As a real estate agent, I’m often asked which renovations combine the most bang for your buck. Whether you're looking to makeover your home or preparing to sell or re-finance, making smart upgrades can help drastically increase the value of your home. In general, you’ll see the highest return on your investment if you focus on cosmetic updates such as a kitchen or bathroom remodel. However, before you get started with that kitchen overhaul, let's take a look at the 2020 Cost vs. Value Report from Remodeling magazine. This report will help you better determine which updates will make the biggest difference in the value of your home. And when it’s time to sell or refinance— and reap some of those returns — you might be pleasantly surprised by the results.
A beautiful garage door isn't just about looks. In fact, a garage door's appearance can have a substantial impact on the resale value of your home— by further enhancing your home's exterior curb appeal. This update will see a 98% return on your investment on average.
In addition to its functionality, a good kitchen can make a home more appealing and enjoyable. A kitchen remodel can provide an opportunity to bring out the beauty of the countertops, flooring, cabinets, backsplash tile and other features. And chances are that if you give your kitchen a fresh design it will inspire you to cook more and enjoy spending time in it with family members.
Potential buyers will see a lot of value in an updated kitchen remodel. Your potential for RIO can be as high as 81%. A typical kitchen remodel can include: New or re-faced cabinetry, new fixtures and hardware, updated countertops, new energy-efficient appliances, and even new flooring and paint.
The entryway of your home is your first impression, and also for potential buyers, so why not upgrade? Installing stone veneer on part of your home is one way to make an impressive update to this area. With an average cost of $2000 and a ROI of 95% this can be a great cost-effective solution to enhancing your home curb appeal.
Window replacements will add huge value to your home. Here in South Florida, one of the most sought-after updates is hurricane impact windows. Not only will this add beautiful aesthetics to your home, these upgrades also relieve the homeowner from having to manually install shutters for every tropical storm or hurricane, making this a very valuable home upgrade. Impact windows will also significantly reduce outside noise from disturbing you in your home. You can expect to see around a 75% ROI on these projects.
Bathroom remodeling is another upgrade that potential buyers see a lot of value in. A bathroom is typically one of the smallest rooms in the house, but it has a number of high-dollar upgrades that have been featured on shows on HGTV. The average ROI on a typical bathroom remodel is 67%. For amid-range bathroom, typical upgrades can include an upgraded/modern vanity, anew sink and hardware, new faucets, updated tile, frameless shower doors, and anew bathtub.
Investing in your home not only brings significant enjoyment but can also be a very smart financial decision. Increasing your home's value will in turn increase your equity allowing you to reap the financial benefits when you decide to sell or re-finance.
Always remember, before you decide to make large investments into your home it's important that carefully research the costs in your local area and properly vet the contractors you hire. Hiring licensed professionals within your budget is key.
If you're thinking about selling your home but currently do not have a budget for renovations, Compass Concierge may be right for you. Compass Concierge is a program that fronts you the costs of home renovation services with no interest – ever. Allowing you to sell your home for top dollar in a quicker amount of time. Feel free to contact me directly if you are interested in learning more about Compass Concierge.