How much will your home renovation get you in return?
Well, it depends on what and how much you do.
I realize that sounds as clear as mud.
But based on a CNBC post, the answer varies depending on the situation.
A survey was done by Remodeling magazine to determine what gave homeowners the best return on investment, and what was discovered was that high end renovations are getting less of a return on investment than smaller renovations.
This was very interesting to read in the article:
For those who remodel, the average payback in a home’s resale value is 56 percent of the cost of the remodel, but for those who replaced things like garage doors or windows, the payback is a much higher 75 percent. That is according to real estate professionals surveyed by the magazine.
Those values change, however, depending on geography. After all, all real estate is local. The highest remodeling returns are on the West Coast, where the average payback is 64 percent of the cost. In the Mid-Atlantic, that falls to 51 percent.
This goes to show again that real estate is very local. It is also why when I consult with potential sellers who ask about renovations on their home, that I look at very narrow data to help them determine what remodeling may or may not help them get more for their home when they go to sell.
If you are doing a renovation for yourself to live in for a period of time, then do what you want to your home! If you are doing a renovation to sell your house and make more money off the sale, make sure you do your research on how much the return on your investment may be. It isn’t worth putting a lot into a renovation if you, on average in Baltimore, would get 51% back on that investment!
To find out what may be best for you to sell your Towson home, please contact me. I would be happy to help!