There are many factors that come into play when deciding whether or not to undertake the daunting task of a home renovation.
First, there’s whether the reno will actually make your home more comfortable, or life easier, for your family. There’s also the question of how long you plan to stay in your current home, so you can figure out how many years you’ll be able to enjoy your upgraded living space and decide whether or not it’s worth the hassle.
On the practical side, there’s the difference between renovations you want, and renovations your home needs. While they may not be as much fun as getting a sleek new kitchen or putting a pool in the backyard, doing essential repairs like fixing a damaged roof or leaky foundation could help you avoid even bigger problems down the road.
Last but most definitely not least, there’s the cost. Not just how much the renovation itself will cost, but how much of that investment you’ll be able to recoup in the form of increased resale value when it’s time to sell.
Only you can decide which renovations or improvements will bring your family the most happiness, convenience or joy. But when it comes to the math, the Appraisal Institute of Canada (AIC) has identified the top 5 home renovations that are most likely to give homeowners the biggest bang for their renovation buck, provide the most enduring long-term value – and offer the best Return on Investment (ROI).
1. Kitchens
Kitchen renovations are a perennial favourite for virtually any property and every real estate market in the country. In addition to improving your family’s quality of life on a daily basis, kitchen renovations can also provide a big boost to the value of your home, with a typical ROI of anywhere from 75% to 100% of their cost.
To maximize your return, use the highest-quality materials as your budget allows, and focus mainly on classic improvements like adding stainless steel appliances, high-end backsplashes, upgraded granite, quartz or marble countertops, and new fixtures and lighting.
2. Bathrooms
Coming in a close second, bathroom renovations generally offer a similar ROI of 75% to 100% of the cost of having them installed. This includes improvements like updating your faucets and showerheads, upgrading your tiles, or even replacing an old, damaged or outdated tub or shower with a new state-of-the-art model.
Other high-return bathroom renovations include high-impact upgrades like installing a walk-in or frameless glass shower, adding heated floors, putting in a double sink, or upgrading to more eco-friendly fixtures.
3. Painting
Giving the exterior or interior of your house a fresh coat of paint is an easy, inexpensive and quick way to give your home a whole new lease on life, and give your resale value a significant bump.
On average, painting offers an ROI of around 60% or more, especially if you choose neutral colours that match the look of your neighbourhood and aren’t likely to go out of style anytime soon. If you’re painting the exterior of your home, you could also think about some other easy upgrades to further boost your curb appeal, like doing a little landscaping or planting some flower beds.
4. Updating flooring and decor
While many homeowners tend to overlook this one, something as simple as updating your interior and exterior lighting, upgrading your plumbing fixtures, or changing your cabinets and countertops can give even the most dated property a whole new look – and offer a potential return on investment of anywhere from 50% to 60%.
Another great way to instantly increase the value and enjoyment of your home is to upgrade the flooring. In addition to giving prospective buyers a great first impression when they walk in the door, replacing old, tired or outdated carpets, laminate flooring or tiles with beautiful new hardwood floors can also offer a solid ROI of around 50% to 75% of the cost of the renovation.
5. Decluttering
Finally, if your home is starting to look a little too “lived in,” think about hiring a professional organizer to help you get rid of things you no longer need or use, simplify your living environment, and just generally declutter your space!
Decluttering and organizing your home will not only make life simpler and easier for your family. It’s also a great way to showcase your home’s unique features, make your property feel larger, and allow potential buyers to see themselves living in your space more easily – all for a relatively minor investment of time, inconvenience and money.
Questions?
Have you been thinking about finally getting around to that home improvement project you’ve been putting off for longer than you’d care to remember, and could use a little unbiased advice? Contact us to set up a free coffee chat, phone call or online consultation, and we’ll do our best to point you in the direction that makes the most sense for you, your family – and your wallet!