In Part 2 of this blog, we provided you with some tips for raising your home's value with a modest investment in improvements. These long-term solutions are meant to help increase what your home is worth now and in the future, when you may decide to sell. In Part 3 we'll show you how an even larger investment can mean even more ROI when you decide to sell. We'll also let you in on what improvements to avoid because they simply won't pay off when you sell you home.
Significant Cost. Significant Effort
Make Smart Decisions About Upgrades Gadgets that enhance safety and convenience are becoming a must-have for many buyers. This is especially true of the younger and “techier” generations. Replacing existing devices in your home with ‘smart’ ones is another good idea to attract more buyers and potentially increase how much your home is worth.
Consider upgrading or installing the following fixtures:
Add New Appliances Earlier in this blog, we mentioned the idea of upgrading your microwave. For a somewhat bigger investment, consider upgrading your major kitchen appliances to energy-efficient, matching stainless steel ones.
Appliances that carry the government-endorsed Energy Star label, use 10-50% less energy and water than conventional appliances. And by getting all stainless steel units, you’re providing potential buyers with a finish that goes with everything, so they can redecorate the kitchen however they like. Doing all of this can carry a pretty hefty price tag, but a kitchen with new, modern appliances have been proven to up the value of homes for sale.
Not Worth the Cost. Not Worth the Effort.
There are plenty more other ways to improve your home and increase its value than we are able to cover here today. Then again, there are also plenty of ways you should never consider because they simply won’t make a difference in your home’s value and just aren’t worth the investment. Here are the top 2 we found that you should steer clear of.
New HVAC ≠ New Home Value Sure, everyone can appreciate the increased comfort and decreased utility bills that come with a newer and more efficient heating and cooling system. They’re just not willing to pay a premium for it. In many buyers’ minds, it’s not an improvement, it’s maintenance.
Systems like this have a finite lifespan and replacing them is just the cost of homeownership. In the most basic of terms, it’s like expecting to get paid more because you swept the walkway or changed a light bulb. Sorry.
The House Painting Paradox This one may be hard to handle, but painting the exterior of your home won’t do much of anything to increase your profits when you sell. This is despite the fact that painting is the single most cost-effective improvement you can make before selling your home. You just won’t get any bang for your buck unless you pick up a brush and roller and apply a new coat yourself. While a fresh coat of paint can certainly make your home more attractive and ultimately, more sellable appraisers won't boost your value because of it.
You might be better off just power washing your home’s exterior. This can help wash away dirty spots and grime, and give your home a fresher appearance without the cost and lack of ROI of having it professionally painted.
The Bottom Line
It may sound cliche but, as the old saying goes, “you have to spend money to make money”. What that means is that whether it’s small upgrades here and there or its major changes in your home, it will cost you upfront to potentially see a bigger return in the end. We’ve given you several ideas about how to raise your home’s value. Nothing is guaranteed, but some of these suggestions have proven time and time again to give home values a bump when done right. Ultimately, it is up to you to decide if it’s worth the gamble. You need to temper your enthusiasm for the potential that upgrading your home holds and manage your expectations for what it actually does or doesn’t do for your home’s value. If you’re still unsure and prefer to err on the side of caution, speak to an expert.
Our agents have seen it all from new roofs to room additions to swimming pools with complex water features. They can tell you what they’ve seen work and not work when it comes to increasing home values and buyer offers. Contact your Kansas City Homes agent and get their guidance before hitting the home improvement store or hiring a contractor