Andrew S. W.

I enjoy spending time of the Internet reading about my hobbies and my passions. And one day I realized I could start a blog of my own, where I could write about the things I like. Home improvement is one topic I never get tired of, so most articles I publish here are on this niche. I hope you like what I write, but if not, drop me a line or two so I can improve my skills. Cheers!

How to add value to your home when renovating

Real estate investing often comes to mind when you hear the phrase “fix it and flip it”. The idea is to undertake a number of  renovation projects to add more value to a home.  For this reason, lots of homeowners have their houses renovated even before putting them up for sale. They believe that fixing up their place brings more profit.  Most often, though, there are improvements that cannot recover the costs. Discover the ways on how to strategically renovate and know which of them really increase the value of your property.

Distinguishing Owners from Investors

It is a great idea to renovate a property for investment purposes since those who have succeeded in the “fix it and flip it” strategy buy neglected houses then do most of the repairs by themselves, saving cash in the process. A little effort and hard work contribute to the profitability of a real estate investment.

Home renovation

Investors are very careful in choosing their remodeling projects. They go for those that bring about the most profit with the least possible costs and effort. As part of the process, they pay close attention to the neighboring homes so they can avoid over improvement. If the other houses in the vicinity do not have Corian counter tops and crown moldings, it will not be sensible to add them since they are not likely to give a higher selling price.

In contrast, owners have a less strategic remodeling approach in fixing their homes before putting them up for sale. This often results to investing a significant amount in repairs and renovation, which is even more than what they will receive when they sell.

To get the most out of  your renovation projects, consider the four types of projects: the basics, curb appeal, personal preference and added value.

The Basics

These are the features that buyers expect to find whenever they buy a home. These are the following: a roof without leaks, functioning downspouts and gutters, dry basement, sturdy floors, efficient furnace, walls that do not need any repairs as well as the other sensible things that are usually found in a home.

More expensive properties are expected to have features like air conditioning,  additional bedrooms, bathrooms and garages plus other amenities that are usually found in the neighborhood like a swimming pool.

Including such features to a house does not increase its value but just brings it to the level of the other homes in the vicinity. The funds used on these improvements may not be completely recovered but at least, it can ensure the owner that the home can sell for a price that is close to the rest of the homes within the area.

Curb Appeal

To make the property look more attractive to prospective buyers, it would be a great idea to add items that give curb appeal. Though such projects may not significantly increase the monetary value of your home, it allows the property to sell faster. Some of these curb appeal items are beautiful landscaping, green lawn , brand new appliances, new carpet as well as fresh interior and exterior paint. When you are expecting a prospective buyer, it would be a great idea to bake a delicious apple pie. This is an effective technique to set the stage, allowing your home to look more welcoming and inviting.

Added Value

“Fix it and flip it” advocates opt for projects that give more value to a home. Most of these attempts will not recover the costs involved but others will come close to the figure. The projects  that make the most of your investment are remodeling of the kitchen and bathroom as well as new windows, siding, decks plus a new living area. According to the National Association of Realtors, projects involving kitchens, windows and siding are among the most beneficial projects, recovering at least 80% of the costs during resale.

Add value to your home

Personal Preference

These projects entail features that you like but are not necessarily wanted by others, who may not be willing to pay for them.  These are the amenities often found in most parts of the country like swimming pools, hot tubs, tennis rooms, basement game rooms, wine cellars and ponds. While you could add such items to your home, once you are ready to sell, you cannot expect prospective buyers to be keen on paying more for these things.

House and Home

Whatever project you are taking into consideration, keep in mind that your residence is not merely a house but also your home. In case you intend to stay there for a long time, include amenities that you like without thinking about how they will affect its resale. Just work on the basics and curb appeal when you want to resell, so your property can be at the same level as other houses in the neighborhood.  Do not waste effort and money on a wide range of projects just to boost the value of your property. Chances are, you will spend more money than you will receive, even when working with projects known to increase value of a home.