REMODELING PROJECTS THAT YIELD RETURNS

     Remodeling is an investment in the enjoyment you and your family receive from your home. According to a recent study, remodeling projects can also offer a financial return on the investment when the home is sold, if the right projects are chosen.

     To find out which remodeling projects offer homeowners the best return on investment, "Remodeling Ideas" magazine turned to remodeling experts for their opinions on types of improvements and costs, and to local real estate experts for their advice on the value of return. The study found that the money put into improvements rarely provides a dollar-for-dollar return when the home is sold, but some projects tend to provide a greater return than others.

     Projects that center on the kitchen and bath offer the greatest return to the owner when the home is sold. A new bath can return more than 75 percent of its cost, and kitchen remodeling can return from 60 to 80 percent at the time of sale.

     The return from exterior projects varies to a wide degree, the study found. Exterior painting can return 40 to 50 percent of the cost, while re-siding your home may only return 15 to 35 percent of the investment. Landscaping projects can yield 45 to 65 percent of the money spent, yet re-roofing may return only 10 to 30 percent.

     If resale value is crucial to you when determining home improvement projects, here's how to improve your chances of a good return:

  1. Keep the value of your property within 15 to 20 percent of other homes in your neighbourhood.
  2. If you live in an area where real estate prices are low and unchanging, be especially cautious about over-improvement.
  3. Style your remodeling for mass appeal. Buyers prefer neutral, mainstream design and colour.
  4. Ensure the remodeling project is done properly.
  5. If you are unsure of your home's value or of local real estate trends, find a real estate company that will prepare a market analysis to give you an idea.

     When it comes time to sell your home, there is only one person whose opinion really matters - the buyer's. No matter how much you invest in improvements, it is the marketplace that determines what your home is worth.



 
Contact Me

Contact Info:
 Business: (519)578-7300
Fax: (519)742-9904
Cell: (519)580-0191

Email:
robstrickler thehomeman.net
Brought to you by: