remodel your home

Don’t Remodel Your Home Until You Read This

January 20, 2020

Don’t remodel your home until you read this blog! Every year, Americans spend $400 billion on remodeling costs. That’s a huge sum, but it could be much higher. 

According to the NAR’s 2019 Remodeling Impact Report, 35 percent of homeowners would rather move to a new home than remodel their current home. That’s because many are worried that they won’t be able to make the money back in the form of an elevated selling price when they sell their home.

In this installation of the Lakeside Title blog, we’ll share the key highlights from the 2019 Remodeling Impact Report, focusing on what remodeling projects deliver the most return on investment (ROI). Don’t remodel your home until you read the below!

 

A Snapshot of the Report

 

Before we get into the specifics, here are the numbers that jumped out at us from the NAR’s report: 

 

  • Why do people remodel? 34 percent to upgrade worn-out surfaces, finishes and materials; 18 percent because it’s time for a change ; and 15 percent to add features and improve liveability. 
  • Is remodeling worth it? 74 percent of owners had a greater desire to be in their home after remodeling. 
  • Who does the remodeling? 36 percent did the project themselves, and 35 percent hired a professional for the job. 12 percent contributed some DIY labor to the remodel.

 

Remodel Your Home with ROI in Mind

 

The figures below will help you remodel your home with an eye on how much you can expect to recoup from the project. These are just the top 5 best projects for ROI. The complete list is here

 

  1. Complete Kitchen Renovation

 

  • Cost Estimate: $68,000 
  • Estimated Cost Recovered: $40,000 
  • Value Recovered from Project: 59 percent

 

  1. Kitchen Upgrade

 

  • Cost Estimate: $38,000 
  • Estimated Cost Recovered: $20,000
  • Value Recovered from Project: 52 percent

 

  1. HVAC Replacement

 

  • Cost Estimate: $8,200
  • Estimated Cost Recovered: $7,000
  • Value Recovered from Project: 85 percent 

 

  1. New Master Suite / Owners’ Suite

 

  • Cost Estimate: $150,000
  • Estimated Cost Recovered: $75,000
  • Value Recovered from Project: 50 percent

 

  1. Bathroom Renovation

 

  • Cost Estimate: $35,000 
  • Estimated Cost Recovered: $20,000 
  • Value Recovered from Project: 57 percent

 

Ready to Sell Your House? Choose Lakeside Title Company

 

Lakeside Title Company helps buyers and sellers achieve the dream of home ownership the easy way — with a smooth, simple real estate transaction free of delays. Once you remodel your home, make sure to choose Lakeside Title Company, a service-focused title company that makes refinances and sales simple and straightforward. Take a look at our services or contact us to learn more.