Summer is the perfect time to take on your next home improvement project!
Whether you’re looking at a project that consists of a simple coat of fresh paint or a complete remodel, home improvements are an excellent way to increase the value of your property.
According to HGTV, “Home improvement projects cost about 20 to 25 cents on the dollar. The other 75 to 80 cents spent go directly back into the home through increased value.”
The increased property value is not the only benefit you’ll get out of these projects. You will also enjoy your home more when it has the necessary updates and improvements that make it function better and feel more comfortable.
Ready to get started on a project? Here are a few ideas for popular home improvement projects organized from the very simple to more time and resource-consuming:
Keep Your Home Tidy
Simple as it may seem, cleanliness is the simplest and most cost-effective way to keep your property value up. The more clutter and mess you have in your home, the more distracted a potential buyer or appraiser will be from the actual features of your home. In fact, according to Forbes, keeping your home clean and free of clutter can increase your home’s value by 3-5%.
Improve the First Impression
How does your home look before you even step in the front door? This is an essential question for an appraiser considering your home value.
Take a look at your landscaping, front porch, walkway, and door. What simple improvements can be made to make it look its best? Some fresh plants, new paint on the door, or some front porch furniture can be a simple yet effective way to improve your curb appeal and thus improve your property value.
Add a Steel Entry Door
According to CBS news, the #1 most effective return on investment you can make to your home is actually the front door. Updating your standard front door to a steel entry door has a 96.6% increase in your home’s value while only costing a little over $1,000.
Throw on a New Coat of Paint
Fresh paint can make a huge difference in your home’s value with a low investment cost. A new coat of paint makes your space look fresh, brighter, and newly updated.
Be sure to choose your paint colors carefully though. A neutral color makes it easier for a potential buyer to envision themselves in a home, raising the value. However, a color that is too bright or unappealing can have the exact opposite effect, turning off a potential buyer and wasting your investment cost.
Bathrooms are the easiest space to determine if a house is outdated. If your bathroom fits into this category, consider the costs for both basic and extensive bathroom upgrades. Simple changes could be to look at your sink fixtures or flooring. Or gut out the whole space and start again for a full update.
Kitchens are the space in the home where the family comes together to sit down to a meal. Make sure that your kitchen is an inviting space in which potential buyers can picture their family spending time. Are your appliances, cabinets, or counters outdated? These updates can go a long way in making your home pleasing to more buyers, therefore increasing the value.
Finishing the Basement
Basement remodels have huge potential for return on investment when it creates an added benefit for a buyer. It can be an entertaining space, guest room, or a space tailored to your family’s lifestyle and wants. Regardless of how you use it, having a finished basement will pay off big.
Adding a Second Level
Having more bedrooms is the most effective way to increase your property’s value as it raises your home into a new category that elicits a higher cost. Though adding a second level to a ranch-style home is a costly investment and a big renovation project, it has a 71.8% return on investment according to CBS news. Big project = big reward.
Whether the project is big or small, any investment in the home can come back into your pocket when done properly.
Some projects with a high startup investment cost can require a loan to get off the ground. That’s where we at Mid-Minnesota can help. Visit our website to learn more about our home equity lending process.