When it comes time to make home improvements, many people hope (and expect) to make $2 for every $1 they spend. Unfortunately, this is not a very realistic goal.
When homeowners put money into their property, they rarely get back 100% of their investment—let alone double it. Even kitchen upgrades, which bring some of the highest returns, only tend to earn homeowners 87% of their original investment.
Earning money through real estate isn’t generally achieved by making improvements—it’s achieved by buying property at the right price for its value. For example, if you purchase a home that’s only five years old and renovate its kitchen, you would be very unlikely to see any sort of return. If you purchased a 30-year-old home with a kitchen that had never been upgraded, though, remodeling could be a fruitful endeavor.
Usually, homeowners will earn the highest return when they improve upon home features that haven’t been upgraded in a number of generations.
Our team has a list of renovations that will give you the best bang for your buck, and we would be happy to share this resource with you.
If you’d like to see that list, have any other questions, or would like more information, feel free to give us a call or send us an email. We look forward to hearing from you soon.
