Diving into a home project is always an exciting venture. Luckily, some projects can do double duty as home improvement and as a strategic way to boost your home’s return on investment. According to Chubb’s 2018 Homeowner Protection Survey, 58% of homeowners will “definitely” or “probably” undertake a home renovation or improvement over the next year. Over half of them are planning on spending at least $10,000. If you’re considering investing a significant sum into a project, know these most valuable areas so that you are sure to get your money’s worth in the long run.
Kitchens and Bathrooms
No matter the size of a home, everyone has a kitchen and at least bathroom. These areas are prime spaces to upgrade. Every year, homeowners remodel over 10.2 million kitchens and 14.2 million bathrooms. When you remodel a kitchen or a bathroom, you have a number of areas on which you could focus.
Popular remodeling trends for both are heading towards simplified designs with high-quality features. Natural wood cabinets, stone countertops, and flagstone floors are rising as a way to make the bathroom a relaxing and aesthetically-pleasing space. Having the right colors painted is also critical. Walk-in showers are gaining ground over luxury tubs and kitchen appliances are taking a step back from stainless steel. Making renovations like these can often generate over a 100% ROI on your home when you eventually sell it.
The first impression of a home is often how prospective buyers will make a decision on purchasing it, and the curb appeal is what creates that first impression. When you spend as little as 5% of your home’s value on landscaping, you can see an ROI of as much as 150% when you go to sell. This math makes sense, as a healthy lawn, green trees, and blooming flowers can easily make a house more attractive and appealing.
These landscaping improvements can be extremely simple. Start by strategically planting native trees around your yard. When you plant them in the right spots, you can reduce energy costs by as much as 50% while giving your home a natural look. Try replacing annual plants and flowers with perennial foliage. These will come back every season and cut down on your maintenance costs.
As the literal ground on which your home stands, upgrading your home’s flooring will give you a very profitable leg to stand on. Your home’s flooring is also a feature that most visitors will notice immediately and use to judge your home. Flooring choices are typically limited to carpet, hardwood, tile, and laminate.
Some people may love the warmth of carpet. However, many buyers will only view it as an expense that they will have to regularly clean. Hardwood floors are a very popular choice and come in a wide variety to suit each home’s personality. A typical hardwood floor costs $4 to $6 per square foot, plus associated installation fees. Depending on the exact type of flooring you use, you can expect to see a 100% to 150% ROI.
When you spend money and time on improving your home, you know that you will get immediate benefits from an improved space. However, whether you will see the financial benefits is always questionable. Invest where you know you’ll see long-term benefits. You won’t have any regrets about how you spend money in a renovation.