Reliable Home Improvement Investment
Home sales are down substantially from their 2005 peak and are predicted to fall further in many regions…
—Consumer Reports, September 2008
Homeowners spent 210 billion on residential remodeling last year…
—National Association of Home Builders, May 2006
[I]f you're building for the long haul in a good neighborhood, remodeling can still make sense financially as well as personally…
—Forbes, June 2008
Even in the face of the suffering home market, home remodeling is stronger than ever. The National Association of Realtors reported in 2008 that national home prices were down 7.7% from the previous year, with a 19.3% drop in home sales, and it's only made people want to hunker down for the long haul and improve on what they have until the market improves.
While all home improvements will greatly increase the resale of the home, there are some that improve the value of a home by far more than others. For example, to some, building a pool may seem like an exciting and unique way to add value to the home. To others, however, the same pool may be seen as a safety hazard for children, a maintenance hassle, or simply not worth the money. And while a sun room, home theater, or large dining room, may be a major selling point for some homeowners, others will see it as a waste of money or something they'll need to pay to remove or renovate (a sun room returns only 59.1% of the investment). Even seemingly sensible additions, such a garage, will only pay back about 64% of your investment in the value of the home. Unless you're keeping your home for at least ten years or have the money to throw into these amenities, the price will not be right.
Among the best home improvements - when considering both adding value and increasing living space - is to perform a quality basement remodeling. Not only will a basement remodeling increase the value of the home by approximately 75.1% (source: Remodeling Online's 2007 Cost vs. Value Report), it is also the most cost-effective way to increase living space within the home. Add a carefully-remodeled basement bathroom, and you'll see even greater improvements!
With the right company, basement finishing can increase your living space in less than two weeks, without needing to raise the roof or use invasive measures on the existing portion of the home. When compared to building an addition, a basement can be remodeled with no sacrifice of yard space at half the price. According to Mark Foreman, Vice President of the National Association of Realtors, "Expanding the "footprint" doesn't necessarily do a whole lot for the value of your home. By simply finishing a basement or attic, you can often achieve the same results of increasing usable space without having to knock down walls and spend thousands of dollars.
Basement Systems has some specific research on just how much money your basement finishing can earn you. For more information, read this article on Basement Finishing Cost vs. Return for a reliable assessment. If you would like to meet with a specialist that can help you create a basement finishing plan that best fits your space and vision, we can also help. Sign up for a FREE, no obligation basement finishing estimate or call us today, and we'll set up an appointment for your consultation.
