Monday, December 6, 2010

Renovations - Getting the best return on your investment!

A question that comes up quite often when talking to our client is "we want to renovate our home but we want to know where our money is best spent to get the highest return". According to the National Association of the Remodeling Industry, painting brings you the highest return which is also the less costly renovation you can do to your home.

Renovation            Average Cost       Resale Recovery

Paint                          $700                    200% plus

Add a Bathroom        $10,000                   96%

Add a Fireplace          $4,000                    94%

Kitchen (minor)         $8,500                    79%

Kitchen (major)        $24,000                   70%

Bathroom                  $7,500                      69%

Add a Skylight            $4,000                     68%

New Siding                $7,500                      67%

Add Insulation           $1,750                      65%

Addition                     $35,000                     62%

New Roof                     $4,600                      61%

Deck                             $6,000                      60%

Greenhouse                 $17,000                     56%

New Windows /Doors    $12,000                 55%

Add a Swimming Pool   $24,000                  39%
Source: National Association of the Remodeling Industry

It's important to remember when your doing renovations, keep it tasteful and neutral to satisfy all tastes. Also guide your renovations towards the potential target market that will be looking to purchase your home. Most of the time the budget is a major factor, so keep it within your spending limits and don't be the castle on the street.

Happy renovations!

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