There are two reasons to upgrade your home, and they often go together. If you plan on holding on to your property for more than five years, then simply update the house so that you will enjoy it more. Alternatively, if you plan on selling the home within five years, then you may want to consider cost and return. The great news is that several upgrades usually net you more when you sell the home than they do to install.
Consider Cost and Return
It is important to consider cost and return before you start remodeling or upgrading your home if you are interested in making a profit on your investment. Thinking through different materials and ideas can help you come up with a variety of cost options for most projects. It can be trickier to determine the return on your investment. Usually, this figure can be arrived at by considering what other homes with similar features have sold for in your neighborhood. Keep the cost of any remodeling project below its expected return to make a profit when you sell your home.
Bathroom Remodel
Upgrading your bathroom will often net you more when you sell your home than you spend on doing the project. You can start with little projects like re-caulking your bathtub, installing his and her vanities, or installing a new bathroom exhaust fan. Alternatively, you can install heated floors, install a commode with a heated seat and double the size of your shower. Experts warn, however, that the lower the cost of your remodeling project, the larger the percentage you are likely to recoup when you sell the home.
Kitchen Remodel
Remodeling your kitchen can be a significant investment. Kitchens with lots of storage space often help homes sell faster and for more money. Get rid of your old appliances and replace them with energy-saving stainless steel models. Find a way to make your kitchen seem less isolated by opening it up to the rest of the home. Be careful, however, do not overspend the neighborhood where the house is located.
There are many upgrades that you can make to a home that is likely to increase the price that it brings when you are ready to sell. Meanwhile, you can enjoy the upgrades while you are living in the home – particularly smart home upgrades for security reasons. Upgrading your home is often a win-win situation as long as you do not overspend the neighborhood where the house is located.
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