Thursday, March 5, 2009
Adding Value to Your Home
Many homeowners wonder what improvements will add value to their home. It is wise to also think about what will be a good return on your investment and not “over improve” your home and price yourself out of the market. Even if you have no plans of moving, life’s unpredictability may find you selling your home unexpectedly. There are certain improvements that will almost always add value to your property, but keep in mind that it is nearly impossible to get a 100% return. While the Rochester area is not experiencing a decrease in property value, the market is stagnant and some areas of Monroe County are not seeing more than a small increase if any at all. Irondequoit was published as a 3% increase in 2006. Even if you purchase a “fixer upper,” be careful of overspending on your home improvements.If you are thinking of adding on to your home, give careful consideration to design. Many homeowners assume that more is better and that any addition that increases floor space will provide a great return on original investment at the time of sale. However, while prospective buyers may welcome additional square footage and amenities, they also pay careful attention to aesthetics. If an addition does not seamlessly blend with the original structure in terms of proportion, style and materials, it may actually be detrimental to a sale. A home addition should harmonize well with the original structure and neighborhood. Before building any addition or starting any remodeling be sure to consider the affect on value. At Walther REALTORS we can discuss possible additions and remodeling before you make a decision. This will help prevent you from wasting time and money on a project that will not increase the home’s value. We also know local architects and engineers whose services may be beneficial to you. If you would like to set up a consultation, give us a call 585.266.5941.It is essential to keep in mind that buyers do not consider new roofs and furnaces as improvements but necessary maintenance. Making these repairs and updates does not normally increase the value of a home dollar for dollar. When mechanicals are outdated and the exterior has peeling paint, etc. it is considered deferred maintenance and buyers expect to pay significantly less.Some of these repairs and improvements will help to get a quicker sale but do not always mean a higher price. They will allow your home to remain competitive against other listings. The “big budget” improvements such as kitchens, baths and additions may allow you to sell your home for top price, but even they are not a guarantee. Keep in mind that a home’s value is determined by many factors including location and current market conditions.Do not forget that minimal expenditures can still improve your chance of selling. This includes removing old wallpaper, touching up chipped paint and scuff marks, cleaning out closets, de-cluttering surfaces, removing extra furniture to make rooms appear larger, deep cleaning, washing windows inside and out, fixing odds and ends that may seem cumbersome to buyers such as missing outlet covers, etc. Changing hardware on cabinets and buying some new inexpensive light fixtures can also greatly improve the appearance of a home.