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Remodeling to Sell Your Home

There is no question that an updated home has more appeal than an outdated home, but which remodeling projects would be the best investment? If you want to remodel to sell, in order to get thousands more in the selling price, you’ll need to know what home improvements are the best investments. The investment value is important, because you’re not planning to stay there to enjoy the home improvements yourself, but specifically to market your home to others.

Because you’re remodeling to appeal to a buyer, it’s important to know what buyers value, what home improvements significantly add to the value of your home, and thus will deliver a return on your investment. Below are home improvements that are known to increases the value of your home. Keep in mind, however, that you have to put these in context with your home and neighborhood. Some of this home improvement may not make sense for your specific home.

Remodeling Home Improvements to Invest in When Selling Your Home

Curb Appeal

What your house looks like when you drive by is critical! Some people won’t even stop if they don’t like the initial look. So, home improvements to the exterior, such as new siding, new paint, or professional landscaping can really pay off.

Kitchen Remodel

This is the most expensive, most used, and most loved room of any house. Depending on your market and home value, a kitchen remodel can return more than 100% of the cost you put into it.

Add a Bathroom

If you have an older home with just one bathroom, your money will be well spent adding a second bath. If you have two bathrooms, adding another one is also a great idea. Everyone wants another bathroom! According to a real estate study, adding a bathroom increases the sale price of a home by 8.7%.

Master Bath Remodel

People love a beautiful bathroom, but it’s important to note that if you have only one bathroom, it makes more sense to put in a second bath than to spend money the one bathroom (or the kitchen).If you have more than one bathroom, updating the master bath with stone tile and a bigger shower is a good investment. You can generally get more than 100% of your costs back.

Structure and Function

As exciting as it is to update a kitchen or bathroom, buyers really want to be assured that the less sexy items are sound! They’d rather move into a house with an outdated bathroom than have a leaky roof or moldy basement. Buyers will be much happier spending money on their own kitchen remodel, than a new roof. So, if you take care of the structure and functional items, the buyer will be happier to pay for the pretty stuff after they move in.

Home Theater

Even in homes in the $200,000 range are getting elaborate home theater systems. This is something buyers may not expect to find in your home, but if it’s there, it can be a huge selling point. Many people want a home theater system, so if you already have it installed, that can be a huge bonus. You’ll likely get most of your investment back on a home theater system.

Room Addition

Everyone wants more space, and especially if you’re in a hot real estate market, adding a room can be a huge selling feature. In fact, according to a real estate study, every 1000 square feet you add to your home boosts the sale price by 30%!

How Much Remodeling is Too Much?

It’s possible to go overboard with remodeling for selling your home. You really need to consider your neighborhood and the value of homes around you. There’s no point in adding luxuries that potential buyers wouldn’t need or want. More importantly, you don’t want your home to be the most expensive in the neighborhood. That will make it harder to sell. You want it to be in the top range, one of the nicer homes, but not the absolute highest value home, because you will likely not receive the true value of it in the sale.

The home improvements that make sense and are a good investment can vary greatly by what area of the country you live in. What’s considered popular, stylish, and trendy or of significant value can be completely different if your home is in a big city on the West Coast, in a rural area in the North, in a suburb in the Midwest, or a touristy area in the South.

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