LIVING WELL, REAL ESTATE:
[July 2019 | San Juan Silver Stage | By Ninah Hunter, Real Estate Editor]
WHETHER YOU just bought an older home or fixer or are thinking of selling your home in the near future, certain renovations may improve its value and marketability, others not so much. There are several factors you should consider before spending a lot of money on any home improvement.
Timing. If you plan to be in your home for several years, those improvements that add to the functionality of your home or meet your specific needs may make financial sense. They add intrinsic value, if not actual dollar-for-dollar value, by improving your use and enjoyment of the home while you live in it. On the other hand, if you plan to sell it in the next few months, you will definitely not recoup 100% of your investment. Nevertheless, as you will see below, some improvement projects will give you a higher return than others.
The Neighborhood. If your renovations make it inconsistent with the neighborhood, it may lessen its appeal to potential buyers. Examples are adding a 2nd story when all the other homes are single-story ranchers, or painting the exterior in bright, warm colors when all the other homes are subdued, neutral tones.
“If you have a home 30-50 years old, you will get a higher return on investment (ROI) for remodeling the bathrooms and kitchen.”
Age of Home. If you have a home 30-50 years old, you will get a higher return on investment (ROI) for remodeling the bathrooms and kitchen. If the home is less than a decade old, remodeling the bathrooms and kitchen are unlikely to add much to its value.
Appropriateness of Upgrade. If you have a modest home with average finishes, upgrading the kitchen with expensive, high-end finishes may just call attention to the rest of the home that needs upgrading. Upgrades that make it the most expensive home in the neighborhood, or that are unique to your tastes and needs, will also not significantly increase its value.
With those considerations in mind, here are the 10 home improvement projects with the greatest ROI according to Remodeling Magazine’s Cost vs. Value Report 2019 for the Mountain Region, which includes Colorado. Note that all of these 10 projects are exterior improvements adding to a home’s curb appeal. Making a memorable first impression for the buyer is clearly the most important factor in selling your home faster and for more money.
Ninah Hunter is a REALTOR® associated with Ridgway Real Estate. Her blob/website RidgwayLiving.com is a great resource for both residents and visitors who get valuable information about local real estate, community events, news, restaurants, shops, music, theater, and other fun activities in and around beautiful Ridgway, Colorado. In addition, you’ll get great recommendations for hiking, biking, skiing, camping, and other outdoor activities, health and wellness options, and popular hot spots. Join us today!
