How to Increase the Value of Your Home
Whether you just bought a house or have lived there for a while, improvements to your home can be a fantastic way to increase its value. But don’t break out your tools or bring on the contractors just yet! Take time and carefully assess your options.
First off, consider how long you will live in your home. If you are going to sell soon, talk to your realtor and make a selling plan.
If you intend to stay, brainstorm a list of updates you would like to make. Estimate how much each would cost. Then prioritize your list, balancing costs against what is a “must have” and what is more of a dream. It’s OK to include extravagant things like that waterfall you’ve always wanted – just be realistic about costs and keep your financial picture in mind.
Armed with your list of potential upgrades, do some research or talk to a realtor to understand what sort of return those improvements could bring. You may be surprised to learn just how much more value some can add compared to others.
Start with the exterior
Curb appeal is your first chance to make a good impression. Your home’s exterior needs to compel a prospective buyer to walk through your front door.
Start by making sure your landscaping is well maintained. If your yard seems dull in comparison with your neighbors, consider planting flowers or repainting the front door. We suggest Prospera yellow! (We’re kidding… but would definitely be flattered).
Move on to the interior
Once the exterior looks good, focus on the kitchen and bathroom. These two rooms can keep a property from reaching its highest valuation if they are outdated.
You don’t have to spring for heated towel racks or marble floors, either. A minor kitchen remodel typically recoups 81% of its cost in added value, versus 53% for an upscale kitchen remodel with stone counter-tops, custom cabinets and commercial-grade appliances.
The same is true for bathrooms. A mid-range remodel — new flooring and a few updated fixtures — delivers a 70% return on investment. An upscale bathroom remodel — heated flooring, custom cabinets and designer fixtures — sees only 56% on average.
Make it energy efficient
Energy efficient features can have a significant impact on home value, especially in places that experience extreme heat or cold.
Consider double-paned windows, enhanced attic insulation, LED lighting and efficient appliances to increase home value and entice energy-conscious buyers.
Want to learn more? Read the top 7 ways to an energy efficient home.
Ready to upgrade your home?
A Home Equity Line of Credit can be a convenient way to finance upgrades that add value to your home.