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5 Renovations That Add Value to Your Home

September 22nd, 2015  |  Home Insurance

When it comes to improving the home it may feel like there’s just so many areas you could upgrade you may not know where to start or what will give you the best bang for your buck. Well don’t fret, because these five renos will not only improve your lifestyle at home but add value to the property should you decide to sell it.

Kitchen

Kitchens are by far the most valuable renovations you can make. Figures from Style at Home put the typical return on investment for kitchen upgrades at 75% to 100% upon resale of the home.

Most people think about simply replacing appliances or adding expensive surface features like granite countertops, which do add a premium touch to the room, but it’s more worth it to think about the actual layout of the space and how usable it will be.

Bathroom

Bathrooms are right up there with kitchens in terms of financial return. The more you have the better and the nicer they are the more attractive they’ll be. If your house only has one or one and a half, bumping that up to two will often net you 75%-100%.

Deck

There’s nothing quite like having good backyard living space when summer rolls around and that makes them a very desirable feature in the market. People often recover most if not all of what they spend on building a deck. Depending on the size and extra features you want, building one can cost anywhere from $1,000 to $10,000.

Basement/Attic

A ton of value can be added to a home by adding more living space. But of course it can also turn into an extremely expensive undertaking. Basements can be turned into party rooms, rental properties, or secondary living rooms while attics can become bedrooms or play rooms for kids provided the walls are high enough.

Energy Efficient Upgrades

Windows, appliances, heating and air, and of course, insulation can all make a huge difference to how much money you bleed every month on energy bills. Having efficient, up-to-date features not only makes the house an attractive buy for today’s environmentally conscious consumers, it saves money as well.

A few things to keep in mind: keep your costs in line with the average value of the homes in your area. Just because you sink $100,000 into a new basement home theater/bar/Jacuzzi doesn’t mean you will be able to sell it for that much more money. Always make sure your renovations line up with the overall value of the house

Remember to inform your insurance provider!

Your policy might need updating during and after the renovations. A lot of people don’t do this, thinking they are avoiding being charged a higher premium, but don’t realize that they might be left completely unprotected should something unexpected happen to their home. Since renovations can change your insurance policy you might even want to consider switching your policy.

Now that you have an idea of where to start, go forth and make your dream home a reality!

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