When it comes to selling your home, it’s natural that you’d want to get the best return on investment possible for changes and upgrades around your home. While there are many inexpensive home improvement projects that can help increase your home’s value, sometimes it’s worth splurging on certain projects that can yield a higher return in the sales price of your listing. Today we’re exploring three splurge-worthy home improvement projects that can help boost your home’s value and appeal to potential buyers.
1. Kitchen Remodel
The kitchen is often considered the heart of the home, and a thoughtfully-done kitchen remodel can significantly increase your home’s value. In fact, buyers report that the kitchen has the greatest amount of influence over whether or not they will decide to purchase a home. According to the National Association of Realtors, a minor kitchen remodel can yield an average return of 81% of the project cost, while a major remodel can yield an average return of 59%. A kitchen remodel may include upgrading appliances, replacing countertops and cabinets, and adding new flooring. The important thing to remember with kitchen remodels is that a little goes a long way. While ultra-high-end appliances or a luxurious countertop option may make the space feel more grand, you actually will make back a larger percentage of a more modest renovation project that brings your home’s kitchen up to scratch.
2. Bathroom Renovation
Bathrooms are another incredibly important area of the home that buyers pay close attention to. Often, bathrooms are such a priority for potential buyers because the process of completing a bathroom overhaul can be a daunting prospect. So when you take this project on in advance, your potential buyers don’t have to worry about completing the project themselves, but they get the benefit of a beautiful and updated space. According to Remodeling Magazine’s Cost vs. Value Report, a mid-range bathroom remodel can yield an average return of 62% of the project cost, while an upscale renovation can yield an average return of 53%. A bathroom renovation may include upgrading fixtures, replacing the bathtub or shower, and adding new tile or flooring.
3. Outdoor Living Space
An outdoor living space, such as a deck or patio, can be another major selling point for potential buyers. Adding an outdoor living space can expand your home’s livable space and create an inviting area for entertaining. According to the National Association of Realtors, a wood deck addition can yield an average return of 75% of the project cost, while a composite deck addition can yield an average return of 69%. Other outdoor living space projects may include adding a fire pit, outdoor kitchen, or landscaping. Particularly for those buyers moving in during the Spring and Summer, additional space to enjoy the outdoors can go a long way in the value that they see in your listing.
Knowledge is Power
No matter which of the three types of renovations you are considering for your home, the more you can research the specific projects and the average ROI for those renovations in your specific area, the better you’ll be equipped to make the best decision for your home and your bottom line. Better yet, reach out to our team at Coldwell Banker Elite to get an idea of what a project may be able to add to your resale value and project an updated listing price for Virginia!