With the current conditions of the real estate market – punctuated by a meager inventory of homes and skyrocketing prices – more than 60% of homeowners who are in the market are upgrading various rooms in their homes instead of purchasing a new house. Savvy homeowners have discovered the benefits of renovating their houses instead of moving to a new home.
Rather than take a chance on finding an available and affordable home to purchase, more of us are re-evaluating the interior design of our homes and identifying ways to make them more appealing and inviting. It has clearly become more popular to spend our hard-earned money on upgrades that will add to the value of our homes.
Upgrades that Will Increase the Value of Your Home
It is one of the most commonly asked questions to remodel contractors and real estate agents, which upgrades are most likely to improve the value of your home? According to Houzz, people spend an average of $13,000 every year on upgrading or remodeling projects. Meanwhile, the median – or middle – home price rose by 13 percent last year.
Specific home improvement projects can generate savings quickly and significantly add to your home's worth. Knowing which upgrades to do is especially important if you plan to sell your home in the near future, which could mean within the next two to five years.
Add Value to Your Home with Covered Patio Upgrades
Improvements to a covered patio are an ideal way to increase the value of your property. Factors that will affect the return on investment for your patio include the type of patio, design, unique features, etc.
Based on the materials, size, and features, you are likely to earn a 30 to 80 percent return on investment, or ROI. Covered patios offer a fun and unique place to relax and enjoy social gatherings. They will also add to your home's resale value.
New Paint on Your House Translates into Ultimate Curb Appeal
A recent study showed that homeowners who chose to paint the exterior of their houses enjoyed a 51 percent return on their investment.
If you have a limited budget, one option might be painting over flaking or chipping areas. After you clean the exterior and scrape away the old paint, select a shade that blends with your current color and touch up all of the rough areas.
Whether you repaint your entire house or just certain areas, in our experience, you will absolutely increase the resale value of your home. Repainting your home is one of the surest ways to improve your home value.
Upgrades in These Rooms Could Boost Your Home Resale Value
Of all the rooms in your home, your kitchen might be the most valuable home upgrade you could spend money on and enjoy a sizeable return. You'll find that home buyers will typically inspect the kitchen first before looking at the rest of the home.
The return on investment for kitchen remodels is typically substantial. For small kitchen upgrades, you could see a 77 percent return on your investment. An extensive remodel gives you an average,
58 percent return. It all comes down to what in your kitchen you want to improve or replace.
Among the best upgrades you could do to your kitchen that will yield monetary benefits are adding a new stainless-steel sink and faucet, replacing the floors, and installing new countertops and appliances.
Upgrades to your kitchen will increase the value of your home.
With your bathroom upgrade, you don't have to be super ambitious to cash in on a substantial ROI and add value to your house. Instead, simply update your flooring, toilet, bathtub, or fixtures and be creative with lighting, and you'll earn back a lot of your upfront investment.
At the time of your home resale, mid-range renovations typically recoup 67 percent of the project cost, and upscale renovations give back a 60 percent ROI.
In general, bathrooms offer you the second-highest rate of ROI, after kitchens.
You may not realize it, but your garage could be a treasure trove when it comes to receiving more home sale dollars with just some simple upgrades that may not cost you that much money.
When it comes to upgrades to your garage that will enhance your home value, you could begin with the garage door. Replacing your garage door with a more modern door can make your home appear much newer right away.
If you do not have a garage, your home is very likely to sell for far less than a home with a garage would.
Pro-Tip: If you are adding a garage, don't forget that adding a room above it won't increase the cost much but will add valuable square footage and a needed game or theater room.
The master bathroom has the highest rate of return compared to additional bathrooms.
Your master bathroom offers a financial windfall when it comes to ROI. You could, on average, recoup anywhere from 64 percent, or $13,688, of the cost for a mid-range remodel and as much as $37,995 for an upscale upgrade/remodel or 56 percent of the cost, according to the RenoFi Renovation Index.
You might consider certain upgrades to your master bathroom, such as installing fan timer switches. For example, how about having your toilet room fan and shower fan operating on fan timer switches instead of the typical on/off switches.
You don't have to limit your lighting to just ordinary bathroom lights. For example, having a non-traditional pendant light over your bathtub could be a feature that adds to the allure of your master bathroom while also increasing your home resale value.
If your current master bathroom is not connected to the master bedroom, you may think about a remodel that will combine the two. This will right away enhance the value of your home. However, if a significant upgrade is wanted, you may consider a master suite. This fantastic upgrade will give you the ultimate in comfort and make your home more memorable when it is time to sell. (bidding war, anybody?)
The den is the ideal room in your home to enjoy some peace and quiet and get comfy with a good book. As comfort is the paramount quality of your den, you want to make sure the upgrades will be consistent with promoting a relaxing, calming vibe.
For upgrades to the den, consider making changes that include lightening, brightening, and updating this space. Examples might be adding luxe lighting, adding a sectional, or adorning the floor with a beautiful vintage rug. Ultimately, you should strive for a modern and inviting den.
Remodeling your den will also add to your home value.
Call on the Home Remodeling Experts at 3Rs Construction & Remodeling
Do you want to increase the value of your home? Then we suggest you undertake some or all of these upgrades. We invite you to talk with one of our skilled professionals at 3Rs Construction & Remodeling as you uncover some creative upgrade ideas that will boost your home resale value.
Call us today at (503) 363-1059.