The pandemic has changed the way homeowners view their homes. With more people working from and spending more time at home, there is an increased demand for remodeling projects according to the 2022 Remodeling Impact Report, a joint study from the National Association of Realtors® and the National Association of the Remodeling Industry.
One question I get on a regular basis is, “Should I remodel my home or sell? Or both?”
The answer to this question varies depending on each person’s circumstances but one thing is for sure, homes that are updated and remodeled to current trends sell faster and for more than homes that have not. Typically homes in an area sell within a range. In determining value, one must look at many factors including how the home is finished.
“The 2022 Remodeling Impact Report found that the highest percentage cost recovered from a remodel job was from refinishing hardwood floors: a 147% return. While a complete remodel of your kitchen will definitely add to your home’s value, the average return on investment for kitchen remodeling was 75%.”
If you are selling your home and trying to decide whether or not to take on a remodeling project, consider the return on investment and where your home will fall in your area’s range of value after the project is completed. The 2022 Remodeling Impact Report found that the highest percentage cost recovered from a remodel job was from refinishing hardwood floors: a 147% return. While a complete remodel of your kitchen will definitely add to your home’s value, the average return on investment for kitchen remodeling was 75%.
If you are planning to sell immediately, a complete remodel on the kitchen might not make as much sense as refinishing your hardwood floors or repainting your home. On the other hand, if you are planning on living in your home for a few more years, the enjoyment of a totally renovated kitchen and added value could be worthwhile.
One solid piece of advice from experience is that it pays dividends to hire reputable professionals on any project. As most Realtors® will tell you when showing homes, buyers will notice if improvements were done professionally or by the homeowner. Don’t be afraid to contact a realtor for insight on the local trends and market before deciding if it’s worth the remodel.
Allen Green, Realtor
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