What’s the True Value of Remodeling Your Home in 2018?
Remodeling your home is a big step, no matter the size or budget of the project. It can be intimidating, inconvenient, or just not financially feasible for many homeowners. Some may even dispute whether a remodel is worth the time and effort.
Would it just make more sense to move? How long will it take? Is it worth the money?
When weighing the options, homeowners tend to focus heavily on the cost (who could blame them?). But in doing so, other key factors are often ignored or forgotten. This blog post will serve as a guide for navigating the true value of remodeling your home in 2018.
Things like your long-term investment, the safety of your family, and, yes, the cost should all be accounted for and considered when planning your remodel. By doing so, homeowners can evaluate the financial side of things, as well other intangibles that won’t be reflected on a receipt.
Treating Your Remodel Like an Investment
It goes without saying, your home is an investment. By remodeling your home, you’re not only updating your appliances and creating space for your family, you’re also increasing the value of your property.
The housing market was abysmal during the Great Recession, but in recent years, buyers are becoming more confident and giving homeowners reasons to spend on their homes again. According to the Joint Center for Housing Studies of Harvard University, Americans spent $340 billion on home renovations and remodeling in 2015.
According to Chris Herbert, Managing Director of the Joint Center for Housing Studies, “The remodeling market continues to benefit from a stronger housing market and, in particular, solid gains in house prices, which are encouraging owners to make larger investments in their homes”.
Return on investment is the name of the game for homeowners who may be looking to sell their homes in the future. The National Association of Realtors compiled statistics that detailed the average value recouped from for different remodeling projects in their 2017 Remodeling Impact Report.
- Complete kitchen renovation recovered 62%.
- A bathroom renovation recovered 50%.
- Basement remodeling recovered 63%.
Eventually, if you find yourself in a position where selling is the next step, a finished basement or updated bathrooms could raise your listing price quite a bit.
If you’re considering kitchen, bathroom, or basement remodeling in Northern Virginia, Washington, DC, or suburban Maryland, call Ideal Construction & Remodeling at 703-241-1411 or contact us online!
What a Remodel Means for a Family
Improving the value of your home is important, but we’re willing to bet you value your family more than you value your house. Having a home that your family loves spending time in could lead to better relationships and reduced stress. Remodeling areas of your home is a great way to improve its appearance and livability.
The 2017 Remodeling Impact Report also surveyed homeowners that had finished a remodeling project. Along with financial metrics, they also measured homeowner satisfaction in regards to the project.
- After remodeling, 75% of owners have a greater desire to be in their home.
- 65% have increased enjoyment in their home.
- 77% feel a major sense of accomplishment when they think of their completed project.
Another aspect of home remodeling that is often discarded is safety. Homes are meant to be a relaxing and safe space for families. However, sometimes the most dangerous thing about a home just might be the home itself!
We encourage homeowners to regularly check for water damage, mold, asbestos, and other hazards that could jeopardize the wellbeing of your family. While these issues may not always call for a remodel, doing so could nip a health risk in the bud and also provide a damaged area of your home with a facelift!
The Cost of a Remodel
The most intimidating factor of a home remodel is the overall cost of the project. But apprehensive remodelers would be happy to know that Realtor.com expects 2018 to be a big year for home renovation, with the market expected to grow 7% throughout the year.
The construction industry is in a relatively unfamiliar situation, with a lack of skilled laborers and rising material costs. As we mentioned before, buyers have more money and are experiencing confidence they didn’t have 10 years ago. This could lead to a higher demand for remodeling projects, which in turn could mean more expensive renovation projects.
Tom Miller, president of the National Association of the Remodeling Industry, would go on to say, “There are no signs that remodeling demand or costs will taper off over the next several years, but will continue to rise. Holding off on a project—if you can find a reputable remodeler available now— will only cost you more next year.”
This means one of the most valuable aspects of remodeling your home in 2018 is timing! Waiting until next year to tackle a renovation could result in much higher labor and supply costs.
Home Remodeling in Virginia, Washington DC, and Maryland
While it’s true the face value of remodeling your home is adding features that could increase your sale price, a renovation’s value should be judged on much more than that. By treating your remodel like an investment, thinking about how it could benefit your family, and considering the timing and state of the market, you’ll be well equipped to see the true value in home renovation!
If you’re looking for complete home remodeling services in Northern Virginia, Washington, DC, and suburban Maryland, call Ideal Construction & Remodeling at 703-241-1411 or contact us online!