As the spring weather approaches most homeowners start to take a hard look at their homes asking themselves 2 things:
1. What needs to be fixed or
2. What needs to be renovated.
When it comes to home renovations in my experience, many homeowners tend to use an objective approach when it comes to valuing their home. Most think “I spent $20,000 on a pool so my house should be worth $20,000 more”. In reality this is not the case, as most buyers don’t care how much you paid. Instead they will price it according to how much value they place on it, thus, their ‘subjective value’.
So before you run out and redo your floors or put in a new fireplace, I’ve comprised a list of the most popular renovations and what return you could expect once completed.
I'm pretty sure some of the returns may surprise you.
PERCENTAGE RECOVERED UPON RE-SALE
Kitchen upgrade: 75% to 100%
Bathroom upgrade: 75% to 100%
Interior painting: 50% to 100%
Roof Replacement: 50% to 80%
Furnace/heating system replacement: 50% to 80%
Expansion (addition of family room): 50% to 75%
Doors and Windows: 50% to 75%
Deck: 50% to 75%
Installation of hardwood floors: 50% to 75%
Construction of a garage: 50% to 75%
Fireplace (wood or gas): 50% to 75%
Central air conditioning: 50% to 75%
Finished basement: 50% to 75%
Wood Fence: 25% to 50%
Driveway interlocking paving stones: 25% to 50%
Landscaping: 25% to 50%
Asphalt driveway: 20% to 50%
Pool: 10% to 40%
Skylights: 0% to 25%
If you are contemplating a renovation on a home that you may want to lease or sell in the near future, contact me today and we can ensure you make the right choice.