Unfortunately, many potential home sellers realize a little too late that the new windows they installed last winter or the swimming pool they added this summer did not provide a dollar-for-dollar increase in their home’s value. Frankly, there are almost no improvements that will accomplish this task, but there are some expenditures that come close; these are where a homeowners should focus their home improvement dollars, especially if their home is inferior as compared to others in the neighborhood.
Landscaping updates: This is one area when you can recoup your full investment, particularly if you are replacing dead grass, shrubs, or trees. The importance of curb appeal to getting showings at your home can not be underestimated and attractive landscaping will help bring them in. Speaking of curb appeal, the next best return on your investment is doing an upscale siding replacement job. This can provide in excess of a 100% return as well.
Bathrooms and Kitchens: A medium-priced bathroom remodel or minor kitchen renovation will provide between a 98% and 102% return according to a joint survey done by the National Association of Realtors and Remodeling Magazine. Further down the list we see adding an attic bedroom suite with bath, putting in a new deck, and replacing windows.
The important thing to remember is not to over-do it. A $20,000 bathroom renovation will not get you as much of a return as a $10,000 remodel. You also need to take your specific home into consideration. Where is your home falling short relative to others in the neighborhood? What are buyers in your price range looking for? Is there anything in your home that is an obvious detractor for a potential buyer? For some homes this might be something as simple as replacing some appliances or a front door; but, keep in mind, it is not what you would be looking for, it is what a buyer would be looking for that will have the highest payoff.
For more information, or to obtain a complimentary Comparative Market Analysis on your home, call us at (281) 827-3707.