Are you thinking about selling your home this spring/summer? Well, these 5 projects will net you the most return on your investment or ROI. (Of course, the best way to find out the most important projects to tackle prior to listing is to invite your favorite JBeal Realtor over for their professional opinion!) (We love coming over!)
Before we dive into the list, let me first share that it is a common myth that what you spend on your house will directly impact your sales price. Many times, I’ve been handed a list of home improvements and the sellers expect the total amount spent to correlate to an increase in home value. Not True. The $7k that you may have spent on burgundy granite in your kitchen is NOT going to be worth $7k to a buyer. (A list of home improvements is helpful for us, however, simply to know the age of your mechanicals, wood species of the flooring, etc.)
1. Overhead Garage Door. This typically yields a 97% ROI. Overhead doors are an easy upgrade and an easy way to improve your curb appeal. Typical cost is around $3,500.
2. Manufactured Stone Veneer. Another exterior upgrade that generates a 95% return. This is a way to update the look of your home for an average of $8,500. Also in this category are replacing your siding or HVAC, or installing a steel entry door.
3. Minor Kitchen Remodel. According to Remodel Magazine’s article published this week, spending $22,507 in your kitchen brings a resale value increase of $18,123, with a return of 80%. Keep in mind that in Mankato, MN, $20k in your kitchen would not be consider a “minor” kitchen remodel! But with a minor remodel, we’re talking about new stone tops, new appliances, maybe new flooring. But remember to keep choices neutral so they appeal to a larger pool of buyers.
4. Landscaping. The cost to upgrade your landscaping can vary (and certainly some sweat equity involved!), but value increase is worth it, with a return on investment of 80-90% depending on who you’re asking. You can buy a sapling at a nursery for $10, but the cost of a mature tree can add $1k – $10k to the value of a home, according to the Council of Tree & Landscape Appraisers. Landscaping does wonders to improve curb appeal and is often something that homeowners don’t think of (because they’re so used to their overgrown shrubs!). But a weekend of trimming, edging and planting can really pay off for a springtime listing.
5. Staging. According to the National Association of Realtors, “77% of buyer’s agent said staging a home made it easier for a buyer to visualize the property as a future home.” 100% of the agents at JBeal Real Estate Group said good staging makes it easier to sell a property. Cost? Could be zero. We love rearranging what your already have. Decluttering? Costs zero and maximizes your square footage. But let’s save that for another post.