Photo Cred: Houzz- Designer JDP Interiors, Miller Drive Project
When it comes to increasing your home value, updating and remodeling your house can be one of your best return on investments. But not all home investments are created equal. It's important for home owners to know which updates/upgrades are going to yield you an increase in value and which won't. This doesn't mean you can't do whatever upgrades you want. It just means that you are doing it for yourself and your own enjoyment and you understand that when you go to sell that you won't be seeing a dollar for dollar return.
According to an extensive HGTV study and research, here are the top 10 home updates that will yield you the greatest return on your investment.
#1- Minor Bathroom Remodel: Average Return at Resale- 102%
It costs about $10,500 to replace the tub, flooring, tile surround, sink, toilet, vanity and light fixtures. You'll get back an average of $10,700 at resale.
#2- Landscaping: Average Return at Resale- 100%
The average homeowner spends about $3,502 for landscaping and $1,465 on a designer. Quick Tip: Cut back overgrown shrubbery and trees. Install flowering foundation plants and mix heights and colors for a more dramatic effect. Add a small splash of color at the front door.
#3- Minor Kitchen Remodel: Average Return at Resale- 98.5%
A minor kitchen remodel averages around $14,900 and can be completed when your kitchen needs a cosmetic update and not a different floor plan. Quick Tip: If your home is worth more than $500,000 install stone or upgraded countertops, new cabinets, lighting, flooring, sink and appliances.
#4- Exterior Improvements: Average Return at Resale- 95.5%
Quick Tip: The average national cost to replace 1,250 sq. ft. of vinyl siding is $7,239. A gallon of paint covers 400 sq. ft. of house. Fro an updated look, remove old awnings from the doors and windows, swap out damaged wrought iron railings and add a pergola or columns to give your porch a charming makeover.
Photo Cred: Houzz, Designer Spazio LA, Santa Monica Garage Conversion
#5- Attic Bedroom Conversion: Average return at resale- 93.5%
The average attic bedroom costs $39,188 and has the best recoup rate in the west at 105%. That price includes a 15x15 ft bedroom, a 5x7 bath with shower a 15 ft dormer, four windows and closet.
#6- Major Bathroom Remodel: Average Return at Resale- 93.2%
A major bathroom remodel involves expanding an existing 5x7 ft. bathroom, relocation and replacing the tub and toilet and adding designer sinks, faucets, a linen closet, lighting, a ceramic tile floor and exhaust fan for a cost of $26,052. Quick Tip: Start at the bottom. Replace old floors and purchase extra flooring for future repairs.
#7- Major Kitchen Remodel: Average Return at Resale- 91%
A complete kitchen remodel in a midrange home averages about $50,000 and would include updating cabinets, adding kitchen island, new countertops, new sink, wall oven, cook top, flooring and appliances. Quick Tip: Kitchens look bigger with less stuff in it. Try removing overhead cabinets. Stick with neutrals for walls and window treatments.
#8- Deck, Patio or Porch Additions: Average Return at Resale- 90.3%
Adding a 16x20 ft. wood deck will cost about $11,000. In the west, outdoor additions recoup nearly 100% of their value. Quick Tip: Adding decorative planters on the front porch and patio increase curb appeal and make the space inviting. Use bold plantings to distract from flaws or to emphasize key features.
#9- Basement Remodel: Average Return at Resale- $90.1%
An average basement remodel costs around $50,000 and covers about 20x30 ft. of entertaining space, including a bathroom and recess lighting.
#10- Replacement Windows: Average Return at Resale- 89.6%
Replacing 10 3x5 ft. windows runs approx $9,700. In hot climates, make sure you get low-e glass that reflects heat.
