Not all home renovations will boost your home’s value. And with increasing fears of drops in home prices due to the pandemic, finding ways to add significant value to your home is essential.
So, if you are planning to sell your home any time soon, you need to know the kind of renovation projects that can offer high returns and those that you need to avoid.
First, we’ll begin with those that will allow you to recoup your investment and raise your property’s price.
Improvements That Add Value to Your Home
A kitchen renovation is always a good investment. While a major remodel project may cost you up to $12,000, it can give you a return of over 70%.
As you plan for your kitchen renovation, you need to know that not all investments give substantial returns. So, you need to select elements with care. Here are some useful ideas:
- Replace your old kitchen worktop or countertop
- Refresh the walls with paint
- Resurface or replace cabinets
- Add new high-quality taps to your sink (please visit RenovationKingdom for more information)
- Equip the kitchen with energy-efficient appliances
These are not the only renovations you can perform on your kitchen, but they will increase your home’s aesthetics and market value.
Bathrooms are major talking points for many home buyers. A stylish, modern, and functional bathroom can be a solid selling point.
The average return on a bathroom renovation can be as high as 70%. And you don’t have to do a complete makeover before you achieve that.
When you are working on your bathroom, here are some projects that bring high returns:
- Upgrade the floor and backsplash
- Invest in a slab countertop
- Add water and energy-saving fixtures
- Add a few luxury features like a heated floor or heated towel rack.
If you live in a colder region of the world, installing a new boiler is a wise investment. You could even set up a new central heating system.
Modern heating systems are energy efficient and they tend to attract enlightened homebuyers that focus more on the total cost of owning and maintaining a home rather than the initial purchase price.
Remember that the boiler or heating system is one of the basic appliances in a home. So having an outdated or inefficient boiler will turn away those potential buyers.
Adding Fresh Paint
Painting your home is the best way to renew its visual appeal, be it indoors or the exterior. You’ll love to live in a freshly painted home, and buyers will feel the same way when they can see it for themselves.
To get the best effect from painting, you need to choose your colors carefully. Two colors you may consider using are neutral grey and a vibrant yellow. This combination gives an energizing feeling to your living spaces, and the colors blend with different decor styles. Avoid choosing darker colors, as they generally contribute to the visual reduction of the available space.
Front Yard Attention
Your front garden can help you secure a sale if done correctly. Just imagine the sight of pulling up in front of a bed of sweet-smelling roses, or any other aromatic and colorful variety of flowers. Many potential buyers will not only appreciate a well-designed front garden, they too will appreciate the fact that someone else has done the hard work that they can then enjoy.
There are many different flower varieties out there, and your personal taste will guide the choice for your front garden, but we recommend that you start with some classics like gerberas, marigolds and dahlias.
Adding Smart Devices
Installing energy-saving devices is not only good for our planet, but it is also good for your pocket. So which smart devices should you install?
The first three smart devices you should consider are:
- Installing smart lighting – LED bulbs that you can easily automate and control through a smartphone app.
- Adding eco-friendly kitchen appliances
- Installing double-glazed windows
Improvements that Don’t Add (Substantial) Value to Home
Creating more space by expanding a master suite is not a wise investment today. If you plan to sell your home in the future, don’t create the ultimate luxury suite.
With the restrictions imposed by the pandemic, more families need private spaces for quiet work and homeschooling. So, open plan ideas should best be avoided at this time.
Building a Swimming Pool
Spending time outdoors in your yard offers many benefits. But building a swimming pool for outdoor recreation will give you a low return on your investment. And let’s not forget that the original outlay is probably going to be considerable and continued maintenance will be required.
Instead of a hole in the ground, you will earn a higher return on creating a good relaxation spot in your garden for family gatherings.
Converting loft space is a fairly popular home improvement project. However, it’s an expensive one that could cost as much as $40,000. While it may add about 10% to your home value, the returns on the current average house price could easily lead to a loss. So, if you decide to create a loft, you must do more research to avoid substantial losses.
Fixing Solar Panels
Solar panels are part of the “green” home features, all residences should have, however, if you happen to reside in a country that has little to no incentives offered in return, make it a somewhat questionable proposition.
Solar panels and solar energy can be particularly useful in places where there’s an average of 8 to 10 hours of sunshine daily. However, should you find yourself in a place with less than ideal weather conditions or that your local government offers no schemes to help offset your investment in the technology, it makes little sense to commit to such a project.
Installing a New Wine Cellar
Perhaps a little on the extravagant side, if you are a true wine lover, you may decide to install a wine cellar in your home. While the idea seems great if you have an extensive (and expensive) wine collection, it will be a costly project.
Undoubtedly, it can be a unique feature to attract other wine lovers, but you might find that not many people will value your cellar, and it may set you back by thousands of dollars in construction and upkeep.
We’ve looked at home improvements that will add value and those that won’t. As a general rule, if you want to make renovations that will give high returns, focus on repairs and renovations that affect the basic elements such as water, electrical installations, heating systems, home structure, and energy efficiency.