The recent improvement in the condition of the market especially in the housing market encourages the homeowners to invest in renovation of home that thy hop would increase the value of their homes.
According to the survey conducted by he Joint Center for Housing Studies at Harvard University, for the past one and half years the trend of spending on home improvement has stated and it is predicted that it would increase almost 20% and reach nearly $151 billion by the end of the fourth quarter. The report also reveals that numerous homeowners decide to renovate their kitchen or basement from the idea that the finished and bigger one would make their home more comfortable one. On the other hand, individuals willing to sell their home, remodeling it with the hope that it would boost the price of their home.
It is worthy to mention over here that the report publishes six wonderful suggestions that one need to consider before investing in home renovation project.
To measure the effectiveness of home improvement, Richard Borger who serves as the president of the Appraisal Institute suggests that estimation should require that would provide the homeowners an idea of returnable amount. In most of the cases, he adds, the renovation offer the homeowners near about 50 percent return on their new investment. According to the survey of remodeling magazine, prices of home are rising so fast that it now becomes easier to recover the expenses spent on home renovation, regardless of the upgradation.
It is certain that installing latest features like appliances and cabinets increases the value of home. One should require to be enough conscious while selecting the appliances and finishes that is suitable to the neighborhood.
Borges also states that another popular home improvement plan that proves less effective is addition of an extra room in home that expands the size of home. He is of the opinion that projects that includes splitting down an exterior wall that requires moving windows. Doors and several other features cost much better than modifying an attic into a bedroom that he believes utilizes existing space of the room. He stated that it is difficult to recover the expenses of costly improvement.
One should consider all types of buyers when planned to modernize the home. Borger explained that in case one has decided to add a swimming pool that the person hopes would increase the value of the home and makes it easier to sell the house. But the reality is just the opposite. Installing the pool make home quite hard and tough to sell as most of the possible buyers would deny taking the extra maintenance cost.
The most important part of the home improvement is obviously consulting an expert who has profound knowledge in the field. Usually an expert charges $500 to $1000 to deliver their advices. However, one can take the assistance of real estate agent who offers their services for free with the hope that homeowners would take their help when they decided to sell it.
Changing the master bedroom into a bigger one or changing the downstairs closet into a half bath proves to be good investments. However, these may not be aesthetic enough. According to Remodeling magazine, homeowners can regain the maximum amount of money from the improvement that costs less than $5,000. The magazine informs that it was almost 85.6 percent of the cost.