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Remodeling Costs Vs. Value Increase

Fri, 12/19/2008 - 11:48am — carol.meadows

This table indicates the value increase of your home based on the specific consturction projects.

The value column indicates the percentage of the remodeling cost you can expect to retain as a gain in the value of your home.

For example, you decide to add a master suite to your home.  Suppose installation will cost you $8000.  Since 74% of a master suite's remodeling cost is returned as a value increase in your home, you can expect to see a $5,920 increase in sale price, all other factors held constant.

Construction Item

Value

Issues to be Concerned with

Kitchen Remodel, Major
115%

Appliances and other features must match price range of the house.  Hire a decorator or call us for advice.

Kitchen Remodel, Minor
 96%New floor, new counter tops, new faucet, new lighting.
Family Room Addition 78%House price dependent.  If your house is in a high price range, you may not get such a high return since it is an expected feature, but it will cause it to sell quicker.
Fireplace
 95%Only if it is in the living room, or family room.
Master Suite Addition
 74%Try and incorporate this into the footprint of the existing structure to get the return.
Master Ultra Bath
 80%This is a great selling feature.  Keep the tile color natural.  White sells best to most.
Single Bathroom Remodel
 90%Put in 2 sinks.  Keep it white, ceramic, & simple.
3rd Bathroom Addition
 80%House price dependent.  This would be a requirement in an expensive home and not worth paying for in a lower priced home
Finished Attic
 50%Only if the stairs are already there, or if you don't lose a room in order to install i.  It is often hard to make sure that this room is adequately heated and cooled.
Basement, Major
 64%House Price Dependent.  May be more useful in a lower price range.
Basement, Minor
 40%Especially valuable if there is easy outside acces.
New Windows & Doors
 35%Additional benefits are overall comfort & lower utility bills.
New Roof
 40%People expect to get at least 5 years good roof.
Deck Addition, Deluxe
 87%House Price Dependent.
Deck Addition, Basic
 70%House Price Dependent.
Swimming Pool
 25%House Price Dependent.  Often this is NOT an asset.
Siding/Painting
 65%House Price Dependent.  In lower price ranges, vinyl siding would be better than painting.

Please don't hesitate to call us if you have questions about another type of remodeling cost. The Meadows Team can be reached at 513.766.9200 or 513.766.3878. You can also Email The Meadows Team.

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