A Home’s Bottom Line: Renovations That Pay Off The Most
Tri-County General Contracting knows that a home’s added resale value is a significant factor in the decision to renovate. Homeowners weigh the cost of the project with their family’s added benefit and comfort, along with whether they will recoup most or some of the cost if they decide to sell someday. As general contractors, we get asked a lot of questions about home renovations that pay off the most. While many factors play into deciding a home’s resale value, a handful of simple and complex improvement projects are well-known for being renovations that pay off the most.
While researching renovations that pay off the most, we came up with a list based on data from www.bankrate.com of typical renovations that recoup 70 percent or more of project costs by increasing resale value, including:
- Family Room Addition: An average 16-by-25 foot family room addition renovation costs $90,000, while its average resale value is $62,000. Cost recouped is approximately 7o percent.
- Basement Remodel: A 20-by-30 foot entertainment area in the basement, with a bar, sink, under-counter fridge and a small full bathroom. This renovations costs on average $71,000 and has an average resale value of almost $50,000. Cost recouped is approximately 70 percent
- Two-Story Wing Addition: A complex and expensive renovation that adds a family room on the ground floor and an extra bedroom with a full bathroom on the second floor. The new wing is typically 16-by-24 feet, and costs an average $176,000, and has an average resale value of $125,000, recouping a cost of 71 percent.
- Minor Kitchen Remodel: Spiffing up a 200-square-foot kitchen with new cabinets, new counter-tops and energy-efficient appliances. Not a completely new kitchen, but a new look to the old one. This renovation costs an average of $20,830, and has an average resale value of over $16,000, recouping just over 80 percent.
- Steel Entry Door Replacement: If you want a new steel front door, feel safe splurging for it because prospective home buyers want them, too. This simple renovation nearly pays for itself at resale. With an average cost of $1,400 and an average resale value of $1,280, this renovation recoups over 90 percent of project costs.
- Adding Fiberglass Attic Insulation: With lowered heating a cooling bills, this renovation pays for itself an then some. With an average cost of $1,340 and an average resale value of $1,440, sealing and insulating the attic to an R-3o insulation value can recoup 108 percent or more of project costs.
Have More Questions About Renovations That Pay Off The Most? Give Tom and Tri-County A Call Today At