Remodeling - Part 2

 

Before you remodel consider the return on your investment.

Updating your kitchen and baths is usually your best remodeling investment, returning a nearly dollar-for-dollar increase in home resale value.

Converting a basement into a family room or adding outdoor recreation facilities, such as a swimming pool or sport court, usually gives the lowest return on your investment.

Be careful, not to over-improve for your neighborhood. Remodeling that significantly improves your property over neighboring homes won't return as much when it comes time to sell.

  • Pitfall #1: Having a designer doodle all kinds of fancy plans on paper that turn out to be not within your budget.
  • Pitfall #2: Thinking you can be your own general contractor.
  • Pointer#1: It is cheaper not to build over an existing structure. If you can attach to your existing structure, it can save you money.
  • Pointer #2: It is cost efficient to build 2 stories instead of 1. Since you need a foundation and a roof regardless if you are building 1 or 2 stories, If you want to add a lot of space, attach to your existing structure and then build on top of your new structure.