I have been compiling this list of home improvements and the general percentage that is recouped when you sell your home. Of course, the percentage rates will vary slightly depending on your location and your market.
Percentage of your investment that is recouped at resale:
150% for Remodeled Kitchen
A kitchen update can reward a seller with a sizable payback. Just remember though; splurging on fancy finishing materials or sophisticated equipment may cut into your profit. Keep it simple and don’t update over what is common in your neighborhood.
100% for Revitalized Lawn and Garden
A beautiful green lawn and a modest but colorful flowerbed will entice potential buyers. The few hundred dollars invested may yield several thousands in profit.
100% for Fireplace
Especially if it is energy efficient, such as a gas-powered model, a fireplace holds the promise of cozy family gatherings around the warmth of the hearth. Location will make a difference too-Florida & California will not yield as much.
90% for Second Bathroom
All it takes is a simple 5×9 foot extra bathroom to make mornings more civilized for most families. But don’t count on a return on extras like a heat lamp, sauna or whirlpool tub.
80% for Room Addition
For the most attractive return of your investment dollars later on, the added room should be today’s most popular rooms-family room or a third bedroom.
80% for Remodeled Bathroom
A master bathroom is on many buyer’s list, so invest here. If you own only one bathroom, install two sinks or a double vanity to handle the morning crowd.
70% for Expanded Master Suite
To keep costs down, try to find extra space to create this wish list item by combining existing rooms and spaces. Heavy structural work entailed by adding square feet diminishes your return.
70% for Deck
Outdoor living space is a desirable asset no matter where the locale. No maintenance decking material leaves lots more leisure time, too.
50% for Exterior Paint
Sprucing up tired siding, trim, etc., can take years off the look of an older house, which helps curb appeal and may help your home sell quicker.
50% for Finished Attic
You can expect to recoup more of your investment if you make sure the renovation does not detract from the aesthetics of your home. It is especially attractive as an extra bedroom in a small house or office but it must be well insulated.
40% for Finished Basement
If you live in an area where there basements, his is a great way to gain added living space without building a costly addition. If the basement has an access door to the outdoors, the project becomes more valuable. Unfortunately, in Florida & California, you don’t find too many basements!
40% for Heating and Cooling Systems
Replace it only if your old system is dysfunctional. Depending upon a buyer’s priorities, a new energy efficient furnace/AC may or may not be a selling advantage.
35% for New Windows and Doors
Buyers appreciate changes that improve the look of a house, so attractive new French doors, for example, may be a plus. Energy efficient units are an ecological boom, but may be a resale bust.
30% for Garage
Don’t go overboard to blend it into your home’s architectural style. Its desirability increases if you live in a part of the country with a harsh climate.
0% for Swimming Pool
Unless you live where the sun always shines, such as Florida, this luxury item can detract from your resale profit.