There are numerous reasons why you might want to remodel your home: for the safety, for the convenience, or for the aesthetic.
If you’re considering which projects will give you the biggest benefit down the line, you want to count on those that will raise the value of your home when it comes time to sell.
Fortunately, you have quite a selection to choose from. Here’s our guide to projects that will raise your home’s value:
Small scale projects can raise your home’s value
Not all of us can afford to put in a new deck, or transform our attic into a new bedroom. So what are your options if you’re a new homeowner that’s strapped for cash, but hoping to make some improvements for the long run? These ideas from DIYNetwork provide some guidance:
Inspection Asking a professional contractor or designer to visit your house for a free consultation is a great way to generate ideas. Our advice? Ask them if they can identify anything that needs replacing, such as deteriorating roofs or any outdated installation. These kinds of of problems may be small for the moment, but they can grow into much larger issues if left unattended.
Quick replacements Don’t be afraid to do some smaller projects yourself. Believe it or not, but replacing old fixtures and any worn furniture, or even painting a room yourself will add value to your home and can be done without the help of a professional. It could also be a great way to make the most out of a weekend!
Cut energy costs Getting a free energy audit from a local utility company is a great way to see where your home could be more energy efficient. This inexpensive first step will lead you down a path towards bringing your home into a more sustainable future. While it may require you to embark on larger projects like installing solar panels, you also might have the option of replacing a ceiling fan, or putting in a water filtration system in your kitchen. Either way, a more energy-efficient home will be a more marketable home!
Update your curb appeal
Not all home renovation projects are done to the home itself. The resale value of your home will also be impacted by your house’s “curb appeal” - or, what it looks like to people pulling into the driveway or simply passing by.
The best way to vastly improve your curb appeal is with landscaping projects. Replacing any weeds and dead grass with new sod, planting a tree, or even cutting down some unruly hedges will make your home look more welcoming to buyers.
According to HGTV, the usual return at resale for landscaping projects is 100%. That’s not too bad when you consider that the average homeowner spends around $3,500 for landscaping and $1,400 on landscaping designers, according to the American Nursery Landscaping Association.
If you’re looking for a bigger project:
For any larger-scale projects, you can easily find estimates online as to how much they will cost and what your projected resale rate is. The National Association of Realtors (REALTORS) compiled a list of the best projects that add resale value in their 2019 Remodeling Impact Report. Here are some quick notes from their findings:
New roofing In addition to making your house look better, new roofing can make a house much safer. The REALTORS estimates that a new roof, on average, costs about $7,500, while an estimated cost recovered of $8,000. In total, that means you’re getting 107% value recovered from your project when you resell your home. New roofing gets their top rate for value-added.
New wood flooring Installing new wood flooring in your house came out as REALTORS second choice for picking a remodeling project that will raise your home’s value. According to Dr. Jessica Loutz , Vice President of Demographics and Behavioral Insights at REALTORS, this project usually costs around $4,700 to complete, with an estimated $5,000 in costs recovered. That means there is a 106% value recovered from the project overall - not bad for some fresh maple!
Hardwood flooring finish If you think you might need to refinish your hard floors, you might be onto something. REALTORS estimates that putting a fresh finish on your wood floors will result in 100% costs recovered when it comes time to sell your home. “You’re going to get all the bang for your buck on those,” Loutz said. Of course, you’ll want to check out our guide on refinishing your floors before you get started.
New garage door Whether the old one is broken or is just an eyesore, a new garage door will help your house in the long-run. REALTORS gives this project a 95% value recovered rating. When you plan on bringing in prospective buyers, a new garage door is a great way to dazzle them the moment they pull into the driveway - remember, “curb appeal.” “You can really tell when someone’s got a new garage door,” Loutz said.
In total, the 2019 REALTORS report examined the average cost, recoup price, and value recovered for 20 home renovation projects. 12 are internal projects and eight are external.
REALTORS sourced from a pool of 3,000 volunteer members of the National Association of Realtors for their findings. Here is a summary of what they found:
|Project | Cost Estimate | Estimated Costs Recovered | % Value Recovered from Project | |---------|---------------------|----------------------------|-------------------| |New Wood Flooring |$4,700 |$5,000 |106%| |Hardwood Flooring Refinish |$2,600 |$2,600 |100%| |HVAC Replacement |$8,200 |$7,000 |85%| |Insulation Upgrade |$2,400 |$2,000 |83%| |Basement Conversion to Living Area |$46,900 |$30,000 |64%| |Complete Kitchen Renovation |$68,000 |$40,000 |59%| |Bathroom Renovation |$35,000 |$20,000 |57%| |Attic Conversion to Living Area |$80,000 |$45,000 |56%| |Kitchen Upgrade |$38,300 |$20,000 |52%| |New Master Suite / Owner's Suite |$150,000 |$7,500 |50%| |New Bathroom Addition |$60,000 |$30,000 |50%| |Closet Renovation |$6,300 |$2,500 |40%|
|Project |Cost Estimate |Estimated Costs Recovered |% Value Recovered from Project| |--|--|--|--| |New Roofing |$7,500 |$8,000 |107%| |New Garage Door |$2,100 |$2,000 |95%| |New Fiber-Cement Siding |$19,700 |$15,000 |76%| |New Steel Front Door |$2,000 |$1,500 |75%| |New Fiberglass Front Door |$2,700 |$2,000 |74%| |New Vinyl Windows |$22,500 |$16,000 |71%| |New Vinyl Siding |$15,800 |$10,000 |63%| |New Wood Windows |$35,000 |$20,000 |57%|