For many homeowners, the decision to remodel or upgrade their home is a matter of dollar and cents. Before shelling out hundreds, if not thousands, of dollars on a home improvement project, they often ask themselves, what type of return on my investment (ROI) can I expect down the road? Honestly, it would be foolish not to ask this question, but there are certainly other smart reasons to make improvements. Below, we’ve shared a list of these reasons, courtesy of Iris Price for ClarkHoward.com.
1.) Best ROI for resale: If you’re strictly looking to for the biggest ROI when you sell, Price says, install a new steel entry door. The national ROI for a replacement door costing $1,230 is 101.8 percent, the top return on a remodel. Price also suggests painting it a bright color to boost curb appeal.
2.) Tops for protection from the elements and energy efficiency: While a metal roof might cost more and have a smaller ROI than asphalt shingles, it will last 40 or more years versus 25 years for the asphalt shingles. Plus, a metal roof is considered green roofing material, says Price. Other energy-efficient upgrades a buyer will appreciate Price notes are EnergyStar appliances, a new furnace, replacement windows, and ceiling fans.
3.) Shiny good looks for the kitchen: Price says that a major upscale remodel of your kitchen can cost 10 to 20 percent of its value while only generating a 59 percent ROI. Instead, consider a minor midrange kitchen remodel (under $20K). Price recommends stainless steel appliances, a granite counter top, and updating the hardware or adding a fresh coat of paint to existing cabinets.
4.) Extra space for people – and stuff: Price says to look to the attic or basement for added room to you can finish as sleeping quarters or family entertainment space for less than the cost of an addition. You can also impress buyers by adding custom storage and utilizing hidden space behind walls and beneath staircases.