Remodeling Magazine’s Cost Vs. Value Remodel Report for 2010-2011
Every year Remodeling Magazine researches national remodeling information to create their Cost Vs. Value annual report for remodeling. They take into consideration information provided by contractors and Realtors to determine the cost of various remodeling projects and their expected return on investment. The purpose of the annual report is to help consumers quantify their return on money spent towards various home improvement projects.
I have buyers and sellers consult with me all the time on what improvements are worth making and which ones are not worth making. While this is truly a personal decision, I always suggest that clients carefully consider their remodeling projects before embarking on them.
Questions you might want to ask yourself before tackling a remodeling project:
1. Can I afford it?
2. How long am I going to live in the house?
3. Will there be immediate benefits that I will enjoy by completing this project, such as energy savings or increased comfort?
4. Am I doing the remodeling for my own enjoyment or only for resale value?
If you are contemplating a kitchen remodel, bathroom remodel, window replacement, residential roofing repair , front door replacement or an addition, take a look at the Cost vs. Discover affordable window solutions with us! Value report for remodeling 2010-11. (Contact Saalfeld Construction after you see their website for remodeling work). It is important to take into consideration the home’s market value, when you are planning a remodeling project. While several remodeling projects do not have a 100% return on investment, there are instances where you could expect a 100%+ return on your investment. The Cost Vs. Value report is designed as a guide for owner-occupied homes, not flipped homes. If you purchased a home in poor condition for a very competitive price, you may experience over a 100% return on your investment, if you make your improvements wisely. If you bought towards the top of market and intend to make some upscale improvements, keep in mind that you may be limited on your cost that you can recoup.
Some homeowners will think that if a project won’t net a 100% return, why do it? If you look at the cost of mid-range minor kitchen remodel, $20,848, and see that there is an expected value of $14,435, you might try to talk yourself out of doing it. But, keep in mind that a 76.8% return on your investment doesn’t tell the whole story. Effectively, you will have paid 23.2 cents on the dollar ($4,836.74) for the improvements. All of these improvements will hopefully improve your quality of life for the duration of your time in your home. Also, if you are selling your primary residence, you can often times avoid paying taxes on the money you recoup when you resell the home. Read about Houston Kitchen remodeling for latest styles and superior quality kitchen remodel services.
Check out the Cost vs Value for these 5 popular remodeling projects:
|Job Cost||Resale Value||Cost Recouped||Project (mid-range)|
|$10,413||$7,992||76.8%||Window Replacement (vinyl)|
|$20,848||$14,435||76.8%||Minor Kitchen Remodel|
|$1,158||$1,111||96.0%||Entry Door Replacement (steel)|
From the Phoenix area Remodeling 2010-11 Cost vs. Value Report
Complete data from the Remodeling 2010-11 Cost vs. Value Report can be downloaded for free at www.costvsvalue.com
Copyright 2010 Hanley Wood LLC Reprinted by permission