If you are looking to do some property improvements to increase value before putting it on the market you will want to make sure that you get the biggest bang for your buck. When deciding on an improvement project you will need to determine how feasible it will be and also what the value return will be. Some property and home improvement projects have shown to be more profitable and in getting more prospective buyers interested. The amount of money that you recoup in terms of desire and appeal will vary but the following real estate improvement ideas generally result in the biggest payoffs.
Replace The Roof And/Or Siding
Your property will be a lot more desirable if the outside of it is firm and leak free. People are not going to care if you have a brand new stainless steel kitchen if the roof leaks and the siding is peeing off, or missing in areas. Replacing the roof and siding are expensive repairs to do but they offer a large return on the investment. It is estimated that you can expect to recoup 67%-83% of the cost of replacing your roof or siding. It is also helpful to tackle any problems such as leaky roofs before the home inspection is done.
Add An Extra Bedroom
When you add square footage to your home or investment property you always add value as well. If you don’t want to go through the hassle of knocking down walls and such you can always add space by working with what you have. It will be much less expensive to add an extra bedroom to your home by converting a finished basement or an attic into a bedroom. If you have ample garage space you could also convert some of the extra garage area into a bedroom or study as well. It is estimated that making an extra bedroom can add from between $25,000 to $100,000 in value to your home.
Add Additional Closet Space
Buyers really love to see lots of closet space available when they look at homes. If you have a large bedroom use a small portion of it and transform it into a closet or storage area. You can also ad storage space in the basement or attic. Building on a closet or storage area to an existing space is very affordable and sellers can expect to recoup about 50% of the cost of doing so.
Check back next time for more property improvement ideas that really pay off.
Sean Rasmussen
Property Options Australia
Property Options Blog © 2006 – 2008
Hi Sean,
These are all great ways to increase property value. But, replacing the roof and adding an extra bedroom seem like major undertakings that are going to be quite expensive.
Still, if you are able to do some of the work yourself, I think it’s a great idea. But, if you have to pay contractors, I’d start with another property until you have the savings for this kind of venture.