Many times we get the question, if I remodel my home, will the added value raise the selling price? The answer is: "It depends".  It depends on many factors, including what type of remodel, is the neighborhood value rising or declining? And many, many more questions we can talk about. Here is a helpful guideline:

Every year in November, a Cost vs Value estimate comes out of many sources, answering the question many homeowners ask when investing in their properties.  You can change a home, but it is also valued as part of a neighborhood, so it is very important to understand the perameters of the investment of time and money spent remodeling a home for resale value or for personal pleasure. They may be the same, but then again they may not as well. Just because you spend $X dollars fixing up your home does not mean that when it comes time to sell your home the value is dollar for dollar recoupable. Sometimes it is, most times it is not. 

Generally, a home's life is 40 years and when it reaches this milestone, updating systems to more modern and efficient appliances, plumbing, electrical, landscaping, to fit modern requirements is a must. Over-doing it is a must-NOT unless you regard overspending as a hobby. At some time in the future, your investment will be sold on the marketplace.

Here are a few links to articles that can answer that question if you are considering a project of remodel in your home and the Cost vs Value in resale. Once the remodel is done, it does depreciate over time, so keep this in mind:

Report Links:

Cost vs Value of Remodels - Pacific Coast

Realtor.org Magazine regarding Cost vs Value of Remodels

If you have any questions please feel free to call us to discuss your plans for your home in the short and long term so when it comes time to sell your home, you are fully aware of all of the consequences of investment in updating your home.

Happy Remodeling!

Tony & Danute Mazeika

 


Contact Info
Mazeika Team: Tony, Danute, Conrad, Jack
Realty One Group Inc.

27401 Los Altos Suite #100, Mission Viejo, CA 92691
CalBRE License Number(s): 00940145, 01507874 & 01991663
Realty One Group Inc.
27401 Los Altos Suite #100, Mission Viejo, CA 92691