How to Renovate Your Home without Shooting Yourself In The Foot
Renovating your home is a big financial decision, especially if you go for large-scale changes. But, there are a couple of things you should know before deciding to renovate your house, especially if you have an intention to resell your house in the future. For example, did you know that not all renovations will increase the value of your home? Yes, some renovations do not have any influence on the value of your home. And it is very much possible to over-remodel your house. It is not ideal for your house to have a huge difference in value from your neighbor’s homes. The following are some ways to get the best return on investment (ROI) when it is time to sell your home.
Choose key projects
There are particular renovations that can have a good effect on your ROI, regardless of the current state of the real estate market, and the average value of the surrounding houses in your neighborhood. Examples of these are adding a wood deck to your house, or replacing your garage door, windows and siding. Kitchen and bathroom upgrades can also have a positive impact on your ROI. Some projects have a very low percentage of ROI such as bathroom, garage, master suite and sunroom additions.
When you renovate your home to the point that it drastically exceeds the value of the surrounding homes, people will not pay for those renovations. People tend to consider buying a home, because of its proximity to a nearby business or recreation spot. The truth is, some people are more interested in location than the renovation.
Make renovations that will increase in value over time
Technological improvements in the home will not help in raising the ROI of a home in the future, it may even bring the home value down, as technology becomes more advanced every year. Renovations like these are at a big risk of becoming obsolete as time goes on. It is important to focus on improvements that will have an impact that will withstand the test of time.
At the end of the day, the point of renovations are for you to maximize your living experience in your home, regardless of whether you are intending to sell it in the future or not. It is good to scour the internet for tools that will show you the profit you can reap from specific home renovations.