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8 Ways To Increase Your Home's Value

Whether your goal is to renovate your home this year or sell it, making home improvements can increase your home’s value.

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8 ways to increase the value of your home

1. Clean and declutter

To help boost the value of your home, begin by decreasing the amount of stuff that’s inside it. Cleaning and decluttering are relatively inexpensive tasks, even in bigger homes. Professionally cleaning a four-bedroom home costs between $200 and $225, according to HomeAdvisor.

Of course, you could save money by doing the work yourself. Start by going through cabinets and closets and making donation piles. Then clean out drawers and other storage areas, making sure you’re not keeping anything you don’t need or want.

2. Add usable square footage

Adding more usable space to an existing home can make a lot of financial sense, and that’s especially true in areas with limited available real estate where land and space are finite.

Homes are valued and priced by the livable square feet they contain, and the more livable square feet, the better, says Benjamin Ross, a Realtor and real estate investor based in Corpus Christi, Texas. As a result, adding a bathroom, a great room or another needed space to a home can increase function and add value.

Adding a separate mother-in-law suite can also be a smart idea, says Ross, noting that “most homes do not have this feature, so adding one sets you apart from the competition when it is time to sell.”

The national average cost to build an addition is $49,562, according to estimates from HomeAdvisor. The actual cost will vary depending on the type of room you’re looking to add. For example, tacking on a laundry room to your home might be as little as around $8,000, while adding a new bedroom with an en suite bathroom might run up to $100,000.

3. Make your home more energy-efficient

Projects that lower utility bills is a smart way to increase the value of your home. Installing a smart thermostat, for example, helps improve efficiency and save money, says Scott Ewald of Trane, an HVAC company.

“The right smart thermostat will allow a homeowner to control their home’s climate from anywhere, giving them the power to manage energy costs regardless of whether they are sitting on the couch or away on vacation,” says Ewald. “Such investments in home tech — particularly when connected to the HVAC, which is the largest mechanical system in the home — provides a strong selling point and highlights the home’s overall comfort, functionality, energy efficiency and convenience.”

It can cost between $200 to $500 to make this quick upgrade, according to Fixr, or an average of about $300.

Other ways to improve your home’s efficiency and value include replacing old, leaky windows, installing energy-efficient home appliances and adding insulation to your home. Keep in mind, though, that new windows and new appliances will be a much more expensive project.

4. Spruce it up with fresh paint

One of the most popular home improvement projects in 2022 is painting or wallpapering, according to Angi. A fresh coat of paint can make even dated exteriors and interiors look fresh and new — and it’s not that expensive, either.

Begin by repainting any rooms with an “odd” color scheme, says Timothy Wiedman, a former professor and personal finance expert who has flipped homes over his career. For example, did you let your then-11-year-old daughter paint her bedroom hot pink 16 years ago? If so, that’s a good place to start.

Your painting budget will depend on which rooms you’re hoping to give a new splash of color. For example, HomeAdvisor pegs painting a bathroom — usually the smallest room in the house — somewhere between $150 and $350, while a 330-square-foot living room might cost as much as $2,000.

5. Work on your curb appeal

From power washing your driveway to hiring someone to wash your windows and mow the lawn, improving curb appeal can make a big difference in your home’s value. In fact, curb appeal can account for as much as 7 percent of it, according to a 2020 joint study out of the University of Texas at Arlington and the University of Alabama.

Upgrading your landscape can go a long way, says Joe Raboine, director of Residential Hardscapes with Belgard.

Some ideas: a fresh walkway, shrubs, planters, mulching or even a new paver patio or outdoor kitchen.

6. Upgrade your exterior doors

Also in the vein of curb appeal, replacing an old front door can work wonders, says Wiedman. In the late ’90s, he and his wife replaced an old, ugly door with a solid mahogany door with a frosted, oval piece of lead glass. He stained the door himself to save money, and the result was “simply stunning.”

Don’t forget the garage doors, too, says Randy Oliver, president of Hollywood-Crawford Door Company. At a 93 percent return-on-investment, you’ll get back nearly every cent you spend, according to Remodeling magazine’s 2022 Cost vs. Value Report.

“The front of the home is the first thing you, your neighbors and prospective buyers will see,” says Oliver. “Garage doors often take up the most amount of space on the front of your home, so installing a modern glass panel door or a rustic wood door will dramatically improve your home’s appearance.”

7. Give your kitchen an updated look

Many buyers zero in on the kitchen as the central feature of a home, so if yours is outdated, it can ultimately affect how much you garner from a sale. Likewise, if you aren’t able to utilize your kitchen fully due to layout, space or other concerns, you won’t be maximizing the space.

This project, though, will require a lot of money, and you likely won’t get every dollar you invest back. According to the NAR/NARI report, the average kitchen remodel costs around $80,000, and a homeowner would likely get around $60,000 of value when it’s time to sell.

If updating your entire kitchen is too big of an undertaking, a minor remodel could still have an impact on your home’s value — think coordinating appliances and installing modern hardware on your cabinets. Talk with a real estate agent about what makes the most sense and what will command the most dollars from prospective buyers.

8. Stage your home

If you’re planning to list your home for sale, consider skipping cosmetic home improvements and go with a home staging service instead. Seventy-three percent of staged homes sold for over list price — an average of $40,000 higher — and staged homes move off the market nine days faster than the average, according to the Real Estate Staging Association.

Staging costs just over $1,600 on average, according to HomeAdvisor, but the cost varies based on your needs and home. Staging services range widely, from decluttering and depersonalization (for example, removing family photos or specific decor) to bringing in rented furnishings, repainting and more. Simply put, the more work involved to stage it, the more expensive the production will be. A real estate agent can help you determine which staging services would make an impact on your home’s value.

How to pay for home improvements to increase value

Whether you plan to sell your home or just want to enjoy it more while you live there, it’s important to consider how you’ll pay for these value-adding projects. You can work to save the cash to pay for home improvements as you go, but there are also plenty of financing options that can help you remodel your home sooner rather than later.

Personal loan

Personal loans allow you to borrow a fixed amount of money with a fixed interest rate. These loans are unsecured, meaning you don’t have to put your home or other property up as collateral to get approved. Many personal loan lenders let you borrow as much as $35,000 for home improvements — sometimes more — which you can then repay over time. The rates for a personal loan can vary widely, so be sure to compare options to get the lowest-cost loan for your project.

Home equity loan or HELOC

Home equity loans are similar to personal loans in that you receive a lump sum of cash with a fixed interest rate and fixed monthly payment. Home equity lines of credit, also known as HELOCs, work like credit cards, and come with variable rates and a line of credit you can borrow against.

These borrowing options require you to put your home up as collateral to qualify. The good news is, you could score a lower interest rate with one of these types of loans compared to a personal loan or home improvement loan. In addition, no matter which option you go with, the interest might be deductible if you use the money to make eligible home improvements.

0% APR credit card

If you need to borrow a small amount of cash for your home improvement plans, you might be able to skip the loan and go with a 0% APR credit card instead. Many cards have no interest payments on balances for up to 18 months, which can be ideal if you have a smaller-scale project in mind. A credit card can also work well if you’re able to pay your contractor with it.

Just remember: If you don’t pay your balance off by the time your zero-percent APR offer ends, your card’s interest rate will reset to a much higher variable rate, costing you more.

Cash-out refinance

If you have built equity in your home and you’re looking to do a major renovation, a cash-out refinance could provide you with the funds you need while getting you a lower rate on your current mortgage. The refinancing process is just as paperwork-heavy as taking out a mortgage, however, and there are closing costs to consider. If you go this route, take the time to shop around for the best refinance rates so you maximize your savings.

Improvements to increase value FAQ

6 Ways to Increase the Value of Your Home

Owning a home isn’t only an emotional experience. It’s also a financial decision that can pay dividends as you build up equity in your home and see your property value increase over time.

The rate of this property value increase can depend on a number of different factors, including the community where your home is located, local demand for housing, and the economy as a whole. But homeowners can also affect their home’s value over time by making upgrades and changes that increase its appeal and merit a higher selling price.

Whether you’re planning to sell in the near future or you simply want to continue to grow the value of your home investment, there are many steps you can take to increase the value of your home. Here are six proven strategies that can pay dividends when it finally comes time to sell.

 

1. Update your home’s finishes.

Superficial changes can make a bigger impact on buyers than more intensive renovations. Many real estate agents rave about the difference a fresh coat of paint can make—especially given the low cost of this upgrade. 

Some experts argue that a fresh coat of paint throughout your house can increase the home’s sale price by as much as 5 percent. Other simple upgrades, from replacing old light fixtures to changing out your front door, can also give your home a nice bump in value.

 

2. Upgrade to energy-efficient features and appliances.

Energy-efficient upgrades reduce your utilities bills while you own the home. When it comes time to sell, these upgrades will also offer more appeal to buyers, many of whom are interested in energy-efficient features to lower their own costs as a homeowner.

If your home currently features old appliances that guzzle energy and date your interiors, an upgrade—even if it’s installing modestly priced modern appliances—can help you net a higher sale price.

3. Freshen up your curb appeal.

Simple landscaping features such as new plants and fresh mulch can help your home make a great first impression. 

These changes don’t cost much, and you can do many of them on your own. Both potential buyers and appraisers will be influenced by this visual impact.

 

4. Put your money into your kitchen and bathroom.

Many real estate agents will tell you that kitchens and bathrooms are the rooms that sell homes. 

In many cases, a kitchen or bathroom remodel can offer a 100 percent or greater return on your investment—and that number could be even higher depending on the finishes you choose, the amount of labor you’re willing to do yourself, and how much of an upgrade these changes offer over your home’s current condition.

If you have a renovation budget, kitchen and bathroom upgrades are the best way to increase the value of your home.

 

5. Finish off your basement or other unfinished spaces. 

Finished square footage is an important calculation when determining your home’s fair market value. 

Even if you don’t want to invest in a heavy-duty makeover, simple steps like putting up drywall and adding carpet to a room can turn unfinished space into a profitable addition to your home. This allows you to increase the value of your home by expanding the footprint of this finished space.

 

6. Clean and declutter before showing your home.

When you’re selling or getting an appraisal on your home, a little deep cleaning can go a long way. Take this opportunity to dust in high places, wash your baseboards, give floors a good mop, and haul excess junk and clutter to a donation center.

 

Bonus tip: Use a fresh coat of paint to revive worn spots.

Is your home looking a little worn, inside or out? A DIY paint job carries a low cost for materials, but it can have a big impact on the eye appeal of your home.

Whether you’re painting your living room, bedrooms, or even just the front door of your home, a bright coat of paint can make old surfaces look brand-new—and add some instant charm to your home.

Selling a home can be a great way to pocket some profit after taking good care of that property as your equity grows. With some simple, budget-friendly tricks to beautify and update your home, you can push that potential sales price—and your earnings potential—to its upper limit.


Discover more financial strategies for leveraging your home’s value—download The Smart Homeowner’s Guide to Refinancing today.

*Originally published June 2020. Updated March 2022.

How to raise the cost of housing and stand out with the help of repairs :: Design :: RBC Real Estate

Photo: Duravit

According to CIAN experts, demand for housing in Moscow is gradually declining, returning to 2019 levels. The number of transactions in the real estate market in August 2021 fell by 11% compared to the previous year. However, the volume of supply continues to increase. This situation necessitates homeowners to pay more attention to the process of preparing an apartment for sale.

What affects the cost?

From a large number of factors affecting the final cost of housing, there are several main ones. First of all, this is the location: proximity to the city center and the presence of parks within walking distance. Also, an important parameter is the developed infrastructure and the proximity of shops, schools and kindergartens. All these factors cannot be changed, however, in addition to them, there are a number of additional ones that can significantly increase the value of real estate.

www.adv.rbc.ru

1. High-quality repair

A win-win option for increasing the value of an apartment is a solid repair using high-quality finishing materials. Windows should ideally have double-glazed windows. This is especially true if the windows overlook the road. But if it is not possible to install new double-glazed windows, you can restore the old frames. Many buyers are looking for apartments in the "call in and live" condition - this will increase the cost of housing by at least 5% compared to analogues. If you plan to make finishing a selling point, invest in solutions that are as neutral and durable as possible.

As for the interior, an intricate design can be a reason for the buyer to bring down the price, based on the calculation of the cost of dismantling and overhaul. In addition, it is worth removing all unnecessary things. Apartments that have an abandoned and cluttered appearance not only look worse, but they also take much longer to sell. Whereas a half-empty or completely empty apartment will look not only more presentable, but also more spacious. The more free space you have, the better it will be perceived by buyers and the more expensive it will be able to sell. The best solution would be to use calm tones in the interior and a minimal set of discreet furniture.

2. Create a cozy atmosphere

Preparing to sell a property also involves buying some things that create an atmosphere. The first impression of an apartment is the most important. Small details can make a big difference in the perception of an apartment. Curtains on the windows, a tablecloth on the table, a potted plant will help customers feel at home. Among other things, cozy details will help to get beautiful shots for the announcement of the sale of housing. Light will help improve perception. Screw in more powerful light bulbs and turn on all the lights before watching - this will create a sense of celebration. Poorly lit rooms look repulsive.

3. Pay attention to the kitchen

It is the kitchen that is the heart of the apartment and its home, where they gather for family dinners and arrange sincere meetings with friends. Old tiles, a leaky faucet, stains on the walls and a dirty hood can, if not scare away potential buyers, definitely negatively affect the value of a property. Thoroughly wipe all surfaces, wash the stove and sink, replace faucets and furniture that have become unusable, get rid of ancient cupboards and old dishes with chips and cracks. The kitchen should look clean and literally shine. Running water filters, convenient dish storage systems and exquisite wine racks all add bonus points to your kitchen when viewing an apartment.

4. Don't forget about the bathroom

Plumbing, if possible, should be new, modern. Everything new is always more attractive than used. Rusty faucets, a cracked toilet, and streaks in the bath will definitely not work in your favor. In addition to the fact that the bathroom and toilet should look decent, all plumbing should work properly. If something is out of order, do not skimp on the services of a master or the purchase of high-quality plumbing, otherwise the sale of an apartment can drag on for many months.

Due to the pandemic, hygiene has come to play a special role. A unique feature of your bathroom can be the German brand Duravit, whose products provide maximum antibacterial protection. Toilets from the White Tulip and ME by Starck collections are equipped with the innovative HygieneFlush technology, which guarantees perfect flushing of the entire inside of the toilet with just 4.5 liters of water. All new HygieneFlush toilets come standard with HygieneGlaze, which destroys 90% bacteria, and after 24 hours - 99.9%. Thus, the user receives a double degree of hygiene. The Duravit brand is renowned for German quality and superior performance, which can greatly improve the image of your property in the eyes of the buyer.

How to increase the value of a house? - Articles on real estate in Omsk

Pricing for houses in the private sector is different than for apartments in high-rise buildings. And this is not surprising, because houses on earth most often have their own individual characteristics, which the owner can always improve. What needs to be done in the house in order to increase its value during the sale, said Elena Petrakova, Deputy General Director of Doverie LLC.

A solid house means solid walls, good communications, an attractive view from the window, a good layout with spacious bright rooms and the necessary number of utility rooms, as well as a backyard plot with a place to relax, a garden and a kitchen garden.

There are easy and inexpensive ways to improve the interior and exterior of your home. You can take advantage of them without resorting to large-scale restructuring and cardinal transformations, which entail large financial investments.

First, you need to clean up the backyard - remove debris and improve landscape design: mow the lawn, arrange paths, planted flowers and shrubs. The next step is to inspect, repair or replace the roof. This is one of the most important home renovations. The new roof will not only protect the house from heat and precipitation, but will also significantly transform the house.

Windows are most affected by the environment and in any case require special attention. Repainting (or replacing) windows while repairing window hardware is a great way to give your home that extra touch of freshness and appeal.

It is also important to thoroughly diagnose and repair all utilities related to electricity, heating, gas, water supply and sewerage. If the house has security systems, then such important points should also be in working order.

You should also pay attention to the front door, as it is the hallmark of the home. If necessary, the doors can be repaired or new ones installed so that the first impression of a potential buyer remains positive.

Cleaning of bathrooms and toilets deserves special attention - from a thorough cleaning of all wall and ceiling surfaces to cleaning of all plumbing fixtures. If necessary, repair work should be carried out: fix plumbing and taps, renew tiles.

Refreshing the kitchen is also useful - replace the countertop, wallpaper, if possible the flooring, repair or replace the refrigerator. You can carry out minor repairs in all rooms: replace sockets and switches, door handles.

By amplifying lighting, replacing light bulbs with more intense ones or adding new lighting devices - chandeliers, sconces, table and floor lamps, spotlights - you can not only achieve a favorable first impression, but also visually increase the space. For the same purpose, you can correctly arrange the furniture and zone the living space. In addition, it is worth washing or replacing textiles in the house - curtains, furniture covers, tablecloths and napkins.

Cleaning in all rooms is paramount and fundamental in home renovation. It is necessary to get rid of everything old and unnecessary, as well as effectively and competently use existing accessories and decor elements - paintings and photographs in frames, mirrors and figurines, vases and souvenirs.

Balconies and verandas, attics and mansards, the winter garden and the adjacent territory also need to be repaired and put into proper shape.

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