– Make First Impressions Count –
As spring arrives, so did all of the Home Improvement shows and endless options to update your home. Whether you are
considering making improvements to your home in preparation to sell it or simply for your own personal enjoyment, the question many home owners have is what the cost vs. value are for various projects under consideration.
If you are wondering which home improvement projects will give the best return on the sale of your home, think “curb appeal.” According to the Remodeling 2016 Cost vs. Value Report*, many of the highest-scoring projects were for work done on the exterior of the home. This finding coincides with academic research and realtors’ input, touting the value of projects that promote curb appeal.
First impressions are important. The replacements that offer the greatest payback are the ones that are most obvious to buyers when they first view a house in person or online, such as new siding, entry door or garage door. Adding exterior stone veneer to a home provides some of the highest value at resale and is expected to recoup nearly 93 percent of its cost nationally on average and 97 percent in the Twin Cities metro area.
As a general rule, the simpler and lower-cost the project, the larger its cost-value ratio. Four of the five projects in the report that cost less than $5,000 were ranked in the top five for cost recouped. No project costing more than $25,000 ranked better than 13th. While few remodeling projects recouped their actual costs, the value of their return outpaced home price increases by nearly 15%.
See the list below representing 5 of the most popular remodeling projects and their Cost vs. Value.
Project Type (mid-range) | Project Cost | Resale Value | Cost Recouped |
---|---|---|---|
Manufactured Stone Veneer | $7,520 | $7,295 | 97.0% |
Attic Insulation (fiberglass) | $1,351 | $1,288 | 95.3% |
Garage Door Replacement | $1,890 | $1,484 | 78.5% |
Minor Kitchen Remodel | $22,775 | $17,044 | 74.8% |
Entry Door Replacement | $3,255 | $2,433 | 74.7% |
For the complete report including a list of 27 popular remodeling projects’ return on investment, click on the link below. This report is produced by Remodeling Magazine in cooperation with the National Association of Realtors.
If you have been considering selling your home, now may be the time with the increasing home values and low inventory. Now is also a great time to consider purchasing a home, as low interest rates and increasing home prices make for a great window of opportunity. If you or anyone you know is considering buying or selling a home or if I can simply answer any of your real estate questions, please give me a call.
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