There are two ways to think about remodeling projects that will boost the resale value on your duplex, triplex or fourplex: You can get one or two major remodels done or opt for a bunch of small fixes. Depending on your budget and your timetable, one approach may be better for you than the other.
For instance, if you have an unfinished basement, maybe your dream when you first moved into your home was to refinish it. It never happened. But now that you are thinking about selling your home, you feel that a prospective buyer would really appreciate a full finished basement. Is that the remodeling project that you should do before selling?
On the other hand, you want to spend as little as possible to squeeze as much value out of your home. Maybe you would prefer to just spruce up the kitchen cabinets or repaint the house. Whichever camp you fall into here are some remodeling project ideas that usually add at least a few thousand dollars to the value of your home.
Remodeling Projects That Can Boost Your Home’s Value
Depending on where you live, some remodeling projects bring in more dollars on resale than others. Here are some of the interior remodeling projects that can help boost your home’s value:
Potential buyers these days want spacious, modern kitchens. Simple upgrades like adding new appliances, granite countertops, or new cabinets can pull in the big bucks. Some big-ticket improvements that usually add value include:
- Adding an island
- Adding a breakfast nook
- Adding new ceramic flooring
- Adding accent lighting
The style right now is open concept kitchens and living rooms. If you have an older home, you could knock down a wall or two to really open up more interior space. If they’re load-bearing walls, removing them will usually push the price tag up. But non-load-bearing walls are easy to take out to add a pass-through window or a bigger entryway. Use a professional contractor to make sure the job is done right.
Believe it or not, adding a new room to your home is not as expensive as you might think and can greatly increase your home’s value. Think about converting your attic into a spare room or building a new room addition onto your house. The added space increases the overall square footage of your property and will push your asking price up.
They are often overlooked when making improvements to your home, but there are a number of exterior projects that can boost your home’s value. Here are just a few ideas for exterior improvements:
Outdoor Living Space
Especially in warm weather climates, buyers want a home with comfortable outdoor living spaces. That could mean adding in a slate patio or a wooden deck. Make your outdoor living space an oasis by adding in path lights, pathways, plants, shrubs, and trees.
If you are making simple upgrades on the cheap just to spiff up your home exterior, a good paint job will do. To really boost your home’s value try adding new siding. If you replace portions of your siding with stone veneers, it will greatly improve curb appeal and your home’s value.
If you haven’t paved your driveway in a while, new paving is an excellent exterior improvement that makes a good impression as soon as buyers pull up to your home. Your garage doors and exterior also make a good or bad impression. Even if you do not make any changes to your garage, you should clean it out and organize its contents for resale. Replace broken windows and locks and give it a good paint job.
New Interior Paint
New interior paint is one of the simplest ways to improve a home’s resale value. A fresh coat of paint can give the whole space a fresh, newly updated look.
Pro Tip: Opt for neutrals throughout the entire space. You want buyers to be able to use their imaginations, so don’t confine them by picking too-bold paint colors.
Buyers start forming an impression of a duplex, triplex or fourplex as soon as they pull up in the driveway. In fact, savvy investors are sizing up the entire neighborhood on their way in. You need to make sure prospective buyers can form a great first impression of your multifamily investment property by sprucing up the curb appeal. Clean up the yard, power-wash the driveway and sidewalk, and repair anything on the home’s exterior that needs it.
Smart Home Technology
Investing in smart home technology can be a great way to improve a property’s resale value. Choosing things like smart thermostats, assistant-controlled lighting and other features can help ensure a new investor will be able to charge a premium for rent – and the better an investment looks on paper, the more likely a buyer will be to jump at the chance.
A New Lighting Scheme
Old, outdated light fixtures can make a space look tired and worn-out. Invest in a few modern-style light fixtures to breathe new life into your duplex, triplex or fourplex before you put it on the market.
Should You Pay Cash or Finance Improvements?
If you’re considering making these types of improvements, paying for them is probably on your radar. Should you pay cash or use financing to pay for your improvements and renovations?
It depends on your overall financial picture. If you can afford to pay cash, it’s probably the best choice; that way, you won’t rack up debt and have to pay interest on your investments. However, the money you spend on these improvements will stay “tied up” until you sell the home.
On the other hand, if you choose to finance your improvements, you can repay the loan as soon as you get the cash at closing. However, if your renovations or upgrades don’t translate into a higher sales price, you’ll be left holding the bill.
A qualified agent with years of experience in the real estate market can help you determine the best improvements to make based on your particular market. When you’re ready to learn more, connect with me today. I’m happy to help!