Almost a million new, single-family homes get sold every year in the United States. 2020 was no exception despite the economic downturn.
What does that mean for people selling existing homes? Does used sell as well as new?
If history is any indicator, used properties absolutely can turn over just as well as new properties. That is, of course, if you invest in your property in the right ways.
Before you run out and start digging a built-in pool to raise your property’s value (don’t do that), keep reading. Below, we share home improvements that increase value, many of which you’ll want to prioritize when you have money laying around to put into your residence.
1. Kitchen Remodel
When you ask people what they love doing more than anything, you’re going to see a disproportionate amount of them say eating. Why the love of food?
Well, there’s the obvious answer that food tastes good and is a biological necessity. The less obvious answer is that food in most households brings people together which makes for fantastic memories.
If you can improve your kitchen, which will serve as the backdrop of those memories, you’re going to get a return or very close to a return on your investment. Just don’t go crazy putting the best of everything into your kitchen as there is a point of diminishing returns.
2. Energy Efficiency
Electricity bills never cease to keep going up even though energy is more affordable to produce than ever. Much of this is attributed to investments power companies are being compelled to make in green technology.
In any case, high energy bills mean less money in your pocket which isn’t an attractive prospect. That’s why doing things like putting in energy-efficient windows, adding energy-efficient appliances, etc. can do wonders for punching up your house’s value.
Some energy additions produce better returns than others (solar panels, for instance, can leave homeowners upside-down) so do your research before throwing things in.
3. As a Bedroom
Nothing, we repeat, nothing increases a home’s value as much as adding livable square footage to a property. Investors know this and that’s why so many look for sunrooms or other semi-enclosed/unfinished spaces they can turn into bedrooms to get higher valuations and sale prices.
If you have a secondary attached garage, shed, sun-room, or whatever else that you can throw some insulation in and get up to code to be a bedroom, tackle that project. You’ll immediately see a return on your home’s value if you do the job right.
4. Add a Bath
Bathrooms that are placed tastefully in properties carry the possibility of punching up a home’s value. That’s especially true if you have a very lopsided amount of bedrooms to bathrooms (Say 4 beds to 1 bath).
Bathroom additions don’t have to be high-class to net you a return. People value bathrooms for the immediate value they offer in allowing guests and house occupants another option to shower or potty when the master bath is in use.
5. Throw in a Deck
While not a huge return on investment play, an affordably done deck put in front of the right buyer can net you a profit. Decks are great for areas that see at least seasonally good weather as they invite outdoor fun and interesting decor possibilities.
We can’t stress enough the affordable piece of your deck project, just because decks are a “love em’ or hate em'” sort of home addition. That limits your prospects of getting your money back and should limit your willingness to go big on the project.
6. Invest in Your Facade
Curb appeal is an undeniable driver of a home’s value. Because of that, heading to your front yard and putting money into everything that meets your eye could net you returns if you prioritize projects intelligently.
For example, maintaining your yard and planting trees is an affordable way to punch up your house’s look. If you were to click here and invest in a new roof, while not particularly cheap, it could improve your curb appeal and could net you returns.
Start pricing out potential curb appeal punch-ups to see what local contractors might charge. You might find an easy means of padding your home’s price while also improving your living conditions.
7. Renovate Your Neighborhood
This is an unconventional home improvement that increases value venture because it’s not about physically improving your home, but the environment in which your home exists.
We all know that the quality of your community drives home prices in a big way so get involved in making your area one that’s worth living in.
Pick up trash. Attend city council meetings. Talk to your local police department about how you might make your community safer.
Even small strides targeted at area improvement can one day lead to a massive overhaul of your area’s perception and your home’s worth.
Continue to Explore Home Improvements That Increase Value
In this post, we’ve shared seven home improvements that increase value in your home and may even provide a return on your initial investment.
Know that the improvements we’ve described are by no means comprehensive. There are several pathways you can explore when it comes to investing in your home/community that could be equally effective when seeking returns, although, we recommend starting with what we’ve shared as these improvements are among the most proven.
Are you still hungry for information on home improvement ideas, how to increase the value of your home, and other real estate topics? If you are, Explore the latest posts we have available in our blog to keep fulfilling your need to know.