The NWM Blog
Written by Northwest Mortgage
Published on Fri, Oct 2, 2020, Last Updated on Sat, Oct 31, 2020
Home renovations add more functionality, beauty, and resale value. Renovating your home can increase the return on investment (ROI) at the time of sale. However, don’t be that homeowner who goes above and beyond with home renovation. If your home renovations cause your home to look better than the average homes in your neighborhood, most local buyers will be less willing to pay your asking price because not only is it outside their price range, but your house also doesn’t reflect their preferences.
What good is an increase in value if your home will stay on the market longer than you expected?
However, that shouldn’t deter you from making home renovations. You can still renovate your home, but by keeping in mind the other houses in the neighbors. When planning for home renovations, always base them on the cost of your home.
We know just the home renovations to boost your home’s value!
Upgrade Your Kitchen
The cost of remodeling a kitchen should be proportional to the cost of your entire house, including the price of other homes in your neighborhood. You can expect to spend around $5,000 to $75,000 in kitchen remodeling. The good news is that you can recover around 60% to 120% of the money you spent when you sell your house. Some ideas include, from most expensive to least expensive:
- Gourmet kitchen with custom cabinets, granite countertops, a tile backsplash, and commercial-grade appliances (estimated cost: $126,000)
- High-tech appliances, hardware and cabinet fronts, laminate counters, and flooring (estimated cost: $21,000)
Give Your Bathroom a Facelift
Give your master bathroom a facelift, and consider adding another bathroom to your home. With a new bathroom, you can recover about 80% to 130% of the money you spent. Instead of expanding the increasing space, why don’t you add extra rooms and closets? If there is space under your stairs, put it to good use by converting it into a bathroom.
For half-bath, you need around 18 square feet of space. For a full bath with a free-standing shower, you need around 30 square feet of space. If you want to add a tub, you’ll need around 35 square feet of space. Here are some bathroom remodeling tips:
- Limit the number of tiles you use and pay attention to high-impact areas such as the floor
- Consider a wide range of colors instead of just popular neutral color choices (tan, light beige, and brown.
- If granite countertops aren’t within your budget, use slabs with imperfections. Since sink basins use up a large surface area, the imperfections will be hidden away near the faucets or sink.
- Update light fixtures, towel racks, sink faucets, and drawer pulls
- Add eco-friendly sinks, low-flow toilets, and showerheads
Reinvent an Existing Room
Adding a new room to your house is expensive, but it can recover 50% to 83% of the money you spent. If adding a new room isn’t in your budget, consider reinventing an existing room. You can convert your attic into a bedroom or finish your basement. When thinking of adding or reinventing a room, view it from the buyer’s perspective. How can they use the space? Let’s see:
- Versatile spaces appeal to buyers.
- A finished basement can function as a second bedroom, living room, or game room.
- An attic space can function as a game room or craft room.
To make these top three home renovations, you need money, and Northwest Mortgage can give you the money. Apply for our home improvement loan today to renovate your home and increase its resale value. Contact us today.