10.11.07
Making Home Improvements Pay
Prices for remodeling projects are climbing, while the recoup value at resale is declining. Do not fear….a licensed Realtor can assist you in choosing the projects which will help you get the most bang for your buck.
Get and compare cost estimates. Small differences in size, scope, or quality of finishes can dramatically affect the final project cost. Ensure any/all permits are pulled for any project. If a project is done without one, you may not be able to add the improvement into your resale value.
A variety of factors play into the “cost recouped”. Some of these are: the condition of the rest of the house, the value of similar homes nearby, and the rate at which property values are changing in the surrounding areas. A homes setting, whether rural, urban or suburban also affects its value, as does the availability and cost of new and existing homes in the vicinity.
According to Realtor Magazine, Dec. 2006 “a home improvement project only costs 20 cents to 25 cents on the dollar. The other 75 cents to 80 cents spent on a project goes directly back into the home through increased value- not to mention increased owner enjoyment.”
Energy efficient home improvement projects are recouping the most for the money right now. Upgrading to upscale fiber cement siding, upgrading to a midrange vinyl siding or upgrading or replacing wood windows are the biggest returns. However, the thing that motivates buyers overall is aesthetics. Most buyers are looking for homes with curb appeal. If a potential buyer drives up to a home with dingy aluminum siding and old windows, they often automatically get a bad taste in their mouth.
If you are in need of assistance to help you decide what and where to improve your home prior to putting it on the market, contact me and I’ll be happy to assist.
