Every few years, the house needs a new coat of paint or a thorough repair of the kitchen. These renovation projects are deeply satisfying for the family, but really heavy on the pockets.
While renovations may be necessary, the costs aren’t unavoidable. With careful planning and a well-thought-out budget, you can push every dollar to its full potential. Meticulously renovating those areas of the home that matter to buyers will turn the repair project into an investment.
Here’s how:
Focus on adding space
You could blindly accept a project that adds more interior space to the house. Breaking down a wall to combine the kitchen and dining room or renovating the basement to create a spare bedroom are all worth it. Every square inch counts and the more space you can create, the better. Sometimes this is impossible, so simply creating the illusion of space could be enough. The addition of a few mirrors or more windows in a certain area of the house could make the rooms appear bigger than they are. Remember that property purchase decisions are often based on the amount of space you leave behind for the buyer. That’s the second biggest concern after location (which you have no control over).
Spend more on the kitchen and bathroom
Experts in real estate will tell you the two most crucial parts of the house are the bathroom and kitchen. Repairing or designing kitchens is time consuming and can often cost a lot, which is why buyers are more likely to pay extra for a property that has a well designed kitchen. Also, the more the bathrooms in the house, the better. Try to balance the number of bathrooms with the number of bedrooms.
Go green
Solar panels and LED lighting are all investments that pay back over their lifetime. LED lights and solar energy can cut your energy bills till you succeed in selling the house. Buyers, meanwhile, will appreciate the investment and likely pay higher for a greener home. Most property owners will convert their houses into energy-efficient green homes anyway, so green investments saves them the hassle.
Repair quickly
Don’t ignore the leaking pipe or spoilt boiler. Repair as quickly as you can to avoid a major expense down the line. Every time you notice a minor issue with the structure, repair it and nip the problem in the bud.
These five strategies will ensure you get your money’s worth while renovating the house. If you plan correctly, you could aim to get $2 back for every $1 you lay down for the repairs. They also offer the added benefit of cutting living costs while you’re still in the house. A smarter renovation project will yield lifelong returns.
James Hendrickson is an internet entrepreneur, blogging junky, hunter and personal finance geek. When he’s not lurking in coffee shops in Portland, Oregon, you’ll find him in the Pacific Northwest’s great outdoors. James has a masters degree in Sociology from the University of Maryland at College Park and a Bachelors degree on Sociology from Earlham College. He loves individual stocks, bonds and precious metals.