After recently moving to an older home in a new city, my parents decided to make some changes to the home. They wanted to make the house from 1968 more modern and knew they only wanted to make renovations that would increase the value to the home. The previous owners had built on a room and included a hot tub built on a cement slab in the room. That was the area they wanted to fix and also wanted to update the kitchen. The results of these fixes and renovations made a world of difference in their enjoyment of their new house and to the value of the home. They researched several ideas for the changes they wanted to make and below are the seven renovations to add value to your home.
Adding or upgrading a bathroom can yield an 80-130% return on your investment. Think about taking out carpet and putting in tile. Another affordable change is upgrading the sink and the fixtures. These small changes make a big difference.
The kitchen is known as the heart of the home. Everyone gathers in the kitchen for family time or even at parties. Giving the cabinets and counters a more modern look are great choices in kitchen renovations. Think about adding more counter space for another great way to add value. Using energy efficient appliances in the kitchen not only saves you money, but also adds value to the home. These renovations in the kitchen can give you a 60-120% return on investment.
3. Curb Appeal
Curb appeal is the first impression of your home. It shows your neighbors you have pride in your place and when it comes time to sell your home, it gets buyers excited to look. Keep your trees pruned and your landscaping clean. Adding a stone pathway to the door and solar lights will add value to your home. Upgrading your front door will also complete the look. $400 – $500 can yield 4x the return.
4. Deck Addition
Outdoor living has become more important to young professionals. Make your outdoor space interesting. Create an interesting shape, add a built-in fire pit, garden beds and/or benches to add value to the space. These changes are DIY friendly and also may yield a 65-90% return on investment.
5. Create Space
Whether you add a room onto your home or create liveable space in your home, more space can equal a 66% return on investment. Remove walls to create an open floor plan by combining the living, dining and kitchen areas. Also consider letting in more natural light to make the space feel warmer and bigger. All of these will help add value.
6. Go Green
The average cost to add solar power to your home is around %7,000. With many states offering rebates and tax breaks to add solar the costs can be driven down quite a bit. These changes can decrease your utilities by about 80%. Although inspectors do not add value for solar yet, the question comes up more and more from buyers. This makes the interest in a home with solar an area that is growing. Another way to gain on savings and value to your home is consider energy efficient windows, appliances and light bulbs.
7. Continual Care & Maintenance
Another way to ensure your keep and add value to your home is to keep up regular care and maintenance. Fix things like leaks and rusty rain gutters as they break so a potential future buyer knows the house is turn-key ready to move into and also decreases the opportunity to negotiate the price down. a couple hundred here and there can increase value by a few thousand when it comes time to sell.
Tips to Renovations
- Do not go overboard with renovations. Using very expensive or unique elements can actually take away from the value or make it difficult to find the right buyer.
- Flooring, fixtures, painting and lighting are great cost effective renovations that will almost always increase value.
- Consider renting a self storage or portable storage for your belongings during the renovation. This will keep a clean and clear work area.
Good luck on your renovations! I hope your work makes your home more comfortable and adds value should you ever decide to move.