Renovations that Add Value
As winter marches on into spring, many current and potential homeowners are gearing up for the housing market’s busy season. Though inflation is expected to rise in 2022, affecting mortgage rates and overall affordability, demand in the real estate market remains strong. The rising cost of rent is a particularly motivating factor for many millennials, who are primed for first-time home buying. If you’re planning on selling this year, you may be considering improvements or renovations to make your home more attractive to buyers and more profitable for you. Here are some of the top trending renovation ideas to add value to your home.
The kitchen is usually the central gathering place for most families. From simple upgrades like a new backsplash or lighting fixtures to a full-scale remodeling of the entire layout, updating an outdated kitchen is a great way to entice potential buyers. Consider the space’s cabinets and countertops, storage capacity, appliances, and square footage, and update accordingly with the latest technology and design trends. Incorporating sleek materials like marble counters or stainless steel, hidden drawer-style microwaves and dishwashers, hidden outlets, and a kitchen island for more food prep and entertainment options continue to be popular.
Along with kitchens, remodeled bathrooms or the addition of a half bath to the main floor are one of the most popular improvement projects for increasing home value. According to a 2019 survey by the National Association of the Remodeling Industry, realtors estimate that homeowners can recover 57 percent of the cost of a bathroom renovation once they sell their home. If your bathroom is a few decades behind, consider updating amenities like the tub, sink, vanity, toilet, and tile to contemporary designs. Don’t forget to inspect internal elements for functionality as well, such as plumbing and water pressure.
Since the COVID-19 pandemic began, working remotely has become perhaps the largest adjustment to daily life and is likely here to stay in some form for many workers. With fewer people heading into the workplace in person, many buyers are seeking homes with a dedicated office space. An extra room with good lighting, privacy for video calls and productivity, and perhaps an en-suite bathroom continues to be very appealing to buyers in 2022.
Finish the Basement
Finishing, framing, and insulating your basement is one of the best ways to instantly add value to your home’s price tag. While it’s a large project to undertake, you should be able to recoup the costs once your home goes up for sale, and buyers will appreciate the labor, the extra square footage and the opportunities that such a space provides. Instead of worrying about taking on the venture themselves, potential buyers can immediately start imagining their future media room, studio, basement bar, or home gym.
Update the HVAC System
Your home’s heating, ventilation and air conditioning (HVAC) system is essential to keeping your home habitable and is therefore crucial to maintain. Updating an old central heating and cooling system, repairing or replacing ventilation ductwork, and adding insulation not only increases the value of your home, but it also makes it more energy-efficient. Based on the same National Association of the Remodeling Industry survey, realtors estimate that homeowners can recover 85 percent of the cost of replacing an HVAC system upon selling their home. Modern systems, loose fill attic insulation and good air circulation will all appeal to potential buyers.
Add an Outdoor Space
A lower-cost renovation idea is adding a deck, patio, or porch to your outdoor space for entertainment and relaxation purposes. Simple outdoor spaces can be souped up with more luxurious details like fine-crafted wood or stone, landscaping, an outdoor fireplace or built-in grill, low-voltage landscape lighting, and café-style seating options. As the weather warms up for spring, a welcoming outdoor space helps buyers envision themselves hosting parties, barbecues and lounging in the fresh air.
Don’t forget about your home’s curb appeal! Is the exterior inviting? From major upgrades like installing a new roof, windows or siding to quicker fixes like a fresh paint job, installing a new garage door or updating your front door in a cheerful color, show your home’s façade some love. Exterior renovations will increase your home’s price tag and draw potential buyers to your door.
Taking on renovations before putting your house on the market will add value, keep your home competitive within its price range, and hopefully expedite offers. Potential buyers will welcome the fact that so many home improvements have been taken care of before they move in.