Contrary to popular belief, not all improvements or upgrades made to your home will increase the value of it. This is a widespread myth that has likely been supported by interior designers and other producers or servicers who stand to gain business and money when people choose to remodel or renovate their homes. This being said, some alterations can be made to your home that will increase the value of your space should you want to sell the property or want to increase the value of your assets to increase your options in the future. The following will explore some of the budget-friendly upgrades that will improve the value of your home.
It is important to note that the prices of homes fluctuate depending on several grand factors that are out of our control. The following improvements are by no means a guarantee that you will be able to sell your home for more than you bought it for. Things like the economic stability of the region your home is located in and the nation and neighborhood within which it resides have a huge impact on the value of your home. If you want input that is specifically geared towards your home and your situation, speak to a real estate agent in your area and have them come and look at the house. It might also be worth having a professional come and appraise the house before you make any changes.
How to Think About It: Save Future Homeowners Money
It is important to understand that everyone’s tastes are different, and so often, the changes that make the biggest impact in value are less cosmetic than you might first expect. The biggest perspective shift you need to keep in mind when choosing what to upgrade in your home if the increasing value is your goal is to save the future homeowners’ money.
Here are some examples of things that can be altered in your home to reduce the cost of utilities:
- Patch any holes in the walls or roof
- Improve upon the insulation
- Replace the roofing
- Pay special attention to attic and basement insulation
- Upgrade appliances to energy-efficient options.
- Upgrade light fixtures, light bulbs, outlets, and switches to more energy-efficient options
- Replace windows with energy-efficient options
- Consider installing solar panels or solar roofing tiles (How much value this one adds will depend greatly on the area in which you live, so seek out the advice of a real estate agent if you are considering going this route. It is also important to be extremely wary of leasing solar panels.)
- Update your siding—not only does this improve the visual appeal of your home, but this usually helps with insulation and, therefore, heating and cooling costs—this tip can sometimes make you money on a sale (sometimes as much as a 3-5% increase)
- Upgrade your heating system (especially if you have an outdated system without an energy performance certificate.
- Include smart thermostats
- When it comes to boilers, A-rated and well-known brands are preferable. Hometree is an amazing solution that will keep your home warm, safe and working.
- As a side note, period-style radiators should not be replaced even though they seem old-school. They are often highly desired for their visual charm but also tend to produce far fewer allergens floating in the air than other forms of heating
- Fix leaking pipes or gutters
- Add double or triple glazing onto the windows
Make Life Easy for Future Home Buyers: Seek Out and Apply for Planning Permission
Even if you are not thinking of doing any work on the place that requires planning permission, it is still a good idea to secure it. This simple piece of paper means that buyers and future homeowners won’t need to go through the planning process or risk buying a home and having the alterations they want to make rejected by the local county authorities. This can improve the value of your home, and it is easy to go about.
Do Some of the Home Buyer’s Work for Them: Clear out Clutter, Garbage, and Junk
Both inside the home and outside, there are likely a few things that could go. Getting rid of this stuff yourself can save future homeowners time and energy. People think about how much work home is going to be when they are shopping, and making things easier on them can mean a difference in how much they’re willing to pay. This might seem like an expensive undertaking, to begin with, but it doesn’t have to be. Research local dumpster rental prices and have everything that needs to go hauled away. A lot of this work can be done by yourself. While saving the future homeowners the trouble of getting rid of things, this will also help the property appear cleaner and sleeker, which can make it more desirable.
What to Avoid
It is just as important to avoid certain types of upgrades as it is to pursue others. Believe it or not, some “improvements” to your home might decrease the value of your property. Don’t make large renovations before you sell a home. Almost always adding in another bedroom or a bathroom will not increase the value of your home enough to justify the cost of the remodel. It is also important to note that only fully enclosed and insulated rooms contribute to the square footage of your home. This means screened porches will do nothing to improve the “size” of the house and so will not influence the pricing the way you expect.
Besides the two upgrades mentioned above, the following choices will not increase the value of your home enough to justify their upfront costs:
- Using luxury or expensive paints and wallpaper (no one is going to know how much it cost once it is upon the walls)
- Giving up a bedroom for another purpose or extension—people like bedrooms, and the more, the merrier, even if they’re small
- Adding a swimming pool—pools can sometimes make it harder to sell your home because they’re expensive to heat and require a lot of maintenance
- Luxury or expensive landscaping can cost a fortune and, like with a swimming pool, homebuyers often look at an intense garden and think about all the maintenance work required
- Altering the use of the room—just because you didn’t need a garage doesn’t mean a future owner will feel the same way.
With the above upgrades kept in mind, you are well on your way to choosing the right improvements for your home. It is always recommended to speak to a professional appraiser or real estate agent before beginning major undertakings as each neck of the woods has its special quirks and trends that need to be kept in mind.