Home Improvements -
Can I Get My Money's Worth?

If I improve it - I want to get paid for it!

So many times I have heard that Sellers have spent thousands of dollars on this or that improvement, and they expect it to increase the value of their home directly by that amount. That, unfortunately, is rarely the case. Improvements are primarily for your enjoyment while you are living in your home and will add some value. But Sellers do not set the final price - the Buyers do. 

The value of your home - what it is worth - is only what a Buyer is willing to pay for it, now, in today's market. 

There are a number of factors that determine a price that a home will sell for, such as:

- What is the market value of your home in your neighborhood?

- What changes have you made to your home?

- What is your asking price and how much will you negotiate terms?

- How does your home show?

- How experienced is your REALTOR® and what is he doing for you?

Below are a number of improvements that are usually made and what the market has generally paid for them. This information is from the Institute of Real Estate Appraisers. It provides information on various common remodeling projects costs, and it predicts how they'll perform at resale time.

Minor Kitchen Remodel
Job Cost $3,100 - $6,000, Recovery Cost 80-100%

Major Kitchen Remodel
Job Cost $8,400 - $12,000, Recovery Cost 80-100%

Bathroom Remodel
Job Cost $4,400 - $6,000, Recovery Cost 50-75%

Bathroom Addition
Job Cost $5,000 - $10,000, Recovery Cost 50-80%

Bedroom Addition
Job Cost $6,000 - $15,000, Recovery Cost 65-85%

Two-Car Garage Addition
Job Cost $13,100 - $18,500, Recovery Cost 33-50%

Exterior Painting
Job Cost $900 - $2,500, Recovery Cost 30-80%

Interior Painting
Job Cost $1,000 - $3,000, Recovery Cost 30-80%

Landscape Improvements
Job Cost $500 - $3,500, Recovery Cost 40-60%

Swimming Pool
Job Cost $9,000 - $17,500, Recovery Cost 0-40%

Patio Addition
Job Cost $1,250 - $4,000, Recovery Cost 35-60%

This page last updated on 3/2009