How much can remodeling increase your home value
Though most homeowners set a remodeling budget for their projects to maximize what they can do, it’s nice to know what one could expect as a return on the increased home’s value. According to Remodeling magazine’s 2019 Cost vs. Value Report, 2019 is seeing a noteworthy improvement in the rate of return for home remodeling projects when calculating how much a home’s value has increased. In 2018, eight of the 22 project categories examined had an increased rate of return over the prior year. In 2019, that number has doubled to 16 out of the 22 categories in having more value for the amount invested as compared to the prior year.
The highest rate of return was found in improving curb appeal when readying a home for sale. A new garage door or an addition of manufactured stone veneer accents resulted in a 94% recoup of cost. However, most remodeling projects are done to customize the house to the homeowner’s lifestyle and design preferences. Here are the top five types of remodeling projects for longer term enjoyment that we see in our market, with the national average invested and their cost recouped.*
Vinyl window replacement: cost $20,526, value recouped 70.8%.
Bathroom remodel: cost $20,420, value recouped 67.2%.
Midrange major kitchen remodel: cost $66,196, value recouped 61.1%.
Upscale major kitchen remodel: cost $131,510, value recouped 59.7%.
Master suite addition: cost $130,986, value recouped 59.4%.
Most homeowners remodel so they can enjoy their updated home for many years, and it is nice to know what one can expect to recoup. It is like a future buyer is paying for most of it, while one benefits from the beauty and personal lifestyle enhancements in the meantime! If HGTV is a fair indicator, doing a whole-house remodel with good design and flow seems to always net a return greater than what was spent in the remodel.
Happy home remodeling!
Certified Aging in Place Specialist Janet Cook, president of Cook Remodeling (celebrating their 40th year), invites you to visit their Facebook page for links to articles featuring photo galleries of different styles and trends in home design.
*© 2019 Hanley Wood, LLC. Complete data from the Remodeling 2019 Cost vs. Value Report can be downloaded free at www.costvsvalue.com.