Is Remodeling Worth the Cost?

Photo by Carlos Porto

If you want to increase your home value before you sell, make sure the projects you choose are worth the money you spend on them. You’re looking for the highest return on investment. It may be better not to do any remodeling at all, depending on your situation.

You probably won’t get all of your money back

Investopedia says that you’re unlikely to get back the amount you spend on a remodel dollar for dollar. However, in a slow market, a remodel could bring in buyers that would have otherwise passed on your home.

You need a realtor

This is where an experienced realtor can help you. She can give you an idea of what the market is like and what remodels pay off in your area. When it comes to real estate, it’s all about the local housing market. In Brazos Valley, call realtor Sarah Miller for help selling your home.

Think about where you are

If your house is already one of the more expensive ones in the neighborhood, further improvements may scare away buyers. One of the things buyers consider is neighborhood.  Part of the reason they may be drawn to your neighborhood is the price. Make sure you don’t improve your home well beyond what can be found in the same neighborhood or you could be looking at more of a loss. People looking for more expensive houses are likely looking in another neighborhood.

However, if you have one of the lower end houses in the neighborhood, fixing it up might bring in more money.  It can be worth it to do a little bit of work to bring your house up to the average of the neighborhood.

Also, think of geography. Do swimming pools increase home values in Bryan-College Station, Texas?  Since this is a warmer climate it could be worth it, but your realtor will let you know about the current market.

Location is everything in real estate.  Before you invest in a remodel, ask your realtor if it’s worth it for your location.

Look at Data Online

A site that may help you make your decision is Remodeling.net. They give the average increase in value to your home based on your region and type of remodel. The amount you get back from your investment varies. Most of the time, you get less than you spent.

Smaller upgrades to your home will likely have a better return on investment than a large remodel. A fresh coat of paint and a good cleaning will help improve the value of your home with less expense. The real reason to do a remodel is for you to enjoy the home. If you’re selling the home, it may not be worth it.

Ask your realtor if there are upgrades that you can make to make your home more appealing to buyers in your area. Your realtor will have the latest numbers about the market and will have experience with what local homebuyers are looking for. Call a local realtor in Brazos Valley, Texas to help you sell your home.