Looking to make changes to your home that will pay off in the long run?
Looking to make changes to your home that will pay off in the long run? You’re a smart cookie. Even if you plan on staying in your current home for a long time, its wise to first consider the impact that any upgrades may have on your property’s resale value. Whether you’re looking to make aesthetic changes, or improve some areas of functionality, not all home improvements are created equal. So if you’re looking to make enhancements to your home that will make it a more enjoyable place to reside, and increase home value, consider the projects below.
Best Home Improvements
Maintenance First. It may sound obvious, but your priority in terms of major investment should focus on any maintenance issues currently plaguing your home. Don’t put off fixing that leaky roof to upgrade the kitchen countertops. Buyers won’t get past such a big problem areas, no matter how great the kitchen looks. According to Remodeling Magazine, improvements like siding replacement, for example, recouped 92.8 percent of its cost. Replacing roofs and windows were also high on the list, returning 80 percent or more at resale. Your first priority should always be to keep the existing structure sound, and add on the luxuries later to best increase home value.
Residential Solar Power Systems. You may be hearing a lot of buzz about being able to save a lot of money by making your own electricity with solar panels on your home. We’re happy to say that the rumors are true and that you can not only save big on your monthly electricity bill, but that buyers are actually willing to pay more for home with rooftop solar panels. Talk about getting a bang for your buck! A recent study conducted by the Lawrence Berkeley National Laboratory found that buyers were willing to pay a premium of $15,000 for a home with a solar panel system, compared to a similar home without one. No longer reserved for eccentric millionaires and big businesses, as of mid-2014, more than a half-million homes had solar systems, according to the report.
Another study published by the National Bureau of Economic Research found that homeowners appear to recover approximately 97% of their investment costs – in addition to the savings associated with reduced energy bills. By contrast, a luxury kitchen remodel brings a 60% payback, according to Hanley Wood’s 2010-2011 Cost v. Value report. An average-size solar photovoltaic system of 3.6 kilowatts will generate enough power to for most of your home’s electrical needs (depending on its size and your usage), for free. Depending on the state you live in and the amount of sun exposure on your roof, the costs of installation will vary. You can receive free quotes for a residential solar power system on your home by filling out the form below.
The upfront costs of solar power has continued to decrease, and with the variety of financing options available, making solar power one of the best home improvements out there. You can estimate how much you can save on your utility bill and learn more about the advantages of solar power with our residential solar power calculator.
Landscaping. First impressions are very important, especially when it comes to potential buyers driving by your house. You may never be able to show off all the great work done on the inside, if the exterior of your home looks neglected. According to a 2007 survey of 2,000 brokers conducted by HomeGain, an online real estate marketing site, an investment of around $400 or $500 dollars in landscaping, can bring a return of four times that. Not to mention the potential costs incurred when neglected trees or limbs decide to fall on your house.
The American Society of Landscape Architects (ASLA) recommends that homeowners invest 10 percent of the home’s value in landscaping. This goes beyond planting a few random flowers near the front door. Landscape architecture includes structural features like lighting, fencing, walkways, fire pits, and more. It’s important to have a long-term plan and consult with a professional if possible. Assess which plants are best for your region and lifestyle and go from there. Whenever taking on a new home improvement project, consult with a professional and set a realistic budget.
Whether you’re a homeowner for the first time, or a veteran flipper, having a strategy in place is crucial to recouping your investment in the long run.