Watch out when remodeling your home -- It may not pay back
Here in the Las Cruces, New Mexico, the simple, cosmetic type remodeling jobs give you the most increase in value. But watch out! Many of the bigger remodeling jobs do not increase the value of your home, dollar for dollar.
Here in Dona Ana County, the buyers are very conscious of the price of the home, and they will not pay for “extras”. They will go down the street and buy the cheaper home with no extras. This makes it hard for the seller to get back the cost of the extras he put into the house.
Here are some remodeling jobs that do add dollar for dollar value to the home:
Cosmetic work such as new paint, new carpets, new blinds, new counter tops, new appliances, new finish on old cabinets, etc.
Trim and upgrade the landscaping.
Add new paint or stucco to the exterior of the home. In other words, add curb appeal.
All repair jobs, large and small.
Before you do a big remodeling job, look around your neighborhood and do a little research. What is the average price of the homes in your neighborhood. And understand that you can not sell you home for a lot more than what your neighbors homes are worth. For example, if you live in a $150,000 neighborhood, and you add a new kitchen for $25,000. Are you going to be able to sell your house for at least $175,000? Probably not.
Here are some remodeling jobs that do not add dollar for dollar value to your home:
Swimming pool. In this market you will be lucky to get half of your money back.
Screened-in porch or sunroom. This does not increase the heated and cooled living space of a home, so therefore, no real increase in value. And this addition almost always makes the interior of the home dark and uninviting.
Garage conversion. This is not a good idea because all the buyers want a two car garage. If you need more room you are better off to sell your existing home and purchase or build a new home that is bigger, and in a new neighborhood that supports the new price. Do not convert the garage unless you intend to add another two car garage.
Building an addition. This is not a good idea because it is extremely difficult to add a room and not destroy the flow of the floorplan. In addition, it must be done correctly which is expensive. A cheap addition looks very bad and does not increase the value of your home at all. And if you have a moble home never add to it. No matter what you add, it will always be appraised as a mobile home. It will never be worth the money.
If you are thinking of remodeling in any big way, and you would like some advice, please do not hesitate to contact The Pinkerton Woman, Charlotte Pinkerton. I give free advice and free market analysis, too.