From Margaret on July 22nd, 2011 in General Remodel
With two-thirds of Americans expected to complete home improvement projects in 2011, one has to wonder: how worth it are renovations?
The short answer? Very. Some professionals even claim that home improvements can be more valuable than a savings account.
For instance, according to the 2010-11 Remodeling Magazine Cost vs. Value Report, window replacement will recoup around 72.4% of its cost at resale. Adding a bathroom returns about half of your investment.
And the juiciest remodel—the kitchen remodel—gives open heart surgery to what Julia Child called the heart of the home, while offering a 72.8% return.
To get pricing on a renovation in your area, click here.
Renovations not only increase the value of your home when it’s time to sell, but provide you with a rejuvenated living situation without the huge cost or hassle of starting completely over.
Experts warn that trying to force a sell on your home can actually lose you potential money. In fact, according to the latest American Express Spending and Saving Tracker, only 43% of homeowners think they could get their asking price if they sold their house today.
This grim outlook has many homeowners putting money into renovations to improve their current homes—and avoid the interest rates on personal savings accounts that have hit record lows.
While homeowners won’t see an immediate return on their home improvement investments, the long-term benefits are huge—and you could end up with a higher sale price, and more profit than the savings account interest rates can offer.
With that in mind, the option to renovate looks pretty great. Home-building experts recommend focusing on select improvements that actually increase your home’s value. These kinds of renovations aren’t trite or simply cosmetic, but help the functionality of your space and bring it to its timeless and modern best.
Home improvements don’t have to mean gutting and replacing an entire room. Make your bathroom feel larger by repainting it with a light semi-gloss, replace flooring with large 12-inch bathroom tiles to minimize distracting grout lines. Add larger mirrors. An average kitchen remodel takes nine months to plan and three to build—but you can improve your kitchen in a weekend by resurfacing cabinets and countertops, adding a new backsplash, and updating drawer pulls and other hardware.
We’ve touted several times the wisdom of home renovations. Smart renovations—kitchen, bath and siding being at the top for return on investments—can also get potential buyers interested in your home quickly, since most shoppers are looking for a ready-to-occupy dwelling.
Yes, renovations are worth it. You might consider putting thought and savings into simple renovations. Apparently, it can literally—aesthetically—financially—be worth it.
Click here to get cost information, ideas, assistance and more.
Photo via Houzz