Are you looking to start a renovation project this fall? Why not get the most out of your money while improving your home!
The following article list several projects and the percent of return for your investment in these renovations.
At the beginning of every home renovation there is the thrilling excitement of changing your home, bettering your space. There is also, usually, a sinking feeling. Even as you improve your home, you can’t help but wonder: what if you don’t get back what you’re going to put in.
Whether you’re putting the house up for sale or planning to live in it for the foreseeable ever after, there are projects that pay off and those that don’t, according to the 2015 Cost vs. Value Report from Remodeling magazine.
Sometimes it is just a matter of the scale of a particular project that makes the difference in how much you might recoup from remodeling. For example, according to the report, if you do a major kitchen renovation that costs an average of $56,768, you can expect to get 67.8% of that back. If you do a minor kitchen renovation, however, that costs an average of $19,226, you’ll recoup more: 79.3%.
While you need to resist the urge to over-renovate, if you do, you should prepare yourself to not take it personally when you don’t get out of a project what you put into it. Although you put your heart and soul into designing it, your dream master suite addition may fail to add a big boost to your home’s appeal.
Among upscale remodeling projects, those that recoup the least are the ones that are the most individualized for the homeowner: master-suite addition, garage addition and bathroom addition. The projects that get the best return on investment are more neutral, less personal improvements: siding replacement, garage door replacement and window replacements.
Before we get to the midrange projects that book the biggest return on investment for you, let’s look at the projects that don’t: adding a sunroom, an office remodel, bathroom addition, backup power generator and master suite addition. These projects all recouped less than 62% of their cost. The lowest, the sunroom, only got 48.5% of its cost back.
So, as you launch into your renovation, think of ways to incorporate these projects. These are the top five value-boosting midrange renovations.
1. Entry Door Replacement (steel)
Average cost: $1,230
Average recouped: 101.8%
This has been a sure way to get a return on your investment for several years. Unlike a wood door, a steel door is easy to maintain. Steel doors are also deemed a safer option to protect against break-ins and fire. It doesn’t hurt that it will add a bit of curb appeal, too.
2. Manufactured Stone Veneer Exterior
Average cost: $7,150
Average recouped: 92.
All right, so it isn’t as sexy as a kitchen remodel. But if your exterior needs a little boost, resurfacing part of your home with manufactured stone can be a cost efficient way to add some texture, depth and stately charm. And it is hot right now. According to Realtor.com, manufactured stone costs a quarter to half as much as natural stone. It’s also lighter in weight, so it can be installed in more places without extra support and insulation. Most products require minimal maintenance and they are more fire-resistant than wood or vinyl siding.
3. Garage Door Replacement
Average cost: $1,595
Average recouped: 88.4%
This is another project that boosts curb-appeal. Replacing your door with one that matches your home’s age and style will enhance the looks. At the same time you may be able to upgrade the material — choose from wood, steel, aluminum or fiberglass depending on your budget and style. Wooden garage doors require more maintenance, but look the best.
4. Siding Replacement (vinyl)
Average cost: $12,013
Average recouped: 80.7%
This is not for everyone, or every type of house. But if it works for you, it can be a way to improve your home’s exterior appearance that is less costly than stone, wood or cedar siding. The chief benefit is that it is easy to maintain. It won’t rot or flake — but be warned it can crack or look dull after a while.
5. Wooden Deck Addition
Average cost: $10,058
Average recouped: 80.5%
Unlike a sunroom — one of the lowest recouping projects — wood decks are very popular right now. It can expand your living space with an area to entertain, dine outside, or just relax. This is all very appealing to buyers — even if they never do these things. To extend its use in colder climates you can up the bar and include an outdoor fireplace or patio heater.
This article was published by Forbes Investing. For more information and to read the article in its entirety visit: www.forbes.com.