If you’ve ever watched HGTV, you know that they are big on home renovations. Chef-quality kitchens. Huge master bedrooms and bathrooms. Updating of outdoor spaces.
And, it costs a lot of money.
So, how do you decide if a renovation is worth the cost—and will it add or decrease the value of your home?
To make an informed decision, consider the following:
- Consider how long you will live in your home. If you plan on staying in your home for 15 to 20 years, enjoy your renovation. If you are updating it to sell it within the next few years, determine whether your choices will appeal to a potential buyer.
- Consult an Expert. Talk to a professional contractor or designer. They will tell you whether it’s a passing trend or if it’s a classic update that will withstand the test of time.
- Compare your home renovations to other homes in your area. Ask a real estate agent to show you comparable homes for sale. Attend open houses to make sure your improvement aligns with the neighborhood.
- Get an appraisal. A licensed appraiser can do a “feasibility study”. They can estimate the current value of your home and the value after the proposed improvements.
Contact me if you need to refinance to get cash out or if you need a renovation-type mortgage.