Are Home Renovations Worth The Investment?
No matter what work you’re choosing to do on your home, chances are you’re looking at a fairly significant investment. Home renovation, especially when handled professionally, can be an expensive chore that takes up time and space in your home. For all the money you’re spending and the hassle it causes, are your home renovations actually worth it? As it turns out, you might be paying a large amount for renovations that don’t actually improve your home’s value.
“Residential DIY, Home Improvement and Remodeling projects are all trending towards small budgets and cost-conscious designs. The latest trend is $100 Room Makeovers.” — according to Marty Oravetz of www.astrollthrulife.net
“Some of the key home improvement trends include green renovation and smart home technology. But one trend that is gaining traction involves maximalism – opposite of minimalism that has been the rage over the past decade – maximalism takes the more-is-more approach to interior decorating.” – according to KM Davis at www.letsrenovate.com.
Personal Preferences Change Perceived Value
While you might be ready to upgrade your home’s appearance, take some time to consider if the move will really improve what your home is worth.
“Color is coming back to kitchens lately; we’re seeing a lot of gray and navy as a cautious transition from the all-white kitchen. Even more exciting are the black cabinets and red or blue accents popping up in tiles and appliances.” – according to 123remodeling.com
Not all homeowners are looking for the same design features in a home, and choosing the wrong style could actually negatively impact what people are willing to pay for it. They may see the design change as just another expense required once they purchase the home, in order to remodel it into something they prefer. However, certain areas of the home might still be worth fixing up, even if you don’t change the design of the space too dramatically. Remodeling your bathroom, for example, can expect a return on investment of 70%.
“At homecrux.com we believe, you can remodel the home with your deepest pocket, but if the lighting is bad, you haven’t done a good job with the design. Lighting is the key; it’s a big trend in 2019 and more people are moving toward LED lights and energy-efficient sources.”
Energy Efficiency Matters
If you do choose to renovate your home, stay clear of major style changes or additions that could be considered temporary trends. Instead, look for changes that will ultimately reduce long-term spending, such as energy efficient upgrades. This can include elements like major home appliances, doors, and windows. Approximately 30% of a home’s heating energy is lost through its windows, meaning that upgrading these can help reduce heating and cooling costs for the home even after you choose to sell it. Be careful about living in the home while certain repairs are going on, since they can affect the air quality in your home. Atmospheric oxygen concentration below 19.5% or above 23.5% are dangerous or even fatal.
“These days, the trend in home improvement/renovation seems to be leaning more towards passive design inside and native gardening outside i.e. using local plants, flowers, trees and organic vegetable gardens instead of traditional grass lawns, with the overall focus of residential construction being sustainability and the use of natural resources.” – according to Tara McFatridge
“As homeowners are remodeling their home’s exteriors, we are seeing a trend in darker windows choices on the exteriors (Black, bronze, grays). Homeowners are also opting to NOT have grids in their windows and are doing away with shutters. The goal is fresh, bold and clean lines!” – Tara Dawn
Hidden Home Repairs
Though many people who renovate are tempted to fist address aesthetic issues in the home, don’t forget about the repairs you can’t see right away. Not all of the most worthwhile home repairs will be the most easily visible ones. For example, a new buyer for a home might not always pay attention to the quality of the driveway or make note of it on their own, but fixing a cracked or damaged driveway can help improve your home’s curb appeal. Driveways and sidewalks can often be damaged by ice-melting chemicals during the winter. There are two main types of ice melting chemicals, exothermic and endothermic. Repairing a winter-damaged driveway saves a buyer a fair amount of money on the new home, increasing your value without changing your home’s appearance.
Reasons Not To Renovate
While there are a few ways you can remodel your home and still have the project be worthwhile, most of the time it’s going to end up being an unnecessary drain on your expenses. Unless you’re planning a major aesthetic change in a home that you’re planning on living on for many, many years to come, changing the look of a home might not appeal to buyers later on. Additionally, major renovations can often be more expensive than you initially budget for, leaving you in a tough financial situation. Unless you’re in need of major repairs throughout your home for safety or efficiency reasons, you might want to hold off on that big kitchen remodel you’ve been thinking about.
“The thing that homeowners don’t spend enough of to get a great kitchen is not money. It is the time needed planning a complex kitchen renovation with a kitchen design professional.” – according to Paul McAlary of www.mainlinekitchendesign.com
Why not upgrade your home art instead?
“Right now, we’re seeing homeowners renovate, using a wide variety of renovation loans to upgrade and enjoy the home they’re living in while potentially upping its value for a future sale. Something simple like a garage door replacement or more in-depth like a kitchen remodel can have as much as an 80 to almost 100-percent return on investment,” – Abby Fernandez, VP of Marketing at Cornerstone Home Lending, Inc.
Find out more about garage buildings!
Considering that the global art market was valued at $64 billion in 2017, there’s certainly never been a better time to invest in some artwork. And if you do that, you’ll save money, hold onto the value of your home, and avoid plenty of stress that renovating would cause.
Still, There’s Never Been a Better Time to Renovate
If you are choosing to renovate, now is the time! According to Paul Buonopane, VP of Marketing at HireHaven:
“There arguably has never been a better time to be a homeowner renovating in terms of resources available to shop around and find the right contractor for their project. According to a Q2 homeowner sentiment survey (source: Modernize), 90% of homeowners get 2 or more quotes to compare before they hire. Yet, despite the proliferation of online resources and reviews, homeowners still rely on word-of-mouth from family and friends over 40% of the time. This underscores the importance of getting advice from someone more experienced than they are. Both of these factors make our service HireHaven, which provides 3 quotes from local contractors within 3 days, uniquely positioned to make it easier for homeowners to compare quotes before they hire.”
And according to Nick Leon, Senior Strategic Experience Manager at LendingHome / House Flipper, if you’re putting your house on the market, not only will you need to renovate, but you’ll need to invest in something high quality:
“With increased numbers of new investors and competition in the market today, investors really have to put out a top quality product that is going to wow potential buyers vs. other houses that will be listed on the market. Buyers today are more well informed than in the past and have a lot more options to choose from, so if an investor puts out a flip that feels lower quality, they’re likely to be passed over for superior products.”
