A recent report from the National Association of Realtors and the National Association of the Remodeling Industry showed the results of a survey of contractors and realtors regarding the impact of remodeling and the value it can add to your home at resale. The report noted that Americans spent $326.1 billion on remodeling in the first three quarters of 2015. Reasons for remodeling in order of importance to consumers: upgrade worn-out surfaces, finishes and materials, add features and improve livability and because it is time for a change.
We find all of these reasons among our clients. When it comes right down to it, our clients look to us to recommend the best approach to remodeling their homes. We find out why they want to spend their hard-earned money to remodel – we establish their objectives for the project and help them to get to the root of the remodel. Upgrading a worn-out surface may not be the only thing or the right thing to do if they want to give kitchen a “facelift.” First, we need to get to the reasons you want a “facelift.” Most likely they include the desire to be trendier, more user-friendly, younger and longer-lasting. If you’re going to stay in the home for five or more years, you may want to add new kitchen cabinets, build a bigger island and create a space for a pantry. If you’re going to move in two years, a $30,000 upgrade doesn’t make sense. You will be hard-pressed to get the return on the investment in that amount of time unless the kitchen is totally outdated.
Little things make a difference, but you want to get the most bang for your buck. In addition to kitchens, bathrooms are the next big renovation that pays off at resale. Bathrooms in a finished basement add value. Great rooms, sun rooms and decks are also wonderful additions that add some extra style and functionality to a home.
If you’re hoping to flip a house, only do what the market requires to sell it quickly and simply price it right, letting the new owners do any major remodeling. If you’re planning to live in the house for a few more years, by all means, take on the project – you’ll be glad you did in the end. We’ll talk more next time about the enjoyment, or “joy score” you can get from a great remodel.