You may be wondering, which home renovations are worth doing to maximize the value of my home? This is a question I am often asked as a Real Estate Broker. Before listing a home for sale, many sellers consider planning a home renovation in order to increase the value of their home. From my experience, it usually depends on taking a look at the overall picture and real estate market to determine if it is in fact worth while to undertake a renovation project in order to boost the property value. Here are five of the best renovations you can do to your home to increase property value.
1) Kitchen Renovation
The kitchen of a home is typically the top selling feature. Most people spend the majority of their time around the kitchen. I often walk into a home with buyer clients, and if they don’t like the kitchen, they probably won’t like the rest of the home. Planning a stunning kitchen renovation can make a huge difference in the value of your property. It is very important to invest in good quality finishings, workmanship and style. Buyers usually value bright, clean, modern finishings that are neutral and fresh. Ample cabinetry, high quality countertops like quartz and granite, and stainless steel appliances are all features that will appeal to most buyers. Most popular include white shaker panel cabinetry with quartz countertops and subway tiles. Keep it timeless and classy. Another worthwhile upgrade is to have a breakfast bar or island in an open concept design.
2) Legal Secondary Dwelling
Another renovation that can add significant value to your home is a legal secondary dwelling, also known as an “In-Law” or income suite This can be accomplished by adding an addition to the home or by renovating the basement. This allows a separate dwelling to be added to the home which can add rental income and boost real estate value. The work has to be done properly with the right permits for the property to be considered a legal secondary dwelling for insurance purposes when tenanted. For example, typically there need to be egress windows, fireproof insulation, and a separate entranceway. The cost can be steep to include a secondary swelling but run the numbers and you may find it pays off for you or the next buyer!
3) Bathroom Renovation
Renovating your bathroom can be a more cost-effective way to increase the value of your home. I see this especially when someone adds a second full bathroom to a home with only one existing bathroom. A home with two full bathrooms typically appeals to more buyers. A bathroom should never replace a bedroom, however if you are able to add another bathroom, even a small one, to your basement or bedroom it can have positive results for resale value. Similar to a kitchen renovation, buyers typically value clean, bright, white fixtures that are timeless. Glass showers are a modern upgrade that can help a small bathroom appear more spacious. One important point to note is that if possible, always have at least one bathroom with a tub in the home. Buyers with children and pets value having a tub for bath time vs a stand up shower.
Flooring is a relatively easy and cost effective way to boost the value of your home. Weathered flooring can negatively impact the appeal of an otherwise nice home. Most buyers value hardwood flooring and tile over carpet and cheaper linoleum or laminate flooring. Carpet had a bad rep for attracting allergens, dirt, and it is more difficult to keep clean. That being said, new carpeting can sometimes be used effectively in basements as a cost-effective fix that is warmer on the feet in colder climates. Replacing old carpet on stairs for newer carpet instead of hardwood can also save you thousands of dollars and have a similar aesthetic effect. Generally speaking, hardwood flooring is the best flooring type to increase a home’s value. You can also opt to refinish old hardwood flooring to save materials and cost. A good quality, neutral ceramic tile is typically desirable in kitchens and bathrooms. Also, aim for consistency in flooring appearance throughout your home. Similar to paint colours, buyers don’t like to see a hodge-podge of different flooring types that break up the unity and flow of the home layout.
5) Lighting and Fixtures
Having new and modern lighting and fixtures is not to be overlooked. If you are working on a tight budget, this is probably the most cost-effective way to boost the value and appeal of your home. Replacing old fixtures for new ones is tedious work but well worth the time and effort. Changing lights and fixtures can help refresh an older home and add value without breaking the bank!
Below is a list of fixtures that can be swapped out from old to new:
- Kitchen and bathroom cabinet hardware
- Sink, tub and shower faucets
- Door knobs and closet knobs
- Vent flooring covers
- Light fixtures and light bulbs. Pot lights can be a valuable addition to your home.
- Electrical outlet cover plates
We hope you enjoyed these top renovation tips. Remember to find a reputable contractor to complete the work with the appropriate permits. Also, consult with a trusted real estate advisor who can help you determine if doing the renovation work is worth the investment. Sometimes you are better off to leave the work for the next buyer to complete and select their own finishings!
Have you started planning a home renovation project? Would you add any valuable renovations to this list? Let us know in the comments below!