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Remodeling Projects: Evualuating Your Cost vs Value

Reblogger C. Lloyd McKenzie
Real Estate Broker/Owner with Living Albuquerque 16784

My Friend Jerry Newman, a Retired Army Veteran, Realtor,  and Military Relocation Specialist provides some great tips in the below article for anyone considering a remodeling project on their home.  Regardless of where you live these are great tips.  Thank you Jerry.

Original content by Jerry Newman TREC #0492321

Home renovations can be tricky. You want to improve your space (and the way you live in it). But you don't want to end up in the red when it comes time to sell. Before you splurge on that chef's kitchen or a steam shower in your bath, make sure your projects enhance your home in the eyes of future buyers as well. Over spending on some projects can be devastating when you get that new job offer, and need to quickly place your home on the market before relocating.

 

Wood DeckHere are few improvements that Remodeling magazine says will return the most on your renovation dollars. (The examples below reflect 2014 numbers.)

Under $5,000: Functional, secure and energy-efficient entries are chief priorities in this price range. Your best bet is replacing your front door with a sturdy steel unit. Finish it with an antique brass lock-set, and you can expect to recoup 96.6 percent of your investment. A garage door replacement offers an equally respectable 82.9 percent return.

 

Between $5,000 and $25,000: A wooden deck is tops for a mid-range budget, recouping 87.4 percent of the $10,000 you can expect to spend. A minor kitchen remodel also fares well: Budgeting $18,000 for fresh paint, a new oven, new floors, fixtures, counter-tops and new doors on existing cabinetry typically results in recouping 82.7 percent at resale.

From $25,000 and $100,000: An attic bedroom is a romantic notion, and it offers the best return at this price range. Converting the space into a bedroom and bathroom (with shower) will get you back 84.3 percent of your spend. Likewise, a newly finished basement returns 77.6 percent. Have other plans in mind? Read Remodeling's summary on cost vs. value trends, and jump into your home improvement projects more informed.

 

If you’re looking to purchase your next home in the San Antonio and surrounding areas you can search for homes in San Antonio on my website, and call Jerry at 210-789-4216 for a personal showing. Knowing who to call for those remodeling or rehab loans with help in your decision to buy that home that needs some tender loving care. See San Antonio’s Cost vs Value Projects for 2014 to help in your remodeling decisions on that next home.

Information provided by Jean Marie Warren with Prime Lending in San Antonio, TX.

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C. Lloyd McKenzie, MBA

NM Real Estate Broker

Phone: (505)750-8552
Email:Lloyd@LivingAlbuquerque.com

Areas Served: Albuquerque Metro/ Algodones/ Bernalillo/ Cedar Crest/ Corrales/ Edgewood/ Los Lunas/ Los Ranchos de Albuquerque/ Placitas/ Rio Rancho/ Sandia Park/ Tijeras

Comments(4)

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Shuchi Agrawal
Kanam Realty Group/Kanam Commercial - Flower Mound, TX
Serving Dallas / Ft. Worth

Great reblog... Home improvements are tricky and it is very important to understand what will and won't give you a return on your investment.  I advise my clients not to spend a nickle unless they expect to get a dime in return.

Mar 29, 2015 02:37 PM
C. Lloyd McKenzie
Living Albuquerque - Albuquerque, NM
Living Albuquerque

Hi Shuchi...Thanks for your comment.  Ditto!

Mar 29, 2015 03:15 PM
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

Great post to share Lloyd, making the right decisions on upgrade can make a critical difference.

Mar 29, 2015 04:27 PM
Fred Hernden, CMI
Superior Home Inspections - Greater Albuquerque Area - Albuquerque, NM
Albuquerque area Master Inspector

I get it if your intentions are to sell in the immediate future, but if not... make your home the way you want it without worrying about the return. I mean, if you are going to live there it won't matter. I cringe when I hear those statements about not doing upgrades because you won't recover your investment.

Mar 29, 2015 11:37 PM