The Town Broker

Home Remodeling Projects: Which Ones Are Best For Resale?

There are some who say that a professional remodeling job is never a wasted effort. After all, it’s YOUR house, and you want it to be the way you like it.  I will admit that we probably “overbuilt” when we did our kitchen remodel a few years ago. But my wife and I love to cook, and we enjoy this space each  and every day. So for us, while our investment might not pay off at resale, it’s paying for itself over and over again in ”happiness”. It’s a decision I’d make again in a heartbeat! 

But if you’re thinking about a remodeling project this year, and you’re concerned about getting the most for your money at resale, then listen up. Remodeling Magazine just released the 2009-10 Cost vs. Value Report, and you might want to take a look.

The perennial favorites…kitchen and bathroom remodels…are once again featured showing strong returns at resale. But as local home prices have slipped in the past year, these projects have recouped a slightly smaller percentage of their initial job cost. Projects that have improved in their recapture rates include those that make better use of otherwise unused space: basement remodels and attic bedrooms. Maintenance and “emergency contingency” projects like roof repair and the installation of a back up power generator also fared well in this year’s survey.

Remember…the primary reason to invest in a remodeling project is to improve the quality of you and your family’s lives while you live in the home.  But if you need to make an upgrade and don’t think you’ll be spending many more years in the home to enjoy it, or if you’re an investor looking to make the right investment decisions, this report is an invaluable guide. 

Oh…and one more thought: Unless you’re a professional contractor, I don’t recommend tackling a major remodel on your own. An obvious “do-it-yourself project”, or one done without the proper permits and inspections will always return less at resale than one done by a competent contractor. Some could even require major changes before the town will allow the property to be sold to another buyer. So be sure that you do the job right the first time out.

My dad always used to tell me “only the rich can afford to buy cheap”.  That lesson has held me well these 47 years!

Tags: investment, remodeling, ROI

This entry was posted on Tuesday, January 19th, 2010 at 8:20 am and is filed under Real Estate Industry News, Sellers. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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