Investing In Home Renovations

Remodeling Projects that can Bring the Most Bang for Your Buck

Census data from the years 2009-2011 revealed that homeowners spent a collective total of approximately $360 billion on home improvements, the median cost was $3,200 per project. When deciding on a renovation to make for your home, you want to think about one that will not only increase the visual aesthetic of your property but, the value of the property as well. Everyone has their own tastes as far as the types of changes they would like to see in their homes. However, it is essential to recognize that some renovations add more value to your home than others. With that mind, it may be in your best interest to pick a project that will be worth the investment financially in the event you do decide to sell your property. Here are a few of the most profitable home renovations.

Remodeling The Basement

Basements tend to be dark and damp, and not the place we choose to spend any length of time in. Finishing the basement could be just what your house needs if you are looking for more square footage now and a larger price tag later. Whether you're creating a home theater room for the family, a recreational area for you and your friends or you just need your own personal retreat, investing in your basement is one of the most profitable renovations you can make. Remodeling the basement usually runs around $176,100. The resale value is about $125,200 - giving you a 71% return on investment.

Adding A Family Room

The addition of a family room can be one of the best projects to invest in, especially if your family lacks a space to spend quality time together. In addition to becoming the perfect family hangout, the added room will also add valuable square footage for a potential resale. The average cost of adding a family room is about $89,500 with a resale value of a little over $62,000. So you would enjoy a nice 69% return on your investment.

Replacing The Garage Door

This next renovation can be a real "door opener." :) A garage door replacement is one of the few upgrades that aren't very expensive and won't take up too much of your time. In fact, you can complete it in a weekend. Updating the door will increase the curb appeal of your home. Plus, this quick improvement has the added benefit of providing better insulation - saving you money on heating and air conditioning costs. The average price tag for a garage door replacement is anywhere from $1,500 and $2,000 with a resale value of about $1,300. So you would be netting about a 77% return on investment.

Adding Fiberglass Insulation to Your Attic

Updating your attic insulation with fiberglass is possibly one of the most profitable renovations you can make in your home. It is another inexpensive renovation that boasts one of the biggest returns on investment. Updating your insulation can help lower your monthly cooling and heating costs. With the average price of this project coming in around $1,300, and a resale value of approximately $1,400, your return on investment will be over 100%.

With home values up, there's no better time to invest in your home.