Making Smart Home Improvements To Increase Value

You made a smart decision to buy your first Cleveland home and now your home is building equity. Maybe it's time to improve your home's convenience factor. As a Cleveland first-time homeowner, it is important that you make smart choices about which home improvements will add the maximum value to your first home. In this article, I’ve included information on home improvements that increase the value of your home as well as ways to save money on home improvement costs.

Smart Home Improvements

Colors and trends are constantly changing and the same is true for what is “hot” in home improvement. Recently remodeling has been focused on creating a master suite that is inviting, an oasis from our hurried lives. The same is true for the master bath. Homeowners now must have a bathroom with a garden tub, separate shower and double sink vanity. A sitting area and/or walk-in closets add to this luxurious feel. Many first-time homebuyers are looking for these mini retreats in the houses they view.

Will we get a return on our investment?

Remember this, no home improvement will give you 100% return on investment. Certain additions, improvements and renovations do better than others for Returns On Investment (ROI) in different areas. For maximum return look at updating your kitchen. A minor kitchen remodel averages 88% (meaning you’ll recoup 88% of the money you spent on remodeling when you sell your home). Consider revamping cabinets, upgrading or replacing appliances and recovering kitchen floors. These remodel jobs are generally a safe bet and you can usually recoup most of the money spent on remodeling your kitchen.

Cost versus Value Study

Each year Remodeling magazine publishes a “ Cost versus Value” study in which they compile and analyze information from real estate professionals around the country. This information includes both national and regional average ROI for various home improvements. If you’re serious about getting the most out of your home improvement dollars, it would be a wise decision for us to review this publication together before you make any plans to remodel.

Plan ahead

Speaking of a plan, it’s important to note that, on average, most improvements will not recoup your full investment if you sell the house within a year. If you know you will stay in your home for several years, the short-term ROI doesn’t matter anyway, does it?

Once you’ve decided which improvements you’d like to make, you might be interested in finding ways to save money on those projects.

1. First, decide what updates and improvements are essential and what isn’t. There are probably some projects at the top of your wish list so budget for what you really want.
2. When making any improvements, make sure it ultimately enhances the marketability of your home. Someday you are going to want to sell your home. Keep that aspect in mind.
3. Next, consider whether cosmetic changes will suffice rather than wholesale demolition and remodeling. A new coat of paint will do wonders for a room.
4. Avoid moving load bearing walls, altering the roofline or restructuring a floor. These require costly construction and aren’t usually necessary. Work within the existing exterior walls and rooflines. By planning bathrooms and kitchens in advance, you insure they share major drains, vents and pipes. By arranging plumbing fixtures against one or two walls, you save significant plumbing labor costs.
5. If your budget is slipping out of control, consider selecting less expensive materials or fixtures if you can do so without sacrificing quality and results.
6. Secure at least three bids from professionally licensed contractors. Have them clarify, in writing, what they will do and what it will cost. Always draw upon their experience and expertise for ways to save money without compromising the work. If you need any recommendations, I can help. Contact me and I will send you a list of trusted professionals.
7. Finally, have everything in a written contract.

One additional – and very important tip – if you can do the work yourself, do it. Since labor accounts for over half of the project’s cost, you can save quite a bit by doing it yourself (DIY). Don’t forget that your time is valuable too and if you aren’t experienced, you may take more time and use more materials than a professional. This could end up costing you more to do it yourself. By the way, always use care when using power tools and other equipment.

Be wise and take all these tips into consideration before starting your home improvement project. In doing so, you’ll probably save yourself a lot of time, money and headaches.

Now would be a great time to begin your home improvement project. Before you tackle that kitchen remodel or bathroom update, be sure the home improvement job will help you achieve maximum return on your investment. Why not submit your Home Improvement project to me, Keith Ramach , your neighborhood real estate expert and I will let you know if the project you are about to start is a smart investment based on your goals.

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