Making home improvements isn’t about adding value through working on your house. It is about knowing the right aspects of your house which need attention to spruce it up for sale. Of course, every home is different, but local data from the 2017 Cost vs Value Report points savvy homeowners in the right direction in terms of the best ways to invest their money.
While it is interesting to see how much of the cost can be recouped, it is wise to spend your money in the right areas. Only replacing the attic insulation with fiberglass will return more money that the initial cost; all other home improvements will be worth less on resale. You have to think about why you are making the improvements – to attract buyers – and creating curb appeal is the cheapest and most effective way of drawing interest.
Here are the starting points – the affordable options – which can significantly change the saleable state of your house for relatively low costs. The data suggests that the wisest home seller will update the exterior.
The best ROI replacements to add up to $3,500 to your resale value are:
Replace Fiberglass Attic Insulation – Replacing the insulation with fiberglass adds around $1,410 to your resale value, returning over 108% of capital outlay.
Replace Entry Door (Steel) – You can recoup over 75% of cost with this inexpensive replacement and add up to $1,020 to the resale value.
Replace Garage Door – This low-cost job can add up to $1,110 to your resale value.
It is only natural that some homes require interior remodeling, and unfortunately, this is where it becomes expensive. If you need to make repairs to the interior of your home, a minor kitchen remodel represents the best value, but with costs up to $20,000, it is an expensive operation which will only add $15,800 to the resale value.
A bathroom remodel will recoup less than 70% of its cost, adding $11,600 to the sale price. Homeowners and investors need to seriously consider whether simple, minor alterations to facades can spark new life into perhaps tired, older fittings.
The smartest investors will continue to focus on the exterior of the house for the best value improvements. A manufactured stone veneer can add great value to your home for a return of $7,500. It represents a safe option when considering the statistics show the job recoups over 96% of its cost.
It may be worth considering replacing the siding. This relatively simple job can add up to $9,500 to your resale value, while a well positioned wooden deck can attract buyers and add up to $7,200 to the final sale price.
The best value interior changes are the addition of a family room and the remodeling of the basement. A new family room will recoup $63,500 (78% of cost), while a good quality basement remodel will return around $52,300: over 80% of the initial capital outlay.
Preparing your home to sell isn’t a science, where the details are found in statistics. Each and every home is unique; wise homeowners need to take a look at their house through the eyes of their buyer. Notice those small details you always overlook. The replacements outlined above could be the low-cost solution which could generate enormous levels of interest when the sale of the house goes live.
Are you ready to sell? Harlan Realty knows the Austin market. Selling a house can be very profitable in Austin, especially if you are represented by those who know the value of the market and know how to generate interest in a house. Contact us today to get a free home valuation or to discuss how you could benefit from the number one real estate market in the United States.