Home Improvements That May Add Value to Your Home
When you’re making improvements to your home, you’re not just making your life better in the short term. You’re also making an investment in your future. Ideally, the increase in the value of your home will exceed the cost of the improvement.
Here are four home remodel projects that can improve the resale value of your home. They’re excellent uses for your home equity line of credit (HELOC) and you may be able to save money by doing part or all of them yourself! By the way, consult your tax adviser to determine if these improvements apply for tax deductions.
Make a Good First Impression.
First impressions count. Enhancing your home’s curb appeal can be as simple as scrubbing your home’s siding or as intricate as adding a new walkway. It does not need to be expensive to be effective.
Why not start your home remodeling project with the first thing you interact with: the front door. Upgrading an old, poorly-fitting front door with a newer energy-efficient model is a cheap, quick project that can instantly improve your home’s efficiency and aesthetic appeal. A new front door is one of the top ranking home improvements on the Cost vs. Value Report. Best of all, hanging a door can be done in an afternoon!
Prune shrubs; surround bushes and trees with mulch for a finished look. Add a touch of color with a flowerbed or pots.
Scrub your home’s siding to remove years of dirt buildup. Retouch any worn areas.
Minor Kitchen Remodels.
Replacing major appliances and installing new flooring is a difficult, time-consuming and expensive task. Being without a kitchen for weeks on end can be a nightmare, and the number of professionals needed to install new lighting and other features is mind-boggling. The national average for spending here is $57,000, and the ROI for major kitchen remodeling isn’t great, at only 68%.
Minor kitchen upgrades, like new cabinets, counter-tops and energy-efficient cook-tops, are comparatively inexpensive. The average spend here is just under $20,000 with an estimated return on investment at an impressive 80%. Just like with the front door, the changes are mostly aesthetic. People perceive a more modern-looking kitchen as being a better fit than a more “retro” look.
This is also a chance to customize a place where you spend a remarkable amount of time. Having a kitchen laid out just the way you like it can make it easier and more enjoyable to cook. This will encourage you to eat more meals in, and energy-efficient appliances can lower your electric bills for the life of the home.
Get Decked Out.
Outdoor space is one of the hallmarks of the current iteration of the American dream. Where else can a family sit and enjoy a frosty lemonade on a hot summer day? Watch the kids play in the yard while tending the grill on a beautiful wooden deck!
Wooden deck additions were unpopular for years, as consumers see them as luxuries. During a recession, remodeling dollars tend to focus on needs, like kitchen and bedroom updates.
The average cost, based upon a 16 foot by 20 foot wooden deck, is $12,000. The average return on investment is just over 80%. This is because of the perception of expanded living space at a reasonable price. Adding a deck costs about $40 per square foot, while a square foot of inside space costs an average of $90! Decks are a great way to increase the play space for a modest cost.
Boost Your Bathroom's Look.
Bathroom remodels will recoup 87.7 to 93.5 percent of your investment, according to the Cost vs. Value Report. Like the kitchen, don’t go crazy. Install new fixtures, brighten the room with paint, and re-grout the bathtub. A new mirror and light fixtures can easily transform the look of a bathroom.