Renovations with Best Return on Investment
The best places to use your home-improvement budget
Fortunately for homeowners, a number of remodeling projects offer the potential for a high return on investment (ROI). According to Remodeling magazine's annual cost vs. value rep, some of the best renovations are those done on the exterior of the home—siding, window, and door replacements—because they immediately improve a home's curb appeal.
Beyond curb appeal, certain projects will provide higher returns
Kitchens. Although a kitchen remodel returns only 88 percent, on average, Source: Wells Fargo equity loans. Kitchens are one of the first things that you look at or spend more time in "If you have a house that doesn't have an updated kitchen the sense of (home) will be diminish," -HGTV 2013 dream house.-
The cost of a major kitchen remodel varies widely depending on the region. Nonetheless, it's important not to go overboard, as you don't want to price your home out of the local market. For example, if you're in a neighborhood where the average home value is $200,000 and you put in a $50,000 kitchen, you're out-pricing your house.
A major kitchen redesign may not be a good decision if the space only requires a facelift. "You don't have to completely gut your kitchen if it's in good working shape,", In many cases, less-drastic updates like refinishing surfaces and cabinets, painting, upgrading appliances, new counter tops and installing new light fixtures will cut it.
Baths. Investing in a bathroom remodel yields a 72 percent return, on average,Source Wells Fargo equity loans but you've got to do it right. Master bathroom with two sinks, custom showers, and great lighting. You'll turn off buyers if you only put in the minimal amount of work. "A lot of folks, when they buy a home, don't want to have put a lot of work into it. An outdated bathroom requires a lot of work."
And sometimes less is more. Giving it new paint, a new toilet, a new shower faucet, and a new [shower]head is probably the best bang for your buck. But that's assuming the flooring is nice and the walls around the tub and shower are in good standing condition.
Home offices. A number of people work from home, but most don't need a full-blown office. If you do convert a spare room to an office, opt for removable furniture rather than built-in cabinets. Built-in furniture gives the homeowner fewer options with what they can do with the room, A home-office remodel recoups only 43 percent, on average.
Sunroom additions. You may recoup a fair amount if you live in a region where the sunroom can be used all four seasons like The Woodlands TX, but in most cases, adding a sunroom will get you nowhere near a dollar-for-dollar return, in terms of recouping costs—a paltry 66 percent. Source: Wells Fargo equity Loans
Remember: What's popular now changes about every five years—Designers call this "stylistic depreciation"—so consider how much longer you plan to stay in the home before you do any major renovation. Sometimes with a low budget, painting, counter tops and new fixtures will give you better results in terms of Return of Investment ROI, Source: www.twrs-painting.com