Home improvements are not just making your life better in the short term, but also an investment in your future. Ideally, the increase in the value of your home will exceed the cost of the improvement. It takes years for the appreciation in your home to recoup the expense of an improvement.
To get the best return on investment (ROI), here are a few simple rules to follow. Seek relatively low-cost improvements that are maintenance free, distinguish your house from similar homes, and improve the energy efficiency of your home. Here are four home remodel projects that can improve the resale value of your home. You may be able to save money by doing all of them yourself! Always consult your tax advisor to determine if those improvements apply for tax deductions.
Replace the front door
Why not start your home remodeling project with the first thing you see on your house: the front door. Upgrading an old, poorly fitting front door with a newer energy-efficient model is a cheap project that can instantly improve your home’s efficiency and aesthetic appeal. With an average price of just over $1,200, including labor, an energy-efficient front door has an ROI of 98%! A new front door can add a splash of color to the front profile.
Minor kitchen remodels
Replacing major appliances and installing new flooring is a difficult, time- consuming, and expensive task. The national average for spending here is $57,000, and the ROI for major kitchen remodeling is only 68%. Minor kitchen upgrades, like new cabinets, counter-tops, and energy-efficient cook-tops, are comparatively inexpensive. The average spend here is just under $20,000 with an estimated return on investment at an impressive 80%.
Outdoor space is one of the hallmarks of living the American dream. A deck is a great place for a family to gather on a summer day. The average cost, based upon a 16 by 20 foot deck, is $10,000. The average ROI is just over 80%. Adding a deck costs about $35 per square foot, compared to inside space costs of $85 per square foot!
Convert an attic space into an office or bedroom
Turning an existing attic space into a spare bedroom or office, complete with its own bathroom, can be done for a slightly steeper price. Nationally, the average cost is just over $50,000. This remodel provides a 77% return on investment in resale value. Improve your home today with a Home Equity Line of Credit (HELOC)! Just call, click, or visit any Wasatch Peaks branch!