Almost every time I’ve listed a home or condo, each owner asks me what improvements they can make to increase the value of their home. Sometimes it’s a simple and obvious answer – maybe the place just needs to be painted in neutral colors – or some much needed landscaping for curb appeal. The fact is that each property has its own limitations on what should be done. It’s important to never over improve a home beyond the neighbourhood’s potential. Some home owners can get carried away and over improve beyond what a willing buyer would pay for the area or condo building.
You don’t want to be the most expensive home on the street. To give you an example ~ a homeowner with a $400,000 home decides to fork out $50,000 for an in ground pool ~ on the resale market that home is still worth roughly $400,000. Some renovations have an impact on value and some don’t. I’ve listed and index report from RE/MAX and included a link to the 6 Smartest Renovations you can make to a home or condo to increase value.
The RE/MAX Return on Reno Index is a proprietary tool to help you get the most value out of every renovating dollar you spend. We took an exhaustive look at the various renovations people commonly do on their homes and judged their return on investment based on a variety of criteria. The findings were nothing short of enlightening.
We learned “down to the dollar” what different renos deliver, but we also discovered that the relative return on investment changes based on the value of the house being sold. Have a look at these charts, which compare your return on reno, based on the value of the home being sold.