Home improvement can be one of the best ways to increase the value of your home. With many homeowners struggling to stay afloat in a real estate market that has become very volatile, investing in home improvement projects can help put you ahead of the game. But how exactly does a homeowner determine what home improvement is the most efficient and cost-effective? Is there an exact science to home value remodeling?
The most beneficial home improvements are those that increase your home’s value in fair comparative proportion to the amount you invested on them. And while this is subjective and difficult to measure, Remodeling Digest s 2021 Cost vs. Value Report provides helpful, national information on what home improvement projects give you the biggest bang for the buck… or in other words, what projects will bring you the most value for your dollar. For the most part, consumers are looking for value-added renovations to their homes to add to their equity. If a contractor is charging the same rate for two completely different projects, homeowners are more likely to disregard that contractor’s second project.
There are several factors that go into calculating what home improvement is the most efficient and effective way to transform your house. In general, the more features you have in your home and the more expensive the renovations, the higher the “PE.” For example, if you want to replace your kitchen with a two-car garage, then your new garage will definitely drive up your home value, since it adds a lot of useful and beneficial use to your house. However, if you don’t change anything at all, your home’s value will remain basically the same as it was.
When choosing home improvements, your first step should always be to determine your priorities. What is the most important thing for you to have? Are there certain things in your life that you need more space for, or more storage for? Or maybe you would like to have a bigger yard to garden. Knowing what you want ahead of time helps you figure out how much space you will need to accommodate any home improvements.
One of the easiest ways to add value to your home while remodeling is by updating your kitchen. If your kitchen is outdated, it negatively affects the overall value of your house. For example, if your kitchen has dated countertops and appliances, buyers will think twice about buying your home. On the other hand, simply updating your appliances such as your washer and dryer can drastically improve the appearance and overall efficiency of your kitchen. Granite counters can also dramatically increase the value of your home. In fact, adding new granite counters to your kitchen alone can raise the total value of your home by as much as forty percent!
Another thing that buyers will pay close attention to when they are shopping for a new home is the layout of their kitchen. If you want to make your home more inviting, consider remodeling your kitchen so that it incorporates an open floor plan. If you live in an older home, you may be able to get away with installing two sinks instead of one. Installing a wood deck addition can be very beneficial when it comes to remodeling your home, because it can be used as an extension of your kitchen which can greatly increase the value of your home.
Many people also opt for a complete remodeling project when it comes to a home improvement project. Doing a complete renovation of a room, including ripping out the carpet, painting the walls, and purchasing new furniture can do a great deal to update the look of a room. Doing a complete kitchen renovation can do a great deal for the value of your home as well. However, doing a complete renovation of a room, adding new floors, a new kitchen cabinetry upgrade, and adding new appliances can be a very costly proposition. Therefore, if you are planning on doing a kitchen renovation this year but do not have the budget to follow through with all of these upgrades, consider hiring a remodeling contractor who can complete the project without breaking the bank.
Homeowners recouped by remodeling projects may also see a substantial increase in their average cost of ownership after the initial renovation has completed. Many remodeling projects reduce the average cost of ownership by as much as twenty percent once they are complete. Additionally, many homeowners recouped by these projects are able to maintain the same level of quality of living that they had before the renovations began. This means that they are still enjoying the same standard of living despite the money they are spending to improve the home. Homeowners who think about their remodeling project carefully will find that these costs will soon be brought down and their quality of life will begin to enjoy exactly the same level that it did before.