Whether you are ready to list your home on the market or want to increase property value, it’s essential to understand how much of the project cost you might recoup. Plenty of home improvements can earn a return on investment (ROI) of between 60 and 90%. Some projects won’t add much value to your home.
1. Luxury Kitchen Remodel
If you love to cook, a remodel of the kitchen is one of the most exciting home improvement projects. Adding high-end appliances, luxurious countertops, and special features will create the space you want for preparing meals for family and friends. As much as you enjoy an upscale kitchen, high-end renovations often only recover about half of their cost. If you’re planning to sell the home, a less substantial remodel is a better investment when looking to make a significant profit.
2. Hire a Professional Painter to Increase Property Value
Many homeowners tackle paint jobs around the house to save money. However, this may lead to a poor-quality paint job and actually decrease property value. Investing in a professional painter pays off when selling a home. If you’re planning to improve with new paint, hire a pro for the job.
3. Garage Conversions to a New Room
Making the most of your space is important, so some homeowners opt to convert the garage into an additional room or living space. Because many garages do not have the plumbing or electrical hookups necessary, it’s easy to spend $10,000 or more making your garage into a bedroom or living space. When it’s time to sell your home, some buyers prefer a functional garage. The ROI on a garage conversion depends on the local market and what your buyer needs in a home.
4. Backyard Swimming Pool
A swimming pool is a huge asset if your family loves to swim. It provides a relaxing oasis and an ideal place to unwind at the end of the day. However, swimming pools require a lot of work to maintain. This home improvement project adds value for the family living in the home, but it will turn off prospective buyers who don’t want to deal with expensive maintenance costs.
5. Wall-to-Wall Carpeting Won’t Increase Property Value
When selecting flooring materials for your house, there are many different options to choose from. One of the biggest trends of the past few decades has been the shift away from wall-to-wall carpeting and back to hardwood floors. Choosing carpet as your primary flooring decreases your home’s value. Instead, invest in refinishing your hardwood floors or installing new ones.