Top 5 Renovation Projects That Boost Your Home Value

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Imagine the satisfaction of walking into a room after renovations. The new kitchen countertops, a modern bathroom, and the newly landscaped garden all contribute to this comfort and pleasure.

While these enhancements help improve the quality of your living spaces, they can also significantly boost the value of your property if you decide to sell it.

However, the renovation choices can be overwhelming. You should also balance your preferences and what potentially yields a higher return on investment.

If you don’t know what renovation projects suit your home, this guide will provide the top improvements to boost its value. We will also cover the considerations before renovating and the remodels that could decrease property value.

1. Kitchen Renovations

Because kitchens are a frequently used room, homebuyers typically seek kitchens with modern designs. Thus, kitchen renovations may make your property marketable.

Minor kitchen remodels can add market value to your property, including ceiling repainting and floor replacements.

You can also consider the following upgrades, depending on your needs:

Appliance upgrades

Besides being less functional, outdated appliances can detract from your kitchen’s visual appeal. This is why replacing dated appliances can revamp your kitchen’s aesthetic and functionality.

New appliances have advanced features that can make cooking more convenient. As a result, they can be your property’s selling point and attract homebuyers who prioritize the kitchen.

Cabinet replacement or refacing

Cabinet replacements let you customize your kitchen cabinet layout, design, and materials. This option is ideal if your kitchen has a layout issue or when cabinets have worn out.

Alternatively, refacing is a cost-effective option that involves updating the visible cabinet parts while keeping the boxes intact.

Refacing methods include:

• Strip the wood cabinets’ stain and finish them with a new stain or paint
• Install wood or laminate veneer
• Replace the cabinet doors and drawer fronts

Countertop and backsplash additions

Countertops and backsplashes can influence the ambiance and usability of your kitchen.

Countertops are made of various materials, such as granite, laminate, marble, and quartz. In addition to aesthetics, they can provide stability and elbow room for cooking and quick meals

On the other hand, backsplashes are countertop extensions. They can extend as high as the ceiling or as low as a few inches off the wall. They help prevent water, grease, and other particles from damaging the walls, particularly behind sinks and stoves. You can go for a glass, metal, stone, or tile backsplash

Remember that decent returns from these investments are obtained by keeping the costs low. Over-engineered changes often bring lower returns because only a few buyers recognize these features.

2. Bathroom Remodels

Bathrooms are another frequently used space. As such, stylish bathrooms with contemporary layouts and fixtures can amplify your property’s appeal to homebuyers.

However, bathroom remodels generally follow the same return on investment pattern as kitchens.

While digital upgrades seem appealing, maintaining a clean and organized bathroom can be a more practical and lucrative approach. To enhance style and functionality, you can replace outdated fixtures, such as the tub, toilet, and vanity.

Additionally, expanding your bathroom with a walk-in shower, dual sinks, and built-in storage solutions can enhance accessibility and usability, accommodating the needs of multiple users.

3. Energy-Efficient Upgrades

Green power sources are essential to eco-conscious homebuyers, making energy-efficient upgrades valuable.

One energy-efficient upgrade that can increase home value is converting your ventilation system from a fossil fuel furnace to an electric heat pump. Although the upfront fees can be costly, you can obtain high returns.

Moreover, you can install programmable thermostats and energy-efficient lights, doors, and windows.

Other energy-efficient investments you can consider include:

• Insulation additions to the attic, basement, and exterior walls
• Sealing air leaks on doors, ceilings, windows, floors, walls, and fireplaces with caulk, spray foam, and weather stripping

4. Outdoor Enhancements

Many homebuyers consider outdoor spaces crucial because they provide areas for entertainment, hobbies, relaxation, and get-togethers.

Some lucrative investments to enhance your outdoor spaces and property appeal include:

Gardening and landscaping

Landscaping involves planting trees, flowers, and shrubs and installing structural elements like patios, pathways, and water features.

Meanwhile, gardening enhances landscaping by incorporating various plants that change with the seasons. Keeping your garden well-maintained can create a positive first impression on potential buyers.

Other enhancements to beautify your curb appeal are the following:

• Exterior wall and fence repainting
• Front door, vinyl siding, and garage door replacements
• Retouching worn areas and scrubbing the siding to remove dirt buildup
• Adding more green spaces to accommodate hobbies and other outdoor activities

5. Basement Remodels

Converting your basement into a living space can pay off. Adding a habitable area can attract homebuyers seeking functional spaces beyond kitchens, bedrooms, and living rooms.

Here are some basement conversions worth considering:

Entertainment space or family room

For an entertainment space or family room, you can convert your basement into a games room, home theater, or a cozy lounge. These options can become your family’s entertainment hub to relax and enjoy leisure activities.

Home office

Many people prefer to work from home, so transforming your basement into a home office can add value to your property.

To create a home office, you must ensure adequate electrical outlets and a reliable Internet connection. You can also add built-in cabinets or shelves for storage.

If possible, incorporate natural light. If not, appropriate artificial lighting should be added to make the space more conducive to work.

Moreover, you can add soundproofing to minimize household noise and establish a more professional atmosphere for webinars, phone calls, and online meetings.

Guest suite

Another basement conversion option is a guest suite. This room typically includes a private bathroom, a sleeping area, and a small kitchen.

The design must focus on making the space feel light and open. You should also provide adequate heating and cooling to ensure comfortability. Plus, soundproofing can provide guests with more privacy and tranquility.

Bonus: Making your property more accessible and inclusive can boost property value because it caters to individual tastes and capabilities, particularly for older adults and persons with disabilities.

Do these renovations always increase property value?

No. Even if they do, they differ from making a profit and recouping the costs.

Some upgrades may not even make your property appealing because they don’t align with your neighborhood’s style or go beyond an average homebuyer’s preferences.

Considerations before starting a home renovation project

Home renovations are significant projects. Before making these changes, consider the following factors:

Budget

Decorative items can come over time, but you might need help to redo countertops, floors, and fixtures immediately.

For this reason, you must set a budget by analyzing your space. Remember that even the slightest change can make the budget fluctuate. For instance, converting the whole basement can be more expensive than renovating an existing room.

Even if you can DIY, hiring a contractor might be crucial if you can’t do specific remodels. You’ll also need to pay for labor costs.

If you can’t save money, taking out home improvement loans from private lenders like SoFi can be helpful. These loans have no required fees and collateral. They also provide same-day funding if you urgently need the money.

Design and style

When renovating, consider how you want the design and style to appear.

Suppose your home has a traditional aesthetic. Renovating a room with contemporary materials and layouts may make your space awkward.

So, use these questions to guide your choices:

• Do you want the remodels to match the rest of the home?
• Do you want the renovations to stand out?

The weather and time of the year

You can complete some renovation projects, such as kitchen remodeling, basement conversions, and other indoor changes, any time of the year.

However, if you focus on the outdoor spaces, you must consider your location, the weather, and the time of the year.

As such, it’s best to plan your outdoor renovations during the spring months to prevent delays due to the cold weather.

Nonetheless, you must still prepare for the potential delays, even in warmer months, to manage your expectations and reduce stress.

Renovations That Potentially Decrease Property Value

The factors that affect whether your renovations will increase resale value include:

• Real estate trends
• Buyer preferences
• Material quality
• Your location and neighborhood

Because of these influences, the following enhancements can decrease your property value:

• Highly personalized customizations
• Features with ongoing maintenance, e.g., swimming pools
• Bedroom removal
• Converting your bedroom into a closet
• High-end kitchen and lighting fixtures

These details can make it challenging for homebuyers to imagine themselves in the space. They can also destroy valuable functions or turn the buyers off. Although they’re fine if you stay on the property for years, you may have to undo some work when reselling.

It’s also essential to compare your property value with other properties in your neighborhood. Costly remodels might not yield high returns if they make your home more expensive than nearby houses.

Be Wise With Your Investments

Investing in home remodels designed for future reselling must blend your preferences with market appeal. These details ensure your property remains comfortable and functional while securing its asset value.

Remember that market-driven renovations help elevate potential financial returns and the living experience. This way, every investment becomes valuable in the long run.