Not all upgrades add value to your home. There are actually home improvement projects that cost you time and money and don’t show up in the valuation of your home.
You’ve decided to take the plunge and finally sell your home. The market is still hot, and you’re ready to take full advantage of all that means for you as the seller. You know your home will most likely sell fast and at a decent price. But, you want more than decent-you want to get the highest price possible.
While your home’s in okay condition, you know with a little elbow grease it could look a lot better. You take a quick glance at your home. Immediately you’re regretting not tackling all those home improvement projects you had every intention of completing. At this point, you’re looking to add the most value to your home, and you know simple fixes can go a long way with buyers.
Given the market, you know your home will sell in its current condition without doing any of the upgrades. The bathrooms are in okay shape, not great. While the kitchen is older, it’s not so old that you cringe when you see it. Of course, the house would look better with hardwood floors rather than carpet. And a new coat of paint would make the place shine. But are these updates necessary?
The questions then become how much work should you put into updating your home before you list it? Should you do all the projects on your list or are there some that will add more value than others?
What if you’re on a budget? What projects should take priority over the others? And here’s the most important question you need to ask. Do home improvements affect the final sale price of your home?
Do home improvements affect the sale price?
This is a great question, especially when it’s a seller’s market. The answer to that question is both yes and no. It’s true that there are updates that add value to a home before selling.
If time and money are a factor, there are home improvements you can skip. These are the projects that don’t add enough value to your home to justify the expense of doing it. You also need to consider if you need to hire someone to do these projects, or if you’re able to do them yourself.
When it comes time to sell your home, regardless of the market, you want your home to shine. The better your home looks, the more desirable it will be with buyers. The more buyers you’ve got wanting your home the better chance you have at creating bidding wars. Those bidding wars are what drive up the sale price. You get the idea.
How do you know what home improvements add the most value?
So how do you know what improvements and upgrades increase your home’s value? And how do you know what projects are not worth the effort?
It’s always a safe bet to assume that a kitchen or bathroom remodel will bring you a good return on your investment. Yet, it doesn’t make sense to put a modern kitchen in an older home. You want the updates to fit in with the bones of the rest of the home.
The updates you do should add to the look of your home. The last thing you want is for those upgrades to shine a bright light on all the projects you didn’t do. It’s important to do projects that increase value, but also keep the integrity of your home.
When it comes time to sell your home, there are home improvement projects that are worth doing. And others that don’t add value.
Here’s a breakdown of projects to do before selling your home. These five updates will increase your home’s value. But don’t get too carried away. Here’s a list of seven home improvement projects that don’t add any value to your home. Always remember, when possible, use a professional so it looks like a million bucks.
5 Home Improvement Projects That Add Value
#1. Giving your kitchen a mini-makeover
The kitchen is the primary selling point of a home. Ask any woman. Having a kitchen that’s sleek, modern, clean, and updated goes a long way in the sale price of the home. The real question becomes do you go all in and give your kitchen a complete makeover. Or do you do a mini one and bring it up to speed with current styles.
Here are some interesting statistics that will help you make this decision. A mini kitchen makeover can yield an 83% return on your investment. This means that for every $100 you spend on the renovation, your home’s value goes up by $83. That’s a pretty decent return on investment. Keep your updates simple and get more for your buck.
Simple Kitchen Updates:
- Updating your sink to a stainless sink and faucet
- Installing new floors
- Refinishing cabinets
- Getting new hardware on all doors and cabinets
#2. Update all your bathrooms
Next to the kitchen, bathrooms are the other make-or-break areas in a home. Many buyers don’t want to have to deal with a bathroom renovation. They want to be able to move into the home and have it ready to go.
But a bathroom update doesn’t mean you have to gut it for it to increase your home’s value. Replacing old light fixtures and installing a new vanity make a huge difference. Changing out the flooring goes a long way for a buyer.
If you’re on a tight budget and you have many bathrooms that could use some love, pick the master bathroom first. This is the most important bathroom to update. The master bathroom will give you the highest rate of return on your investment.
Bathroom Upgrades That Make a Difference:
- A fresh coat of paint all over
- Update the vanity
- Recaulk the tube and shower
- Install new fixtures and lighting
#3. Put in hardwood floors, or at least replace the old carpet
Carpet’s a no go for many buyers. Especially old, worn-down carpets that have seen better days. If you can’t install hardwood floors, be sure to replace carpet that’s looking nasty. Stains, pets, and children have a way of making the carpet look like an old rag that’s used for cleaning. New carpet makes your home smell and look new, and that’s what buyers love.
Installing hardwood floors doesn’t have to be expensive. There are plenty of options available depending on your style, budget, and need. Changing out your carpet to hardwood floors is money well spent. Especially when it comes to home improvements that add value.
#4. Don’t forget about the front yard
You’ve heard of curb appeal, right? Well, it’s a real thing. It’s not only buyers that judge a home by its outward appearance. Believe it or not, over 94% of real estate agents agree. Your home’s curb appeal affects its value and ability to sell fast.
When you care for the outside of your home, buyers are more likely to want to walk through the front door. You don’t need to go overboard and plant a garden. Give your shrubs and trees a trim and plant a few annuals and perennials for a pop of color.
Landscaping Ideas That Are Simple To Maintain:
- Add beauty bark near the siding of your home
- Rocks are another alternative to beauty bark
- Plant foliage that is best year-round
#5. Replace your front door
Talk about an easy update that can change the entire look of your home. I once had a home that had a red door. While that looked nice, when we painted it a deep navy blue the entire exterior of the home changed for the better. It was the easiest, cheapest update, but made all the difference.
If you aren’t able to buy a brand new door with some character, repaint your front door at the very least. A bright color that stands out against your home will invite buyers in.
Consider a steel door if you’re replacing it. Steel doors are popular right now thanks to their energy efficiency and safety. Steel doors are great for blocking out the cooler temperatures. Especially during the winter months.
Home Improvement Projects That Don’t Add Value
#1. Projects that are DIY
- This includes projects like a faux fireplace or molding
- Buyers can see the difference between professional and DIY
- Better to hire out and avoid a project looking cheap
#2. Converting your garage
- This is a costly project that doesn’t translate into more value for your home
- While a garage used as an office is ideal for you, it might not be for someone else
- Many buyers are looking for a garage, so avoid converting if possible
#3. Installing solar panels
- It’s true that solar panels will save you money and reduce your carbon footprint
- These savings do not mean added value to your home
- Solar panels actually decrease in value over time
#4. Adding a wine cellar
- A wine cellar is definitely a “wow” factor for buyers
- It’s not usually something that’s on their must-have list
#5. New windows throughout the house
- Only replace the broken windows when listing your home
- New windows make your home more desirable, but they don’t add actual value to your home
- If you do need to replace them, go with vinyl windows since they offer a greater return on investment
#6. Remodeling a basement or attic
- Of course, a remodeled basement or attic’s a huge plus for buyers
- When it comes to adding value to your home, you don’t always recoup the amount invested
#7. Combining smaller bedrooms to create one big bedroom
- At the end of the day, a three-bedroom house is more attractive to a larger group of buyers than a two-bedroom
- Even if the bedrooms are small, many buyers have kids and want separate bedrooms rather than one big room
- Rather than tearing down walls, do things to make the room look bigger like adding mirrored closet doors
It’s super important to make your home look the best it can when it comes time to list it. Even small updates and upgrades can add value and get more buyers interested in your home. Be careful not to invest your time and money into home improvements that don’t add actual value to your home.
A skilled and knowledgeable real estate agent can get your home in tip-top shape. An agent knows the market and is familiar with what buyers are looking for. It’s their job to sell your home for top dollar. Take the guesswork out of selling your home and use an agent that’s trained to get it done right.
If you live in Kitsap County and are looking into buying or selling, contact me today. My name is Wendy Bathgate and I’m a local resident and real estate agent. I would love to help you on your journey to homeownership. Any questions you have, I’m ready to answer.
Reach out to me today and let’s talk about your options.