If you’re considering a major home renovation project, think long and hard about what you want to do and how much it will cost – especially if you plan to sell your house and think your improvements will boost the price enough that you’ll cash in.
These days, it doesn’t work that way, especially in the current housing market. Often, the emotional impact of the way a property looks is equal to, or more important than, the amenities.
An article from The Philadelphia Inquirer recently stated, homeowners looking to invest in home improvements, especially those who plan to renovate in an effort to make their home attractive to buyers, are warned against renovations that don’t return on investment. Amenities and high price additions are warned against, as potential buyers may or may not “get it.” Improvements that get the OK include new paint, new floors and an updated garage door.
According to the real estate agents interviewed, small, inexpensive changes that make a big impact – like a garage door– brings more reliable returns. In fact, according to Remodeling magazine’s Cost vs. Values report, spending $1,500 on a garage door can yield a $1,168 ROI – nearly 80 percent.
In fact, garage door replacements top the list of home improvements that create a good ROI – netting the No. 1 spot. This improvement comes above roof repair (56 percent ROI), major kitchen remodel (64 percent) or a bathroom addition (48 percent) — all much higher-cost projects.
There are no guarantees, of course. And, as a general rule, real estate agents say, smaller changes that show better bring more reliable returns.