| Remodeling for Resale Remodeling can make your home valuable when you want to sell your
home - while meeting your current lifestyle needs. Although the cash you spend on
improvements seldom yields dollar-for-dollar return when you sell your home, some
remodelings return when you sell your home, some remodelings return more of your
investment than others.
The following information - reprinted form the November
1997 issue of Remodeling® magazine ©Hanley-Wood , Inc.- provides annual figures
detailing the cost and value of common home renovations. Although these numbers provide a
solid basis for what certain renovations cost and how much value they have to potential
home buyers, it's important to keep in mind that your preferences and needs may differ
greatly. Local market conditions will also influence the actual resale value of your
remodeling.
Strategies to bank on
As you consider home remodeling options, consider these
guidelines to improve your chances of a good return on your investment:
- Keep the value of your property within 15% to 20%
of others in your neighborhood. Buyers who can afford pricier homes will shop in more
expensive neighborhoods.
- Style your remodeling for mass appeal. Buyers
prefer neutral, mainstream design.
- Give buyers quality construction. Use materials
that look good and wear well. If you plan to do the work yourself, honestly evaluate your
ability to do it right.
- Keep your remodeling compatible with the existing
house. Additions and improvements that look "tacked on" may detract form a
home's appeal.
New Bath
Project Specs
Add a second bath to a house with one or one-and-a-half baths. The 6 by 8-foot bath should
be within the existing floor plan in a spit convenient to the bedrooms. Include cultured
marble vanity top, linen storage, vinyl wallpaper, ceramic floor tile and ceramic tile
walls in the tub area.
Job Cost*: $11,645
Resale Value: $10,593
Cost Recouped: 91%
Bathroom Remodeling
Project Specs
Update an existing 5 by 9-foot bathroom that is at least 25 years old with new
standard-size tub, toilet and solid surface vanity with integral double sink. Install new
lighting, faucets, mirrored medicine cabinet, ceramic floor tile and ceramic tile walls in
the tub/shower area. Use vinyl wallpaper elsewhere.
Job Cost*: $8,423
Resale Value: $6,490
Cost Recouped: 77%
Major Kitchen Remodel
Project Specs
Update an existing 200-square foot kitchen with 30 lineal feet of cabinetry and
countertops, refinish existing cabinets, install new energy-efficient wall oven and
cooktop, new laminate countertops, new mid-prices sink and faucet, wall covering and
resilient flooring. Repaint. Includes new, raised-panel wood doors on cabinets.
Job Cost*: $8,507
Resale Value: $8,030
Cost Recouped: 94%
Family Room Addition
Project Specs
Add a 16 by 25-foot, light-filled room on a new crawl space foundation with wood joist
floor framing, matching wood siding on exterior walls and matching existing fiberglass
shingle roof. Drywall exterior with batt insulation and hardwood tongue-and-groove floor.
Use 180 square feet of glass, including atrium-style exterior (doors, windows and two,
operable skylights). Tie into existing heating and cooling.
Job Cost*: $31, 846
Resale Value: $26, 482
Cost Recouped: 83%
Master Suite Addition
Project Specs
Add a 24 by 16-foot master bedroom over a crawl space with a walk-in closet to a house
with two or three bedrooms. The master bath should include a dressing area, whirlpool tub,
separate ceramic tile shower and double-bowl vanity. Carpeted floor in bedroom, ceramic
tile floor in the bath.
Job Cost*: $36,472
Resale Value: $30,530
Cost Recouped: 84%
New Deck
Project Specs
Add a 16 by 20-foot deck of pressure-treated pine supported by 4 by 4 posts set into
concrete footings. Include a built-in bench, railings and planter (also of
pressure-treated pine).
Job Cost*: $6,172
Resale Value: $4,459
Cost Recouped: 72%
Replacement Windows
Project Specs
Replace 10 existing 3 by 5-foot windows with aluminum-clad windows including new trim.
Replace sash, frames and casings. (Options: replace sash only; existing frames remain in
place).
Job Cost*: $6,112
Resale Value: $4,536
Cost Recouped: 74%
Re-Siding with Vinyl or Aluminum
Project Specs
Replace 1,250 square feet of existing siding with new vinyl or aluminum siding, including
trim. (Option: use painted wood siding and trim instead of aluminum or vinyl.)
Job Cost*: $5,376
Resale Value: $3,774
Cost Recouped: 70%
Home Office
Project Specs
Convert an existing 12 by 12-foot room into a home office. Install custom cabinets
configured for desk, computer workstation, overhead storage and 20 feet of plastic
laminate desk. Rewire the room for computer, fax machine and other electronic equipment,
as well as cable and telephone lines. Includes drywall interior and commercial-grade,
level-loop carpeting.
Attic Bedroom/Bath Addition
Project Specs
In a house with two or three bedrooms, convert unfinished space in an attic with rafters
to a 15 15-foot bedroom and 5 by 7-foot shower/bath. Add four new windows and a 15-foot
shed dormer. Extend existing heating and central air conditioning to a new space. Retain
existing stairs.
Job Cost*: $22,840
Resale Value: $19, 083
Cost Recouped: 84%
2-Story Addition
Project Specs
Add a 24 by 16-foot, two-story wing over a crawl space, including a first-floor family
room and a second-floor bedroom with full bath. Addition features a prefabricated
fireplace in the family room, 11 windows and an atrium-style exterior door. Floors are
carpeted and walls are painted drywall. The 5 by 8-foot bathroom has a fiberglass
bath/shower, standard-grade toilet, wood vanity with ceramic sinktop, ceramic tile
flooring and mirrored medicine cabinet with light strip above. Bathrooms walls are
wallpapered. Add new heating and cooling system to handle the addition.
Job Cost*: $55, 687
Resale Value: $46,236
Cost Recouped: 83%
Source: 1997-1998 Cost vs. Value Report, REMODELING
MAGAZINE ©HANLEY-WOOD, INC.
* National Average
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