5 Home Improvement Projects That Build Equity
For many people, their home is now their pension. Thanks to equity release schemes or simply selling your home, people can afford to live and enjoy their retirement.
To boost the value of your home you may want to consider doing some home improvement projects. However, it is imperative that you choose the ones that will add value to your home.
Top Tip: Get a Sydney auctioneer to value your home before and after your improvement projects. It will illustrate how much your home has gone up in value and may even tempt you to sell!
Kitchen Remodel
The average cost of a kitchen remodel is currently $20,000 to $30,000. Of course, you can reduce this figure if you do some, or even all, of the work yourself.
What is worth noting is that providing you do a good job of the kitchen, you’ll see an increase in the value of your home by approximately half the kitchen cost.
This means if you’re doing the kitchen just to sell you need to consider costs carefully. But, if you’re doing it for the long term, the added equity is worth it.
Landscaping
Tidying the area outside your home makes it instantly look more appealing. This adds value and makes it easier to sell if you decide to.
To get the landscaping right you may want to consider adding decking and minimizing the maintenance required. Decking allows people to enjoy the outside at almost any time of the year, it’s a valuable asset.
Extension
An extension can add value to your home far above the cost of doing the extension. However, you need to consider the area you live in and what the extra space is for.
If you live in an area full of 3-bed semis, you’re unlikely to attract a buyer to your 5-bed semi, the price will be unproportionate for the area.
Of course, if it adds useful space then it will add value and appeal to your home.
Windows & Doors
You can’t really go wrong with new windows and doors. They’ll improve your insulation capabilities and keep the house looking good.
Add in a coat of paint and you’ve got an easy home improvement project that will boost the equity and appeal of your home.
The Bathroom
Finally, the bathroom is generally agreed to be the second most important room of your home. Replacing and upgrading the appliances can see a healthy 50% return on your investment.
Just make sure that you stick to neutral colors or white. Choosing a bright bath may be trendy and look great, but it won’t appeal to everyone and could adversely affect your ability to sell or generate equity release!
Don’t forget, if you’re simply hoping to build your equity in order to sell and upgrade your home, you may want to put your excess funds into reducing the mortgage faster. This has a direct, and positive, effect on your equity.
Images source – Portland home designed by Jessica Helgerson | photos by Aaron Leitz
