Improving your home’s resale value not only puts more money in your pocket when it’s time to sell, but it also enhances your quality of life in the moment. Here are the top three ways to improve your home and add value.
1. Add Square Footage
Square footage is one of the first things an appraiser looks at when determining the value of your home. If your home is noticeably smaller than others in the neighborhood, you should definitely consider adding square footage. Just be sure that you conduct any remodeling according to local building codes and permits.
Where to Focus: Adding an extra bedroom or living area will increase the value of your home, but these projects are expensive and time-consuming. It is more affordable―and just as appealing to prospective buyers―to finish your basement or attic. Make sure the quality of the finish is in line with the rest of your home. You can also add a deck or porch to your home, or convert your existing porch to a sunroom.
2. Remodel Your Kitchen
A kitchen remodel is one of the most popular and cost-efficient ways to improve the resale value of a home. If handled wisely, many improvements in the kitchen can add more value than the initial cost, meaning that your return on investment is quite large. An attractive and well-planned kitchen catches potential buyers’ eyes and gives the impression that the entire home is in excellent condition.
Where to Focus: If you have a small, dark kitchen, create space and light by installing sky lights or sun tunnels. Replace worn carpet or cheap linoleum with lovely ceramic tiles or eco-friendly bamboo. Cover your countertops with granite, recycled glass, or marble, and create a matching backsplash on one of your walls.
3. Improve Energy Efficiency
According to JM’s Energy Awareness Month Survey, only about five percent of homeowners realize that improving the energy efficiency of their homes will increase the resale value. Yet every dollar saved in annual utility costs is equivalent to a $20 hike in the market value of a home, reports the Appraisal Institute. For instance, say you insulate your attic, resulting in a $300 annual savings on energy costs, you can then add $6,000 to your home’s value.
Where to Focus: Over forty percent of the average home’s energy use goes towards heating and cooling, so you should start with insulation. Then install solar panels and a new furnace. Finally, attend to the details by installing programmable thermostats and energy-efficient light bulbs.
You might want to check these two sites to find out about which energy efficency rebate programs are still available in Utah.