Are you wondering how to add value to your home? If you are interested in putting your property's best foot forward as it enters the market, then there are a few things you need to know.
Here are 10 easy ways to increase your home's property value:
1. Siding Replacements
Updating your home's siding can give your property an instant facelift.
The siding on older homes, even with a good pressure wash, is often dated and tired looking. If you install new paneling, you can make your home look years younger, and thus greatly enhance its value.
2. Deck Additions
Typically, decks are one of the highest value updates you can make to your home. While some decks can be expensive to install, most homeowners will see up to an 80% return on investment. This is especially true if the yard is small, as you can redirect potential buyers' perception of the space from “tiny yard” to “awesome outdoor living space.”
If you install a high-quality deck that will last, it will deeply enhance the value of your home.
3. Entertain Outdoors
If you don't have the time or budget to install a deck, you should still consider sprucing up the backyard so that it is a vibrant extension of the home. If you can create a space that potential homebuyers can see themselves relaxing and socializing in, you will have instantly increased the value of your home.
To achieve this, you should consider adding a freestanding portico, updating your outdoor lighting options, or installing a small water feature.
4. Window Replacements
It usually costs about $10,000 to replace all of the windows in a mid-range home. The return on investment for this project is usually about 72%, or $7,200. However, this is only for the assessed value of the home.
Replacing the windows could increase a home's fair market value by substantially more. This is especially true as new windows provide better insulation, which lowers energy costs – an attractive option for potential buyers.
5. Consider Going Green
Investing in the environmental efficiency of your home is one of the easiest ways to add value. To begin, consider updating your heating and air conditioning systems. Newer systems are more energy efficient and can save you up to 40% on your energy bill.
There are also significant tax breaks available for going green. While many tax incentives expired in 2011, there is still a credit available to cover up to 30% of the cost of solar electricity, solar water heating systems (but not for leisure items like swimming pools or hot tubs), small wind energy property, and geothermal heat pumps, with no upper limit.
This credit will remain at 30% until December 31, 2019, after which it will be reduced each year until it expires in 2022.
6. Create Open Spaces
If you are wondering how to add value to your home, a great place to start is simply by opening up the floor plan. Many potential homebuyers don't want to feel boxed in by restricting walls and bulky built-ins. You can create space by taking out a non-load-bearing wall or removing the kitchen island.
While a kitchen island can add value to a home, if there is already plenty of storage space in the room, it could pay to remove it. This is because a “large kitchen” is on many homebuyers' wish list, so taking the island out immediately creates the illusion of a larger space.
Updates like this usually only cost a few hundred dollars and are well worth it.
7. Spruce Up the Front Door
The front door is the first thing potential homebuyers see as they enter a home, so it is a significant part of their first impression.
Adding a fresh coat of paint to your front door can add value to your home, as can installing a door knocker, or even a peephole. It is also important to consider coverage, that is, is there any sort of shelter for your door?
Potential homebuyers will notice if you don't have an awning, portico, or overhang to protect them (or their future potential guests!) from the scourge of the elements. Adding this shelter is another easy way to add value to your home.
8. Think About New Flooring
It's typically worth it to invest a little money on new flooring before you sell your home. This doesn't mean you need to spend thousands of dollars replacing every lick of walking space in your house. However, it does mean that if your kitchen is still sporting Linoleum from the 70s, replacing it will significantly enhance your home's value.
If you would like to spend even less, consider minor upgrades, like installing nails to mitigate creaky floors and repairing broken tiles.
9. Make Small Bathroom Upgrades
Completely revamping your bathroom right before you decide to sell your home might not be the best idea. This is because decorating tastes are highly personal and potential homebuyers might not share yours.
This doesn't mean that you should completely neglect your bathroom. Consider replacing the dated frosted glass with clear glass, applying fresh caulk where needed, and cleaning the grout. You can even install new cabinet pulls and a low-flush toilet. In fact, a new energy-efficient toilet is a crowd favorite.
10. Paint the Walls Neutral
A fresh coat of paint is one of the best ways that you can add value to your home. In addition to sprucing up the room, a fresh coat of neutral paint depersonalizes the space. Much like bathroom remodels, paint colors have a lot to do with personality. By neutralizing your home, you allow potential buyers to imagine themselves living there and making it their own, thus adding value.