Are you considering investing in home renovations? Not all renovations bring the same return on investment. Focusing on those improvements that add the most value is a smart financial decision. After all, you are going to spend a significant amount on the renovation. You might as well get something back in return.
So which home improvements bring back the most return? Here are four smart remodeling choices that according to Remodeling Magazine's "2016 Cost vs. Value Report" have a high return on investment.
Adding Insulation to the Attic
While it's not a flashy renovation that earns you a new kitchen or a spa-inspired bathroom, adding insulation to your attic has an astounding 116.9% ROI. This particular renovation brings a return in two ways. First, it will increase your home value, because buyers are impressed by energy-efficient homes. Second, it lowers your energy bills, saving you money while you live in the home.
If your home was built in the 1970s or earlier, it is likely in need of an update to the attic insulation. According to US News and World Report, homes built during this time frame did not have significant insulation, because home energy costs were much lower. Improving the insulation will improve energy bills and the home's overall value.
When adding insulation, choose the highest R-value your budget will allow. The R-value refers to the insulation's insulating capacity, typically shown by how thick the insulation is. A high R-value will yield the greatest energy savings, so you will notice the biggest impact on your home's energy bills.
Garage Door Replacement
Garage door replacement was another renovation that had a high return, 91.5% to be exact. This change provides a return in two ways as well. The most obvious is in making the home look updated and upgraded from the road, adding to its curb appeal. Also, today's garage doors have more insulating and security protecting features, and this makes your home safer and more efficient.
Replacing your garage door is fairly affordable when compared to the amount of return you will receive, and when compared to other popular projects like bathroom or kitchen remodels. With an average price of around $3,000, this is an upgrade that fits most budgets. This lower cost is another reason for the high ROI.
This year, homeowners will have many faux wood doors to choose from, and these can be a great way to add warmth and character to your home without sacrificing the strength and durability of steel. Another design trend that will continue to be popular in 2017 is faux carriage doors, which provide the home an old-fashioned elegance with the convenience of a modern overhead door.
Adding a Grand Entrance
Your front door is the first impression your home makes on guests and home appraisers, and upgrading to an on trend, well-crafted door will make a good one. First impressions matter, and that's why adding a grand entrance entry door brings a 91.1% ROI. Modern entrance doors do several things for your home. First, they add efficiency, helping to block energy loss from drafty wood doors. Second, they provide a great chance to update your property and boost curb appeal.
Again this is a fairly affordable change, with an average cost of around $1,100 depending on the door chosen, so it fits most budgets. It also takes very little time, unlike a major renovation that puts your kitchen or living area out of commission. In 2017 you can expect to see an increase in the amount of glass in these doors, and this is an additional benefit. The more light you get in your home, the better it shows, and a well-lit foyer will showcase your home well. Wider doors with simple dark hues are also a trend expected this year in newly built homes.
Minor Kitchen Remodel
A kitchen renovation is a place where people can spend thousands upon thousands of dollars in very little time, but you don't have to do a major project to see a high ROI. The ROI of a kitchen remodel is 83.1%, and that does not necessarily mean the bigger the better. For every $100 you spend on your kitchen, you are likely to see an $83 increase in home value. Here, even small improvements can help in big ways.
Why is the kitchen so important? Today's buyers want a turnkey home, which is one they can move into without any major work. The kitchen, being an area that the family will use regularly, is a key area that they will consider.
Sometimes upgrading the kitchen requires a complete overhaul, but not always, adding new countertops and flooring can make an outdated kitchen shine, and upgrading lighting fixtures and cabinetry hardware can also help. A new coat of paint, removing outdated wallpaper and upgrading a few of the appliances with newer, more energy-efficient models are also great choices.
As you make choices for your kitchen, consider the 2018 trends of a neutral color pallet, two-tone or tuxedo style cabinets and interesting textures added throughout. These design trends will make your kitchen truly shine in the eyes of potential buyers.
Are you considering selling a home? Now is the time to invest in these high ROI upgrades, so you will be ready when you list the home. These simple innovations will ensure that when you are ready to sell your house, it stands out in the market and gives you the highest offer.
Mark Lee and his team of experienced Realtors work for Levin Rinke Realty, with over $68,000,000 in YTD closed sales for 2017. The Mark Lee Team attributes our success to our high rate of customer satisfaction and a strong client base. All of this has come from active involvement in the betterment of the Pensacola, Pensacola Beach and Gulf Breeze communities. You can contact our team at 850-261-1996 or contact us online today. Sell your house with the help of proven professionals by partnering with the Mark Lee Team.