Remodeling Benefits Owners Who Sell or Stay

WASHINGTON (December 9, 2015) — Homeowners preparing to sell often make improvements, both big and small, to their homes that can help yield positive results and garner top dollar from buyers. According to a new report from the National Association of Realtors®, remodeling projects can also bring major benefits to homeowners who choose to remain in their homes.

“Realtors® know that certain home upgrades and remodels can be beneficial to get more buyer eyes on a property, potentially bring in more offers or gain more equity from a home,” said NAR President Tom Salomone, broker-owner of Real Estate II Inc. in Coral Springs, Florida. “But remodeling projects are just as valuable to homeowners who simply want to get more joy out of their dwellings. Regardless of the situation, Realtors® know what remodeling projects bring the biggest bang for the buck and what projects are most likely to improve a homeowner’s impression of their current place.”

According to NAR’s 2015 Remodeling Impact Report, which uncovers the reasons homeowners choose a remodel and the increased happiness certain projects bring once completed, 64 percent have experienced increased enjoyment in their home after completing a remodeling project. Additionally, 75 percent of respondents said they felt a major sense of accomplishment when thinking of their completed project. Fifty-four percent of respondents felt happy about the changes to their home, and 40 percent felt satisfied. As for their reasons to complete a remodeling project, 38 percent of homeowners said they wanted to upgrade worn-out surfaces, finishes and materials; 17 percent wanted to add features and improve livability; and 13 percent believed it was time for a change.

Realtors® named kitchen upgrades, complete kitchen renovations, bathroom renovations and new wood flooring as the interior projects that most appeal to potential buyers. Similarly, Realtors® also ranked projects based on expected value at resale (without accounting for project price); the projects that ranked the highest in this category were complete kitchen renovations, kitchen upgrades, bathroom renovations and the addition of a bathroom.

When looking at the interior projects that yield the biggest financial results upon resale, Realtors® ranked hardwood flooring refinishes (100 percent of project cost recovered upon resale), insulation upgrades (95 percent recovered), new wood flooring (91 percent recovered), and converting a basement to a living area (69 percent recovered) as projects to consider.

Exterior projects are also important for both sellers and homeowners looking to increase satisfaction with their current home. Realtors® said new roofing, new vinyl windows, new garage doors and new vinyl siding are most appealing to potential buyers and are highly valued upon resale (both considering project price and disregarding project price). Upon resale, Realtors® said new roofing would recover 105 percent of its project cost, a new garage door would recover 87 percent, new vinyl siding would recover 83 percent, and new vinyl windows would bring back 80 percent of their cost. As for exterior projects that bring the most happiness for those not necessarily intending to sell, homeowners said new fiber-cement siding, new fiberglass or steel front doors, new roofing, and new garage doors brought the most satisfaction.

The 2015 Remodeling Impact Report, the first of its kind from NAR that examines personal satisfaction from remodeling projects, surveyed Realtors®, consumers who have completed their own remodeling projects, and members of the National Association of the Remodeling Industry.

“Remodeling projects can greatly improve both the value of and satisfaction with one’s home, which are great things no matter the reason for a project,” said Judy Mozen, president of the National Association of the Remodeling Industry. “This report highlights the best projects to consider in either situation and showcases just how much of a difference a good and professional remodel can make in real numbers.”

Salomone said the report not only assists homeowners who are preparing to sell in choosing the best projects to attract buyers, but it also helps those looking to get more personal satisfaction out of their homes. “Realtors® know that remodeling projects aren’t just done to get more money for a home once it’s time to sell – a home is your sanctuary, the place you raise your family and where you make lifelong memories, which is why the report can also help consumers decide which projects could enhance their current quality of life and happiness,” he said.

The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.1 million members involved in all aspects of the residential and commercial real estate industries.

The National Association of the Remodeling Industry is the medium for business development, a platform for advocacy and the principal source for industry intelligence. NARI connects homeowners with its professional members and provides tips and tricks so that the consumer has a positive remodeling experience.

construction

Kitchen “ins” and “outs”

Thinking about remodeling your kitchen? Whether it be, trash, lighting, style, cabinets, etc., kitchen trends have changed a lot for this year.

Below is a list of kitchen trends decreasing and increasing in popularity, that may be of help to you.

kitchen at Turnberry Tower
Quality designs for each unit

Trash:

Popular:  Recycling and trash can pull outs, trash compactors, and garbage disposal.
Not so popular:  Random trash can placement.

Lighting:
Popular:   Energy efficent LED lighting
Not so popular:  Regular non energy saving light bulbs.

Stovetops:

Popular:  Electric or induction stovetops, and also double wall ovens.

Not so popular:  Gas stovetops. Warming drawers and single wall ovens are also losing their popularity.

Granite counters in the kitchens at the Duke
Granite kitchen counters at the Duke.

Freezers/Refrigerators:
Popular:  Side by side door and french doors.
Not so popular:   Freezer on top refrigerator on bottom models.

Upgrades in Cabinetry:
Popular:  Unchilled wine storage
Not so popular:  Lazy susans, tall pantries, pull out racks, things like that.

Countertops:

Popular:  Low maintenance countertops, quartz and granite are very popular. Marble seems to be gaining popularity as well.

Not so popular:   Laminate countertops.

Design/Style:

Popular:  Traditional remains number 1. Shaker style is increasing in popularity since last year.
Not so popular:  Contemporary style.

Colors:

Popular:  Grays, bones, and beige
Not so popular:  Off whites, whites, brown tones.

Kitchen finishes:

Popular:  Light and dark natural finishes, as well as colored paint finishes.
Not so popular:  Glazed, medium natural, painted and distressed finishes.

Cabinetry:

Popular:  Maple!
Not so popular:  Cherry

Info gotten from the national kitchen and bath association.

Tips for Choosing Upgrades for a New Home

Most home owners opt to add some upgrades to a new home, which can be rolled into the mortgage opposed to paying for them later on their own. But the choices of what flooring, lighting, or other upgrades to choose can be overwhelming.

Designer Candice Olson, author and host of HGTV’s “Candice Tells All,” says lighting and extra wiring are key upgrades new home buyers should consider.

“Adding lighting — or at least the wiring for it — means you’ll be able to have bathroom sconces instead of that one overhead light the builder gives you,” Olson says. “Your flat-screen TV can be where you want it. You’ll have a floor outlet for the lamp in middle of the open room. And you won’t be ripping out walls later to do all this.”

Also, she says home owners shouldn’t forget about the exterior lighting either. “Outside lighting, plus landscaping, will set apart your house from the others in the neighborhood where buyers chose from plans A, B and C,” Olson says.

As for flooring, Olson recommends hardwood floors for the main living areas, and cork floors for the basement, since there’s potential for water leakage in basements.

She also says the addition of taller baseboards, chair rails, crown molding, coffered ceilings, built-ins or a banquette also are smart investments for upgrades.

Source: “Decisions, Decisions: Add Character to Your Home With a Few Choice Upgrades,” Chicago Tribune (Feb. 4, 2011)

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