The new year gives us a fresh start — to improve our health and lives as a whole. Why not also make this the year that you finally check those home improvement projects off your to-do list?
Let this article serve as a resource for updating your residence in 2021.
How to increase home value
It’s easy to get carried away when you start brainstorming home improvement projects. Depending on how long you’ve lived in the house, you might come up with ideas for every room. Do yourself a favor and narrow your list down to a few options.
The following projects offer the greatest return on investment.
This shouldn’t be a surprise when you consider that the kitchen is probably the most popular room in the house. HGTV tells us that homeowners can recoup up to 120% of their investment on a kitchen remodel when done correctly. The last thing you want to do is go overboard with the upgrades and end up losing money when you sell.
Today’s buyers appreciate a kitchen that’s modern, yet simple. So if you bought your home 20 years ago, it might be time to update the kitchen cabinets. Other popular kitchen features among buyers include quartz countertops and stainless steel appliances.
But what if you’re on a tight budget and don’t have the necessary funds for a pricy kitchen remodel? Money Crashers suggests adding a fresh coat of paint to the room. Not only is it relatively cheap to paint a house, but doing so can make any space look new.
Along with kitchen upgrades, bathroom renovations are the most impactful home improvement projects. Imagine transforming the master bathroom with a second sink or a bigger tub. Homeowners who would prefer to add a bathroom can expect to recover 80%-100% of the project costs.
Again, though, there’s no need to break the bank on a complete renovation. Forbes explains that it’s worth switching out inexpensive elements such as fixtures and vanities. Luxury is nice with a bathroom, but functionality and simplicity are more important in a buyer’s eyes.
Perhaps there’s a decent amount of unused square footage in your home, specifically the basement. Why not finish the space and add an extra bedroom? Future buyers might see this revamped space as a future in-law suite, playroom, or home office.
Keep in mind that the average cost to finish a basement is over $7,000. That’s a hefty price for any household, especially if you don’t have much of a savings account. Home improvement loans are a great financing option for upgrading a basement.
Countless Americans turned their kitchens and living rooms into a workspace this past year. But even as things slowly return to ‘normal’ in 2021, many companies are affording their employees the same work-from-home flexibility. Real estate professionals anticipate that buyers will start to favor homes with an extra bedroom.
This is another reason to think about adding more livable space in your home. Could the idea of a bedroom in the basement become a reality? Is it sensible to knock down some walls elsewhere and create your own home office?
Homeowners used to think of their yard as being separate from the interior of their home. Today, we view our yards as an extension of our living rooms. Buyers will almost certainly gravitate toward homes with a well-kept yard and ample space for outdoor gatherings.
As has been a common theme in this article, avoid going over the top with your landscaping projects. While you might be tempted to put in a pool, you’re better off purchasing a fire pit or installing an outdoor kitchen. Be sure to reference our front yard landscaping for further inspiration.
What makes property value increase?
Multiple factors can affect a home’s value, including size, usable space, and aesthetics. Buyers are also typically willing to pay more for a newer residence that’s in a desirable location.
However, a homeowner is not solely responsible for the constant ups and downs of their home’s value. External factors such as the local real estate market, interest rates, and the economy are major influencers as well. Whether you’re hoping to sell your home in 2021 or live in it for years to come, know that you can always take steps to improve it.
Denver’s trusted real estate team
It’s a great time to buy or sell a home in the Denver area. At American Home Agents, we pride ourselves on helping our clients achieve their goals.
Give us a call at (303) 695-5900.