Renovations are a great way to make you feel as if you moved into a new, more modern home without the hassle or expense that comes with buying one. Welcoming a new family member is also a popular reason for upgrading a home. If you’re following the home improvement trend, you know that homeowners are also often motivated to renovate their homes to increase their values.
Before making a major financial decision that could affect your property value or legal liability, it’s best to consult professionals, like a real estate agent or a real estate lawyer in Hamilton.
If you’re contemplating home renos because you intend to sell your home and are trying to increase your property value, a real estate agent who is familiar with your neighbourhood will know how much neighbouring homes are selling for, which improvements to make for a better return on your investment and has the data to help you make an informed decision.
These are three of the top-performing home renovations for return on investment. The ROI percentages are Canada-wide averages and may not apply to your Hamilton neighbourhood and should not be considered financial advice.
Remodelling Your Kitchen
A kitchen remodel requires a lot of capital upfront, especially if you replace appliances, but it can be a high-return investment that, on average, increased the sold price by 75-100% of the renovation cost. Kitchens are a primary concern for buyers because it’s arguably the most-used room in a home and because kitchen repair and upgrade costs are so high.
If you want to give your kitchen a makeover but are looking for a cost-effective alternative to a full remodel; you can replace the doors on your cabinets or use a high-end quartz countertop for the island and a matching, lower-cost alternative along the walls.
Installing Hardwood Floors
Upgrading to hardwood floors provided the highest return on the initial cost of a home improvement, earning homeowners anywhere from 100 -150% of what they paid. Hardwood floors can be cost-prohibitive because of the material and installation costs. Hardwood also requires constant maintenance and might not be durable enough to withstand the wear and tear a family with young children would inflict on it.
Some stylish and cost-effective alternatives include:
- Tiles. Tiles are used in kitchens and bathrooms because they are easy to clean and maintain. Cracked tiles do need to be replaced quickly, however, because moisture seeping into the floor can lead to a mould problem.
- Vinyl. Vinyl flooring is durable and great at repelling water.
- Laminate. Laminate is one of the more popular alternatives to hardwood because it comes in a variety of styles; many laminate options look almost identical to hardwood; it is easier to install and maintain and is significantly lower in price.
Refreshing the paint in your home can provide a pretty good return on investment, considering that, on average, sellers recouped 60% of the cost to paint their homes. Painting is one of the least intrusive and fastest upgrades to complete. New paint makes your walls look brand new, and it can make a space appear larger or smaller than it actually is and mimic architectural design elements.
If you want to spruce up your home without painting everywhere, paint in high-visibility, high-traffic areas like the entrance, hallways, kitchen and den.