Founded in 1976, Bankrate has a long history of helping people make smart financial decisions. We have maintained this reputation for more than four decades, demystifying the financial decision-making process and giving people the confidence to decide what steps to take next. Every year, the respected specialized publication Remodeling analyzes the costs of major home renovations and estimates the value that these projects offer when they are resold. Published in April, the book “2024 Cost vs.
Value Report compares the average cost of 23 remodeling projects in 150 U.S. markets. In the US, and three offer a return on investment (ROI) of 100 percent or more. This means that they will amortize when it's time to sell or refinance your home, as the value of the home and the sale price will increase when you put it on the market.
Installing a large fiberglass entrance means making the current entrance a little wider and installing a fiberglass door that has matching decorative side lights. This is a relatively simple job for a contractor, can be completed in one day and significantly improves curb appeal of your home. Even better, starting in 2024, it offers a return on investment of nearly 100 percent, meaning you'll get back almost everything you spend at the time of resale. Stone always imparts a classic and elegant atmosphere to a residence.
Replacing vinyl siding with stone veneer, even in just one part of your house, such as the entrance, can greatly improve the exterior and, again, the curb appeal of a home. The average cost estimate takes into account 36 linear feet of thresholds, 40 linear feet of corners and an address block, and materials that include two layers of water resistant barrier and slats and fasteners resistant to corrosion. This project not only adds class to your home, but also money to your pocket, since it also recovers all your expenses and then some. Of course, a modern and functional kitchen can increase the enjoyment of everyday activities, such as cooking, sharing meals and entertaining friends.
It's also a strong selling point for potential homebuyers. A minor remodel with mid-range materials, as defined in the report, is based on a 200-square-foot kitchen with 30 linear feet of countertops and cabinets. It includes replacing appliances with new, more energy efficient models; renovating cabinets with shaker panels; installing new countertops or a sink; replacing hardware; adding new floors; and repainting walls. Paying for home improvements with savings is always an option and, in fact, most renovators do, according to the American Houzz and Home study of 2024, a survey of 33,830 homeowners in the United States.
UU. You can also use credit cards to cover home renovations, although interest rates can be high and you'll want to avoid piling up debt month after month. However, in 2024, these trends have changed. Renovations have become more important for homeowners looking to improve their living conditions without the need to buy a new home and run the risk of higher interest rates. In a HomeLight survey, 49% of leading agents say that homeowners who disagree are renovating key rooms, such as kitchen and bathroom remodels, while waiting for interest rates to fall.
The 35th annual edition of the magazine Remodeling Cost vs. The Value report found that you can often get the best ROI from the renovations that buyers see before they walk in the front door. Replacing the garage door, updating the siding or adding a terrace, for example, can lead to a higher ROI. Karin Provencher, one of the leading real estate agencies in Manchester, New Hampshire, says that new coatings or moldings usually add between 5% and 10% of value because they change the look of the house. If you have an unfinished basement of 400 to 1500 square feet, adding floors, drywall, and other details to convert it into a living space has a potential ROI of 70% by turning it into a “special room” that buyers will love.
While outdoor space won't hit the highest price in 2024 than in recent years, 31% of agents surveyed told HomeLight that larger or improved outdoor or landscaped spaces will continue to be a great selling point for buyers this year. As a result, intergenerational living will also be more popular. Of the agents we surveyed, 22% think that renovations will increase to make way for children to move in with their older parents. The renovation project with the highest potential ROI? Hardwood floor finish, according to ProFloors and Cabinets. You can recover between 70 and 150% of the costs of this project.
An updated bathroom is an important selling point for any home. When renovating, incorporate elegant surfaces to create a bright space that makes cleaning easy. According to the same report from the National Remodeling Industry Association, realtors estimate that homeowners can recover up to 57% of the cost of renovating a bathroom if they sell their home. Your home's heating, ventilation, and air conditioning (HVAC) are the components that keep everything in operation.
These are some of the most important items to maintain. In addition, realtors estimate that homeowners can recover 85% of the cost of replacing a heating, ventilation and air conditioning system if they sell their home. An outdoor living room will make your home a relaxing destination for meetings and will add great value. Talk to a local real estate agent about renovations that increase home value in your area and then determine which ones can help you enjoy your space more until you're ready to head out to market.
During the peak of the pandemic, social distancing, work-from-home trends, and workplace shelter initiatives led to an increase in extravagant outdoor kitchens and elaborate home office renovations. Consider modifying the floor plan or adding extra space to make the house more functional for modern living. Adding a pool can make financial sense if you live in an area with a warmer climate, such as Florida or California, or in a neighborhood where most other homes have pools. Provencher says that adding a bench, hooks and built-in cubicles to the entrance of a small lobby creates this natural stopping point and a perception of added value.
In fact, a Discover Home Loans survey, released in early May, revealed that more than half (55 percent) of American homeowners would rather renovate their current home than move to a new one.
