of buyers are not willing to shell out more for a house just to acquire what they consider a maintenance bother.
One thing to remember is that not all expensive remodels offer a good return on investment. More often, minor improvements can yield major dividends. The key to spending less is doing your research and spending wisely. Design and product selection are key. A kitchen “face-lift” - painting, refinishing surfaces and upgrading appliances - will return more than a full redesign. Kitchens and bathrooms are especially prone to looking dated and are usually the first rooms to be remodeled.
Even when your remodeling job is an improvement for most buyers, it adds little value if done to suit just your taste. Make sure to keep in mind the fact that you are going to sell your home someday and it pays to use styles that will stand the test of time. When choosing kitchen cabinets, countertops and flooring, aim for classic or neutral colors and styles. Do not expect somebody else to pay for your unique and funky choices. Most often, these unique choices will only make the selling process more difficult.
If you are still thinking about renovating, remodeling or improving your home, check out Mid-Cape Home Centers -- Everything for Building, Remodeling and Home Improvements Since 1895. Check out: www.midcape.net
