Which Home Remodeling Projects Are Worth Your Money?
Before you splurge on that dream kitchen or add an extra family room, make sure you'll add to the value of your house.
Even if you're not planning to sell your home anytime soon, it's an inevitable question when you consider remodeling: How much will this improvement add to the value of my home?
The top-ranking home improvement? A new front door, which on average adds 96.6 percent of the amount you spent to the value to your home, according to Remodeling magazine's annual Cost vs. Value Report for 2014.
But "it has to be the right front door," says Steven Aaron, owner of the Steve Aaron Realtor Group at Keller Williams Beverly Hills and one of the protagonists of the HGTV series "Selling LA." Keep in mind that sometimes painting the existing front door provides the same payoff.
All 35 projects included in the Cost vs. Value report added more value this year than last year, and this is the second consecutive year of increases after several years of decline.
Replacing old elements, such as doors, windows and siding, in general yielded a better financial return than bigger remodeling projects, such as additions. But real estate agents and remodelers say updated kitchens and baths still bring a significant payoff, especially at resale time. Would-be buyers often overestimate how much they would cost to update.
Here are the home renovations that Remodeling's Cost vs. Value study says will give you the biggest bang for your buck, as well as projects that generate the lowest return.
Renovations that bring the greatest percentage return on investment:
Renovations that yield the smallest return:
- Entry door replacement: 96.6 percent
- Deck addition (wood): 87.4 percent
- Attic bedroom: 84.3 percent
- Garage door replacement: 83.7 percent
- Minor kitchen remodel: 82.7 percent
Speak with a NuVision Real Estate Loan Consultant to find out how much house you can afford. And use of NuVision's calculators to estimate your payment.
- Home office remodel: 48.9 percent
- Sunroom addition: 51.7 percent
- Bathroom addition: 60.1 percent
- Backup power generation: 67.5 percent
- Master suite addition: 67.5 percent
* Offer applies to new 1st Trust Deed Mortgage loans at NuVision Federal Credit Union. Not applicable on loans with guideline exceptions. Loan funding is contingent on NuVision membership. Rebate value is based on loan amount and will be given based on the following levels: $100,000 to $199,999 will receive a $200 rebate; loans more than $200,000 will receive a $400 rebate. NuVision reserves the right to change or cancel the promotion at any time. The rebate will be given at the time of loan funding. Limit one rebate per household. Cannot be combined with any other offer. Subject to credit approval.
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