Your home means everything to you and your family, and it’s also your most significant investment. Most people who buy new homes don’t plan to resell them right away, but our personal circumstances are always subject to change. Routine maintenance is the best way to keep your house feeling like a home, and the right renovations can significantly increase its resale value whenever it’s time to sell. But which renovations offer the best return on your investment?
Ferstl Valuation Services has proudly offered trusted real estate appraisals in Little Rock since 1967, and we’re always a phone call away whenever you’d like to schedule an independent appraisal or a professional real estate consultation. But before you schedule a new appraisal, you should review the property’s most current appraisal to see what issues previously lowered its value. Those same issues will likely come up again during the new appraisal, so resolve any obvious health or safety concerns and prioritize functional upgrades over cosmetic ones.
Next, review the most recent sales of comparable properties (“comps”) in the neighborhood. If comps are selling quickly and at a premium, you’re potentially leaving money on the table if you don’t make a few renovations. You can typically recoup 60-80% of the costs of kitchen and bathroom upgrades, and you can often more than double your investment in a new steel front door or garage door. Conversely, if comps are sitting on the market for a long time, you might not want to overimprove the property and price yourself out of the market! Focus instead on cleanliness and curb appeal. New interior paint offers a lot of “bang” for your home improvement buck, and a new coat of white, grey, or beige exterior paint can boost a home’s value by up to 10%!
Finally, whether you decide to make major capital improvements or just give your property a little TLC, understand your limitations before attempting any renovations yourself. The money you save on DIY projects can be a false economy if you later have to bring in contractors to fix your mistakes. There’s no shame in leaving the tough jobs to the pros, and it’s the best way to keep your renovations on schedule and within budget!
For more information about real estate appraisal services in Little Rock, contact us online or at 501-375-1439.
