Housing prices increased by 18.7 percent over the past year as supply remains tight in the market. The high home prices allowed most homeowners to profit from their investments years ago.
New homeowners can also benefit from the situation through custom additions to homes.
A home addition can increase the resale value of the home. They can range from simple enhancements to the interior design to a garden improvement to a complete home remodeling project.
Here are several home additions that many homeowners can make to raise the resale value of their homes:
Ways to Increase Home Value
Here are some ways for homeowners to increase the value of their homes.
Increase the Square Footage of the Home
Home buyers are always looking for more space. One way to add value to your home is by increasing the livable square footage. Homeowners can do this by finishing a basement or attic.
Homeowners can also add an extension to the home. Not only will this make your home more valuable, but it will also make it more appealing to potential buyers. Here are some ways for homeowners to increase their home’s square footage.
- Adding a home office. The pandemic saw many companies asking their employees to work from home. The situation created a demand for homes with an office. If you have the space, consider adding an office to your home. You can even convert a spare bedroom into an office.
- Adding an extra bedroom. Another way to add value to your home is by adding an extra bedroom. This extra room especially appeals to families looking for more space. Not only will this increase the square footage of your home, but it will also make it more appealing to potential buyers.
- Opening the floor layout. One of the trends in home design is open floor layouts. This means no walls separating the living room, kitchen, and dining room. This makes the home feel more spacious and is perfect for entertaining. If you have the space, consider opening up your existing floor plan.
- Completing the basement. Completing an unfinished basement can increase the value of your home. You can turn basements into living spaces, such as a playroom or home office. You can also use them for storage or as a home theater area.
- Adding a bathroom. Another way to increase your home’s value is through a bathroom addition. This is especially appealing to families with young children.
- Building a new garage. You can build a freestanding garage with open space on the property. A second-story addition to the garage makes it appealing to potential buyers since it allows them to rent it out as a small apartment to tenants. But you should check local building codes to avoid issues, especially if you already have an attached garage to the house.
Enhance the Outdoor Living Space
The past two years saw homeowners working on home improvement projects to enhance outdoor living spaces. Homebuyers are now looking for ways to extend their outdoor space and enjoy the fresh air.
These enhancements will make your home more attractive to potential buyers. They will also add to the value per square foot of your home. Here are some ways to improve the outdoor living space of your home.
- Adding a patio or deck. A deck or patio is an excellent way to add extra space to your home. You can use the patio or deck for entertaining, relaxing, or working outdoors. This home addition can give it additional square footage of space. And if you have a covered patio can serve as an additional living or dining space.
- Upgrading your outdoor furniture. Outdoor furniture has come a long way in recent years. There are now many options for stylish and comfortable furniture that can be used outdoors. If you have an old patio set, consider upgrading to a new one. You may also want to add some cushions or throw pillows for extra comfort.
- Adding an outdoor kitchen. An outdoor kitchen is a smart way to extend your livable space. This home improvement project can also be an effective selling point for your home. If you don’t have the budget for a full outdoor kitchen, you can try adding a small grill or countertop.
- Installing a fire pit. A fire pit is another way to enjoy the outdoors in the colder months. You can also use the fire pit for cooking or entertaining. You can try a portable one if you don’t want to install a full fire pit.
- Enhancing the front porch. The front porch is often the first thing potential buyers see when they visit your home. You can make a lasting first impression by enhancing your porch. Add comfortable seating, hanging plants, or a new coat of paint.
Improve the Home’s Curb Appeal
Curb appeal refers to the first impression that a home makes from the street. If you’re planning to sell your home, it’s essential to ensure the curb appeal is up to par. There are a few simple ways to increase curb appeal, such as:
- Pressure washing the exterior of the home. Pressure washing is a simple and effective way to clean the outside of your home. It will remove any dirt, grime, or residue that has built up over time and make your home look new again. A clean exterior can immensely increase your home’s value.
- Trimming the hedges and trees around the property. This will give your home a well-groomed look and make it appear more cared for.
- Mowing the lawn and fertilizing the grass. A green, manicured lawn is an integral part of curb appeal. Be sure to mow regularly and fertilize the grass to keep it healthy and looking its best.
- Painting the exterior of the home. If your home’s paint is faded or chipped, it’s time for a new coat. A fresh coat of paint can make your home look new and increase its value. Painting the exterior is generally cheaper compared to a complete renovation project.
- Improve the roof of the house. Potential buyers will notice the roof is another essential part of a home. If your existing roof is in bad shape, it can devalue your home and turn away potential buyers. Be sure to repair any damaged shingles and keep the roof clean. If necessary, you should install a new roof to increase your home’s value.
Upgrade the Home’s Interior
Upgrading the home’s interior is another option to increase its value. These improvements can include:
- Performing minor remodeling projects. You can complete minor remodeling projects to enhance the interior. One project involves increasing the storage space by adding shelves in the closets or cabinets. You can also add new features to the home’s interior. One popular feature to add is a kitchen island. This provides additional counter space and storage. A sunroom addition also increases the natural light entering the home.
- Enhancing existing rooms. You can also enhance an existing room to increase home value. One option is to work on a small room to make it look bigger. You can also add a walk-in closet to the master bedroom. Another option is improving the laundry room of the home.
- Installing new flooring. Installing new flooring is another way to increase the value of your home. You can install hardwood floors or carpeting. New flooring will give the home a fresh, updated look.
- Updating the hardware on doors and cabinets. You can replace old door handles, drawer pulls, and switch plates. This will give the home’s interior a new look. If you replace the fixtures, you should make sure they match the style of the entire house to maintain its value.
- Adding fresh paint. A fresh coat of paint can brighten up any room. It is also a relatively inexpensive way to update the home’s interior. When painting, you should select neutral colors to make the home more appealing to potential buyers.
A home addition is a home improvement project that increases the finished living space of an existing structure. Many homeowners want to enhance their homes by adding an extra bedroom, a larger kitchen, or an additional bathroom. A home addition can be an excellent way to improve your home and add value to your property.
Before considering a home addition, consulting with a professional general contractor is essential. The contractor can help you determine if your home’s structure can support the weight of the home addition, especially if you want to add a second floor to it.
Factors Affecting Home Value
Home value is determined by many different factors, both local and national. As does the housing market, real estate trends play a significant role in value determination. The condition of the home, its age, location, and property size should be considered when appraising value.
Here are some factors affecting home value.
Age and Condition
The home’s age and condition are the two most essential factors in determining its value. If the house is old and needs repair, it will be worth less than a newer home in good condition. Older homes also require higher insurance premiums compared to newer homes.
Many homebuyers buy a home, so they are close to their job, schools, or public transportation. These are among the main reasons why people buy a house. They also consider its proximity to shopping and entertainment centers. Homes located close to these destinations tend to be more expensive.
Property size can also affect the value of a home. Generally speaking, the larger the house, the more valuable it will be. This is due to the simple fact that there is more space to work with. More space usually means more potential to add square footage to the home’s original footprint.
You can even start a backyard garden with a big lot size.
When considering a home addition, it is essential to factor in all relevant information. Homeowners should work with professionals to ensure that any enhancements increase their home value.