Sellers always want to know what remodeling projects will be considered investments when it comes time to sell their home. Well, the subject is very, very broad, but here are a couple of projects that may surprise you when it comes to their financial returns (or lack thereof).
One shocking statistic is that you can cover up to 70% back on your investment when you turn the attic into a bedroom. However, this is also one of the most expensive home projects that you can do, averaging just a little over $52,000. However, if you have the funds to add a bedroom into the attic, you more than likely should. Adding extra square footage will almost always be to your benefit when it comes time to sell.
More and more people are working from home these days. That being said, many sellers have turned rooms into offices. Studies are reporting that even though many are working from home now, re-modeling a room into an office earns you back only around 40% on average. Therefore, when remodeling a room into a home office, consider adding removable furniture, such as built in cabinets, shelving, desks, and the like.
If you live in an area of the country where sunrooms can be utilized, you may see up to 45% back on them. This means that if you are questioning whether or not to add or remodel one, you should probably not. Sunrooms are seen as a great perk to buyers, but many aren’t going to shell out an extra few tens of thousands for one. Of course, every home is different, but in most cases, you aren’t going to get much bang back from your buck.
Any money spent in the kitchen and bath area are more than likely going to bring in an ROI. These rooms are where people spend most of their time in the homes. Buyers know this when searching for a home. Therefore, if the house isn’t perfectly up to their standards but the baths and kitchen are impeccable, there’s a good chance your home will still be in the running.
Baths tend to return about 60% of the investment; however, it has to also be done correctly. Most buyers want a master that has 2 sinks, custom-designed showers, and up-to-date lighting, and fixtures. One way to get even more money back from the project is to add another bathroom where possible. Other times, all you’ll need to do is add a fresh coat of white paint, brand new fixtures, and stage with fresh towels and hand soap.