Smart Home Renovations

We live in an age of renovation. Most renovations done to our homes are out of need. A need for a better paint job, a need for plumbing, or a need to update our appliances. When a renovation is made, you are actually adding value to your home, however this can become counter-intuitive. When making a renovation people have a tendency to believe that a $10,000 home improvement will amount to an additional $20,000 value on their home. Though that may be true, accumulating debt via renovations is not an investment. Here are 4 tips according to the Appraisal Institute of Canada homeowners should follow when renovating.

These improvements may not be the most exciting but they are more than worth the time. Consider new roofing, a new furnace, or a new A/C unit for your next renovation. Studies done by the AIC have calculated that the return on investment on these home improvements will range from 50% to 75%. Take for instance replacing old windows or doors that contribute to major energy loss, there'd be instant gratification in this renovation.

 

Rooms such as the bathroom or kitchen are the most visited in homes. Consider investing time to upgrade these rooms. Try modernizing your kitchen by resurfacing the cabinets, changing hardware, and replace the lighting. One thing to note about modernizing a room is that it will likely become outdated again in roughly 15 years, so do not bank on dollar-to-dollar return if the intention is to sell your home for decades to come.

Replacing carpet with hardwood, painting, and rejuvenating landscape are a few of the less expensive renovations that will accrue in return on investment up to 75% and increase home's appeal to potential buyers. You may even get to recoup up to half of your expenses.

 

Relative to cost energy efficient renovations are considered to have the highest paybacks. This includes replacing the windows and doors.