Home renovation endeavors can be costly, but many invest in these projects in hopes that they will be lucrative should they ever choose to put their home on the market. The following projects are ones that homeowners may believe to be great investments, but may not add much value to your home when it comes time to sell:
Although adding a swimming pool to your pool may seem like a good idea and a great investment, when it comes time to sell, it could backfire. A lot of people will just see a pool as time-consuming and expensive, instead of seeing it as a perk. Safety issues are also a concern for families with pets, young children, or others living in the household who cannot swim. Additionally, you may have increased homeowners insurance premiums if you add a swimming pool.
Homebuyers may view appealing and well-maintained landscaping as a plus, but it’s unlikely the value of your home will go up as a result of extensive landscaping efforts. Curb appeal can certainly bring in more potential homebuyers, but it is doubtful that you’ll be able to sell your home for more in the end. In fact, some buyers may steer clear of homes that look like they will cost too much and/or take too much time to maintain. Landscaping is important, but keep things simple.
While many home listings may boast of brand new wall-to-wall carpeting throughout the home, many homebuyers only intend on ripping out carpet and replacing it with tile or hardwood. Carpet can be expensive to purchase and install, so if you’re thinking about replacing your carpets, consider tiling your home or adding hardwood instead. If you can’t afford to add this type of flooring to your entire home, only add new carpeting to the bedrooms. Although it may cost more than carpeting your entire home, you’ll have a much better chance at selling your home for more money if you have higher quality flooring.
Other high-end upgrades
While some high-end upgrades can help to increase your home’s value, they may not help too much if most of your home is extremely outdated. When upgrading parts of your home, try to stay consistent and maintain similar style and quality. If only some parts of the home are upgraded and they aren’t very consistent, it can be harder to recoup the cost of the things you did upgrade. Aside from just replacing a couple outdated appliances, consider leaving your home as-is and selling it as a fixer-upper, or going all-out and upgrading everything that is outdated. Additionally, keep your upgrades as neutral as possible. If you make too many unique upgrades that only appeal to a small percentage of homebuyers, your home will likely go down in value.
Are you working on a home renovation project, but could use some extra cash? Buying and remodeling a home can be expensive, but if you’re receiving long-term payments from a structured settlement or annuity, Peachtree Financial Solutions may be able to help. At Peachtree, we can purchase some or all of your future payments and offer you that money sooner in a lump sum payment. Contact us today to find out more and for your free quote.
Nothing above is meant to provide financial, legal, or tax advice. You should meet with appropriate professionals for such services.