The National Association of Realtors 2019 Remodeling Impact Survey is a good guideline that homeowners can use when they’re considering remodeling their home.
Following are just some of the projects that people undertook in 2019. The report also includes the results individuals gained for their efforts.
1. Basement conversion
Number 6 was Basement Conversion to Living Area.
The main reason the majority of homeowners decided to undertake a basement conversion was to add features and improve liveability.
And, fortunately for them, NAR found that homeowners were able to recoup 64 percent of their costs.
2. Insulation upgrade
It’s not sexy, but improving your home’s energy efficiency by beefing up its insulation could mean a bump in your home’s resale value.
In fact, the survey showed that homeowners recouped 83 percent of their costs!
An easy no-brainer home improvement project, right?
3. New HVAC system
Another completely un-sexy but necessary renovation is upgrading your existing HVAC system.
This home improvement option ranks number 3 in NAR’s remodeling impact survey. Yes, it can be costly, but your could get your costs back in spades, depending on both your home and the market you’re in.
In fact, you could get as much as 85% of your investment returned to you, like the homeowners in NAR’s report.
4. Closet renovation
Unless you’re an avid KonMari practitioner, you’ve got stuff.
And if you’re planning to sell your home at any point in the future, it’s good to know that a lot of other people like their stuff too.
Even more importantly, they need somewhere to put that stuff, and renovated closets could be what tips the scale in your favor when they’re looking for a new home.
It’s important to note that less than 50 percent of the costs for this type of project were recovered, but, the average price tag is pretty small too at around $6,300, so it’s not all bad.
5. Bathroom renovation
Getting a good ROI for a bathroom renovation is tricky. A lot of it depends on the costs of materials and labor, your home, and the local market.
But, the NAR puts this renovation at number 5 on its list, so it’s worth considering if your bathroom(s) are outdated or in poor condition. In fact, the NAR estimates that you could a little over half of your money back through the increase of your home’s value.
6. New roofing
A big expense, but homeowners actually made money when they installed a new roof! The recovery rate was at 107% percent for homeowners, so if your home needs a new roof this project should be at the top of your home improvement list.
It can also help when selling your home as 33% of realtors stated it helped to close the deal.
7. New vinyl windows
Beautiful and energy efficient, new vinyl windows improve your home’s look, both inside and out. They also make good financial sense as homeowners who installed new vinyl windows recovered 71% of their costs in terms of their home’s value.
Finally, keep in mind that whenever you decide to renovate your home, you should consider how long you plan to live there. On average, the longer you live there, the better your chances of recovering your renovation costs.