List of Home Improvements That Increase Home Value
Renovating your home can be an expensive undertaking that will cost you time, money and inconvenience. There are many improvements that owners make to increase home value. These are prioritized based on their financial impact and how they will benefit your day-to-day life. It's important to think about your long-term goals and the value of your home when making renovations.
It is worth investing in improvements to increase the resale price of your home if you intend to sell it in the next few years. These are the home improvements most likely to increase the value of your home and maximize your return on investment. They also often reduce the time it takes to sell.
What Home Improvements Add The Most Value?
If you're considering selling your home, you might be tempted to go overboard with upgrades to get the top price at the closing table. While some projects, like replacing your garage door, doing a minor kitchen renovation, or knowing what flooring increases home value will accomplish this, others rarely boost your resale value. Here are six effective ways to upgrade your home when preparing to sell.
Remodeling The Kitchen
It's not always worth major renovations if you plan to sell immediately. A minor kitchen renovation can increase your home's appeal to potential buyers. It's important to focus on cosmetics and not structural or floor plan changes when remodeling a kitchen.
You can replace the flooring or add a new backsplash with a minor kitchen renovation. You can also refinish cabinets and add new light fixtures. You want to make the space more inviting and visually appealing without altering the main layout.
Boosting The Bathroom With Green Renovations
Major bathroom renovations can be expensive, just like kitchens. However, they are often not worth the effort before selling the house. The exception is a bathroom addition.
Minor upgrades, such as replacing light fixtures and faucets with eco-friendly versions, will improve the value of your home. Low-flow toilets and showerheads can help reduce water usage and provide a new bathroom with lower utility bills.
If you plan to sell your home soon, most real estate professionals recommend that you focus on minor repairs and improvements. You may not see a full return on investment on major kitchen renovations. Home improvements are worth the upfront costs whether you intend to sell or not. One of them is the electrical panel upgrade.
Electricians at Travis Electrical Service say there are many benefits to upgrading an electrical panel. Safety is the primary reason. The risk of fire increases as wiring and connections deteriorate over time. You should upgrade your fuse box if you have one.
Another important consideration is your home appliances; lifestyles require more power each year. Modern appliances and electronics can be plugged into the electrical panel to increase the capacity of your home.
Your resale price will increase if you have an electrical panel upgrade. You risk losing potential buyers if you don't include the upgrade. It could make your home less attractive as compared to other homes and keep it on the market longer. Potential buyers can negotiate the price based on the upgrade or add a contingency.
While it may not be as striking as a cosmetic upgrade, upgrading an electrical panel is well worth the cost.
Increase Functional Living Space
Potential buyers will appreciate the value of a functional, more comfortable, useful living space. You might even find that you want to stay in your home longer once the renovations are complete.
You can quickly spend more than you originally budgeted when trying to add square footage to your home. Renovating the existing space in your home is a better option than adding on. A bedroom or workout space could be created in the attic. Create a family room in the basement. Those who can personalize the space are more likely to purchase a versatile room.
A basement is a great way to expand your living space. You can effectively double the marketable square footage of your home by enclosing the walls, adding lighting, and finishing the floors. Frame the space to create additional rooms.
A home office can be a great way to increase the value of potential buyers. Many people are still working from home after the pandemic. You can use your garage to add finished space and show how it can be used as a multipurpose space. A patio or covered outdoor living area is another great value option.
Boost Curb Appeal
Property experts say highly-attractive homes sell for an average of 7.7% more than comparable homes that don't have curb appeal. Your homes attractiveness can impact your selling price by tens of thousands of dollars so it is worth investing time and money in basic exterior work.
When improving curb appeal, landscaping is a key feature. It's important not to overdo your landscaping when improving your yard. Although beautiful, intricate gardens can be stunning to look at, they can be intimidating to modern buyers. They are fun to see but difficult to maintain. Prospective buyers need to be confident that they can handle landscaping improvements.
The front door and entry are two of the most important areas of your home. You can paint your door or get a more energy-efficient one to increase your home’s value. Add planters and a house number for a noticeable improvement in curb appeal.
Natural Lighting: Increase Your Success
This important work can help reduce the time and cost of replacing windows in older homes. It comes with a substantial upfront cost. It's worth investing in natural lighting if you choose this route.
Cosmetically, natural light is what sells a home. It is worth investing in window upgrades to improve natural light. You can also consider adding light fixtures in areas that are not easily accessible from windows.
If you have an older home, upgrading windows not only saves you money on your energy bill and avoids structural repairs caused by leaks. New windows also bring a fresh and bright look, especially if you increase the size of small windows or change the location for better views.
The Bottom Line: How Much Do Home Improvements Impact The Value Of A House?
High-end home upgrades can drive the sale price, but only if the entire home has been upgraded to the same high standard. Otherwise, high-end upgrades won't do much to increase the value of your home. Suppose a house with a beautifully renovated kitchen also has old bathrooms. In that case, the house will likely be considered a work in progress, and that expensive kitchen renovation might not pay off much.