Guide to Choosing Your Next Home Improvement Project
You’re settled into your home, and you’re ready to start renovating. You’ve got ideas, but not sure where to start. You do know, however that you want to pick the home improvement projects that are going to add value to your home.
Not all home renovations are created equal. And if you are looking to make a profit on selling your home in the future, you’re going to want to choose home improvement projects that will add the value to your home at closing. Here is what you need to know when choosing your next project.
P.S. We’re getting major home improvement inspiration from Instagram lately… maybe you will too.
Home Improvements that Add Value
While every home and market is different, most industry insiders and professionals tend to agree on which home improvements add value to a house.
Kitchen & Bath Home Improvement Upgrades
Not only are they the most common, but you’ll probably have a lot of fun picking out new tiles, cabinets and paint colors. Kitchen and bath renovations can provide much needed upgrades to your home—and can transform two of the most important rooms in the house.
So how do you know what’s going to work in your home? Do some research! Consider the style of your home, your neighborhood, what you really use these rooms for, and start brainstorming.
Remodeling Magazine’s 2018 Cost v. Value Report breaks down every home improvement project by the average value it adds back. Minor kitchen upgrades like rewiring the kitchen can actually add more on investment (up to 81%) than a major cabinet remodeling.
Simple and relatively cost-efficient improvements like fresh paint, updated appliances, and hardware can add a lot more value than an expensive renovation.
Okay, but I’ve really want to install new cabinets since I moved in:
If you’re going to pursue that dream remodel: consider what you can fit in your budget for home improvements. You may not need the above-market pricing if you can get the job done with a remodel in your budget or market range. Look around, get a few estimates, and make sure this is the investment you want to make.
Even though it’s less glamorous than a kitchen remodeling, experts agree that home maintenance and updates can add a lot of value to your home. Heather Levin at Moneycrashers writes that homebuyers will buy the home that is solid, safe, and healthy.
Popular home maintenance projects that pay off include:
- Fixing or changing a leaky roof
- Repairing rotting wood beams
- Getting rid of mold
- Repairing rusty rain gutters
- Repairing or replacing leaky pipes and faucets
- Applying a fresh coat of paint to walls
Buyers are likely to be more concerned that a roof isn’t going to leak, rather than that new state-of-the-art kitchen. They’re often willing to make cosmetic updates themselves if they know the house’s structure has been maintained.
Just like meeting people for the first time, the first impression of a house can be more important than any other characteristic. You don’t need to have a lavish yard or meticulously gold-plated details on a set of doors.
However, a new front door can have a massive impact on curb appeal. Remodeling Magazine reports that a new front door can recoup about 91% of the cost to value.
A sizeable investment (but a home improvement project that can massively increase a home’s value) is siding. Full replacements can completely transform the front of your house, but a simple restoration of a few cracked or chipped siding can do wonders to increase the effect your house has on buyers.
But I really want to get started on the deck I’ve been dreaming about:
Wooden decks can add a lot of value, but backyard patios may not. Also, consider your geographic location and the space you have in your backyard.
While fully converting your home to solar power is a worthy and environmentally friendly investment, a full upgrade can cost upwards of $22,000.
Simple energy upgrades can save a lot of money for you in the short term—and buyers will be grateful to know that their energy bill is affordable.
Installing double-paned windows is a popular solution that can save 24% on summer utility bills. Other common home improvement options include adding extra insulation in your attic and sealing cracks to prevent air leaks. Those are both inexpensive renovations that can pay dividends in energy savings and added value to the home price.
If you have an outdated central heating and cooling unit, you can see significant energy cost savings by upgrading to a programmable thermostat. Homeowners can expect to save $180 per year in heating and cooling costs.
There’s no perfect calculator for determining which projects are going to add the most value when selling your home. But home improvement projects can (and should) be exciting!
Consider all that’s great about your home, and where you’d like to make home improvements. Your next home improvement project is a new chapter in your book that can add up when it comes time to sell.
Learn about making home improvements with a Best Egg Personal Loan