07 December 2009

Home Remodeling For A Bigger Return

Indy Star

Question: What remodeling projects add the most value to a home?

Answer: Despite the recent slide in home values across the country, remodeling projects still are considered a safe investment during uncertain economic times. While home prices have fallen an average of 7 percent nationally, the value of investing in home remodeling projects has declined only 3.86 percent, according to Remodeling Magazine's 2008-2009 Cost vs. Value Report and the National Association of Realtors.

This annual study reviews all types of remodeling projects and identifies which ones offer the best return on investment. In recent years, the top three projects have remained the same.

At the top of the list is replacing old siding with one of the upscale fiber cement products on the market.

The second-best investment is installing a midrange wood deck [outdoor decks Saugatuck].

The third is a midrange siding replacement project using a vinyl siding product.

Fourth on the list is siding replacement using upscale foam-backed vinyl.

Rounding out the top five is a midrange minor kitchen remodel [kitchen remodeling saugatuck].

What's the common theme among the first four projects? If it improves curb appeal, it will bring higher returns.

Not surprisingly, when it comes to traditional remodeling projects, kitchens and baths are the smartest places to spend your money. These rooms are where homebuyers expect money to be spent. In fact, a kitchen remodel is the only interior project included in the top 10 returns on investment. One improvement lending significant curb appeal is the addition of a sunroom [sunrooms Saugatuck].

Keep the list going, and you'll find that the next category of projects with high returns includes window replacements of various types. Why? Like siding, these usually are projects of necessity. Consumers have an awareness of energy efficiency and understand that new windows are essential to controlling energy costs.

The message to consumers is this: Putting money into your home still is a good investment, but be wise with your selections. To make the most of your investment, take care not to turn off potential buyers, and focus on projects that boost curb appeal.

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