10 Top Reno’s That Will Up the Sale Price of Your Home

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Maximizing Your Home’s Sale Potential Through Smart Renovations

When preparing to sell your home, determining which renovations will help your property sell quickly and for the highest price can be challenging. Should you replace your furnace or remodel your kitchen? Should you overhaul your bathroom or add another one? Is it better to repair your roof or purchase new appliances?
You may also wonder about small, inexpensive changes that could significantly enhance your home. Most importantly, how much of your investment will you recoup through the listing price?
Below is a list of the most worthwhile renovations to consider when getting your home market ready.

Painting

Return: 100%+
Painting is one of the simplest, quickest, and most cost-effective ways to prepare your home for the market. The best part is that you might even make money from it! Most painting jobs add more than 100% of their cost to the list price, making it a worthy investment. Move your furniture to the center of the room and apply a fresh coat of paint.
When selling your home, aim for a neutral, clean, and modern look. While a bright or unusual color may reflect your tastes, it might not appeal to prospective buyers.

Garage Doors

Return: 98%

Curb appeal is crucial in real estate transactions. Enhancing your home’s exterior can attract more buyers. Simple improvements like landscaping or adding potted plants can increase curb appeal, but replacing garage doors offers nearly a 100% return. Since garage doors constitute a significant portion of your home’s exterior and are a focal point when approaching the house, having them in excellent condition can significantly enhance your property’s perceived state. You’ll likely recoup most, if not all, of your investment. It’s a win-win for both buyer and seller.

 

Entry Door

Return: 91%

Though it might seem like a minor upgrade, replacing your entry door can have a substantial impact. As with painting, opt for neutral colors that complement your home’s façade. Clean lines and a fresh feel at your front entrance are crucial because first impressions matter.

 

Additional Square Footage

Return: 70%-80%

Most homeowners desire more space. Adding an extra room or two can make your home more appealing on the market, allowing you to recover a substantial portion of your investment. If your home is smaller than comparable properties, consider adding extra space. A 2005 study by the National Association of Realtors found that every 1,000 square feet increased a home’s sale price by 30% or more.

 

Bathroom Addition

Return: 60%

When it comes to bathrooms, you can either renovate the existing one or add another. For many families, having just one bathroom is a deal-breaker. Therefore, adding an additional bathroom can be beneficial both logically and financially. Research local homes to determine the average number of bathrooms in your area. Being one bathroom short of the average can deter potential buyers.

 

Minor Kitchen Remodel

Return: 81%

There’s a big difference between a minor and a major kitchen remodel. A minor kitchen remodel typically costs around $20,000 to $25,000, whereas a major one can double that amount. A modest remodel can still result in a beautiful kitchen. Minor remodeling includes new countertops, cupboards, flooring, and fixtures, while larger projects involve replacing appliances, light fixtures, and refacing cabinets. Ikea offers modern kitchens at a lower price, which could be beneficial if your kitchen needs improvement in the seller’s market.

 

Bathroom Remodel

Return: 70%

While adding a bathroom might make more sense, if you already have enough bathrooms, remodeling the ones that need it most can be a wise investment. Many suggest opting for a walk-in shower over a tub, as this adds space to the bathroom. As long as there’s at least one tub in the home, it’s a suitable option for most buyers.

 

Replacement Roof

Return: 68%

Adding “new roof” to your listing can significantly enhance your home’s appeal. While you may only recoup about 70% of the expense, a worn-out or leaking roof can deter buyers and keep your house on the market longer. Remember, a home’s functionality is a top priority for buyers, so it’s better to replace an old roof than renovate kitchen counters if the roof is in poor condition.

 

Adding a Deck

Return: 70%

If your home already has a deck, replacing the wood or refurbishing it might be sufficient. However, if it doesn’t, adding a deck can return about three-quarters of the cost. Any additional space added to your home can increase its value.

 

Finished Basement

Return: 70%

The article Finished Basements Add Space and Home Value recommends that you shouldn’t spend more than 10% of your home’s value on refinishing a basement, ideally staying between 5% and 10%. Like adding square footage or a deck, a finished basement adds livable space, which is a significant factor for buyers when deciding what fits their needs. Assess the market to determine if this is a wise investment for upgrades.

Conclusion

When selling your home, think like a buyer. As you’ll likely be purchasing a new home after selling your current one, consider what’s most important to you. A beautiful kitchen won’t compensate for a broken furnace or leaking roof, and one stunning bathroom won’t make up for an overall lack of bathrooms.
Conduct a thorough assessment of your property to identify necessary upgrades. Don’t overlook simple enhancements like curb appeal and prioritize function over aesthetics. Keep in mind that most buyers plan to make upgrades after moving in, so don’t prioritize appearance over structural integrity.
Note that the percentage you recoup depends on factors such as your home’s price, the neighborhood’s average price, your city, and the market’s condition. Evaluate your home’s needs and choose projects that will maximize your return on investment.

Sources
The Paint Colors that can Boost Your Homes Value
These 15 Home Renovations Have The Highest Return on Investment
Which Home Improvements Pay Off?
Deck Building: What Will Be Your Return On Investment?
Finished Basements Add Space and Home Value