Austin TX Real Estate - Hill Country Austin Lakeway Homes for Sale: Remodeling Investment

Remodeling Investment

Are you thinking of remodeling your home? Consider the return on your investment before remodeling. Not all remodeling projects yield the same return in increasing your home's value.

Updating your kitchen and baths is your best remodeling investment, returning a nearly dollar-for-dollar increase in home resale value. An updated kitchen and bathrooms make your home that much more attractive to potential buyers when you do decide to sell.

By contrast, converting a basement into a family room (if you're are has basements) or adding outdoor recreation facilities, such as a swimming pool or sport court, yield the lowest return on your investment.

Sometimes the cumulative effect of several smaller projects can yield a higher resale value than one or two larger ones. Smaller projects tend to be more cosmetic--new paint, doors, or windows. Larger projects that upgrade or add living space may cost more, but almost always add less resale value for the dollars spent, like converting space over the garage to a media room.

Whatever you do, be careful of over-improving for your neighborhood. Remodeling that significantly improves your property over neighboring homes won't return as much when it comes time to sell. People don't just buy a house, they're buying a neighborhood as well.

If you have any questions or you'd like additional information, please don't hesitate to call or email me. Remember, I work all of North Dallas County and Collin County including Richardson, Plano, Allen, Frisco, Carrollton, Garland, Rowlett, McKinney, etc... my car will take us anywhere you need to go!!

Comment balloon 1 commentDonna Harris • March 01 2007 02:16PM

Comments

Over-improving is the biggest caveat I can think of, other than choosing extremely individual features or colors. Many people still want to be the least expensive home in an expensive neighborhood - few want to be the most expensive home.
Posted by Sharon Simms, St. Petersburg FL - CRS CIPS CLHMS RSPS (Coastal Properties Group International - Christie's International) almost 12 years ago

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