Each year, Remodeling magazine produces a Cost vs. Value Report in cooperation with REALTOR® magazine. This report indicates what homeowners can expect to recoup for 30 different home improvements, with the national average being 67.3% return on investment. Many homeowners are surprised to discover that their remodeling project may not provide a dollar for dollar return on investment; however, a minor kitchen remodel in some areas, such as Seattle, may return more than 100%.  

Unfortunately, the Chicagoland area was named as one of the toughest areas to get your money back, so it's very important to plan your home improvement projects carefully to get the most bang for your buck. Replacement projects that enhance your curb appeal, such as decks, siding and windows apparently offer the greatest return on investment. On the interior of your home, you'll find that remodeling your kitchen will offer you the best chance of recouping your money, offering you an average of 73.9% return on your investment, while remodeling your basement will only return an average of 61.9%. Free city reports and national averages for 2008 are available at www.costvsvalue.com so make sure you check them out.

Investing in improving and maintaining your largest asset is, in my opinion, a good idea in any market. Not only will you make your home more enjoyable for yourself and your family, but you will increase its value and make your home more appealing to potential future buyers as well.

If you are considering remodeling your home, I highly suggest that your first call be to a real estate professional who is thoroughly familiar with your neighborhood. You don't want to over-improve or under-improve your home and must consider the current market value and updates of similar homes in your neighborhood. It is actually possible that your remodel could lower the value of your home or turn off potential buyers, and you certainly don't want to do that!