Surprising Facts about Home Remodels
Home Renovations…Good or Bad…
Home Renovations…Good or Bad…
It appears that the real estate market continues to stay stagnant, remodels and renovations are whats in now since many people are faced with uncertainty and many who have their house paid off will rather invest in a home improvement, as opposed to building or buying a new house.
As the economic downturn continues to persist in the real estate market and according to various surveys conducted, it no longer makes wise sense to invest in large scale room addition projects or upscale renovations. Some projects namely room additions and upscale remodeling are just plain ol’ dollar drains, according to the 2010-2011 Cost Vs. Value report.
Please remember that many of these reports and related comments from readers are directed at the buying and selling trend. Many Americans who find themselves in extreme predicaments meaning that their either upside down, or they are stuck with an oversized mortgage, and as a result they have to sell. If your in this position, then the obvious is to spruce up your place, give it as much curb appeal as possible and call it good. For many that’s about all they can do. Time is is definitely not on their side. This was the market that kept many re-modelers busy. It is no wonder that many contractors are finding themselves doing handyman work. According to Forbes this trend is sweeping the country. If your selling then do the least but if your buying, the selection of foreclosures, unsold new homes, empty newer homes, the choices are too good to be true in many cases. Its an investors Bonanza but buyer beware, this Bonanza may not turn out the way you would expect.
Worst home improvements... Considering the state of affairs we’re in many Americans are neither selling nor are they buying, their staying put, they are opting to renovate regardless of the economy. After all, where else is there to go. Convenience and making their lifestyles more manageable and comfortable trumps out the choice of having to sell, and move.
Currently, there are still certain renovations that do make economic sense….if your planning a renovation make sure it has something to do with energy efficiency and savings.
- entry doors
- entry ways ( foyers)
- garage door replacement and or a garage structure
- exterior siding, hardi-plank, stucco, insulated foam backed vinyl siding
- minor kitchen and bathroom
- composite deck construction
- mid range wood or vinyl window replacement
- attic bedroom addition / modification
- basement finish
It is important to realize that although many of these renovations are considered good investments, many of these projects will not yield a 100% return on investment. If you’re in a position where you need to sell then it would be best to exercise caution and only go for cosmetic upgrades that will improve your chances of selling. As mentioned earlier, there are many people who prefer to stay where they are. For those of you who decide on a home renovations project then by all means feel certain that your return on investment will yield more than 100% in as much that you will not only reap the joy of your home improvement by living there for an extended period of time but your investment will also grow.
Rest assure that as long as people have homes and places to live the home remodeling industry will stay alive and well.
For more information always feel free to call 719 270 3000