Is the Home Upgrade Worth It?
When you have a new home, getting it renovated is a natural desire -- since you want your home to be yours in every way. Whether you plan to live in the house or want to re-sell it, upgrading your house can go a long way in boosting its overall value.
A good way to go about home renovations is by considering the overall return on investment you can get from them. While it is rare to get 100% return on every upgrade you make, you can still aim to get 70% or more. The best part about these home upgrades is that they are durable and have a long life making them long-term investments that help your home grow in value with each passing year.
Care has to be exercised in picking the right home upgrade because if you pick the wrong ones, you can damage the value of your home or get returns that are less than 50%. If you’re curious about how you pick the right ones, the following are certain home upgrades that are definitely worth the cost:
It’s difficult to imagine that insulation replacement is a worthwhile home upgrade but considering the benefits it has to offer, it is well worth the cost. The biggest plus point with insulation renovation is the energy efficient nature of insulation and the fact that it allows you to save more on your energy bills each month. Costs associated with installation replacement can run high and you can expect to spend a minimum of around $1,200.
Luckily, this is one home upgrade that offers you an ROI of 116% by offering you a resale value of $1,400. In some situations, you can also get tax benefits and also take advantage of government approved programs so it is easier for homeowners to afford this upgrade. Well insulated homes, particularly in localities where winters or summers can be rather extreme, can save a lot of money in the longer run so homeowners are willing to pay more for good insulation. A house that is properly insulated is extremely valuable in terms of ensuring energy efficiency.
Kitchen Remodelling – Minor
Kitchen remodeling is already known to provide good return on investment but you have to pick it wisely to get a bigger return. All chrome kitchen appliances are visually appealing, but not everyone wants to offer big money for a brand new kitchen. In fact, major kitchen remodeling jobs can cost you a lot of money, in some cases, going up to $120,000 with ease. For this reason, many people often tend to overlook kitchen upgrades. The ROI is not satisfactory either because you only stand to recoup 61.75% of the initial costs as you only get a resale value of $73,707.
On the other hand, minor kitchen remodeling jobs are actually more affordable as they don’t cost a lot. They also allow you to focus on areas that really need work done such as the kitchen cabinets, shelves, pantry and more. With a little bit of DIY as well as attention to aesthetics, you can get a bigger return on interest. Costs associated with minor remodelling come up to $20,000 but with a resale value of $16,716, the ROI is pushed up to 83% which makes this a more feasible option.
Garage and Entry Doors
Not everyone pays attention to the garage doors of the house but these add to the overall curb appeal of the house. Homeowners are also more comfortable in homes with garage doors that have security options, including being automated. While most times, home owners often let go off the aesthetics or let go of the security to cut down costs in getting a garage door, the return on investment you get with garage door upgrades make the expenditure worthwhile.
Whether you DIY the job or get help from experts, garage door replacements can cost you a total of $1,652 and give you a resale value of $1,512. This means that you get to enjoy a return on investment of 91%. In some cases, the numbers might differ based on the kind of security measures you are deploying, the material being used and more. Luckily, garage doors are extremely durable and can last for up to decade with proper maintenance.
Similarly, another easy, affordable and simple upgrade is the entry door. It adds great aesthetic value to the house, enhances security and also adds to the energy efficiency of a home. In fact, good looking entry doors are greatly liked. There are even social media pages and threads on platforms such as Instagram and Pinterest dedicated to good looking entry doors. Costs associated with entry door replacements are also minimal, coming up to around $1,335 and offering a resale value of around $1,247. This means you get an almost similar return on interest as the garage door.
Windows – Replacement
Windows play a key role in establishing the visual aesthetic of your house from the exterior and the interior. The spacing to the size, the frame and the design and more, every element of good windows can elevate your home. Another plus point is that they can also be energy efficient and last you for years. More and more people are opting for double pane and triple pane windows as they are energy efficient, help to cut down on energy bills and even have noise pollution cancellation abilities, making them perfect for use in urban areas.
Costs associated with window replacements can run up to about $14,725 and offer you a resale value of $10,275. With a return on investment of 73% most people don’t always tend to opt for this replacement. However, if you want are focusing on upgrades that are energy efficient, you can stand to save more money by taking advantage of different tax deductable programs. These programs are established largely in the aim of making it easier for homes to become energy efficient so you can easily get larger return on investment as well as a better resale price.
Roofing – Replacement
One major home upgrade that you should never skip out on is the roof replacement. Roofs play a huge role in the house and if yours is damaged or nearing old age, it is a good idea to get it replaced. A new roof is extremely costly but it lasts for 20 to 25 years or even longer. For this reason, you should consider it as a long term investment. Roofs also play a role in the overall curb appeal of a house. A house with an ugly roof is going to get few buyers. Similarly a leaky roof leads to other problems, including growth of mould, damage to the infrastructure and more issues.
In any situation, a replacement, which could run you a total of $20,142 and offer you a resale value of $14,446, is worth looking into. With a return on investment of 71%, this is still a feasible home upgrade. In some cases, you might need just minor work done, so just getting it maintained can also be good for you. This not only enhances the life of the roof, it also ensures that the value doesn’t diminish of the overall roof.
A Whole New Home
What’s the biggest home upgrade you can make that can increase the value of your assets? The answer is buying a whole new home, of course. There are only a certain number of upgrades you can make to your home. If you feel like you have hit a plateau and don’t know what replacements or upgrades to make, it might be time to put your home on the market. This allows you to liquefy your current asset and get a bigger house that will translate into a bigger asset.
With the property market in good condition and with the upgrades you do have in your current house, you can expect to get a resale value that will leave you feeling happier. Buying a bigger home is also a major upgrade so work with the experts when you’re looking to sell. With their help, you can find out the current value of your home, the expected price you can get and they will find you the best buyer possible. Once they’re done with that, they can also help you search for the bigger home you want.
Work with Professionals
Finding a home with all these upgrades or noticing the right upgrades of value in a home can be rather difficult on your own. Luckily, you can work with real estate agents who can help you find the house of your dreams. If you’re looking to work with a good real estate agent, get in touch with Mandy and Joe Kovacevic.
Their services include free home evaluations, as well as a free market report that will allow you to be aware of the current worth of your home and more. Whether you want to invest in real estate, improve the overall value of your home or are searching for your dream home, you can trust Mandy and Joe Kovacevic to do it for you. For more information regarding their services, give them a call on (519) 578-7300 or fill in the online form and they will get in touch with you.