Value vs Cost for that new Kitchen
Posted by Dan Nugent on
What about renovation you are planning- will you get the most resale value for the investment?
Many surveys about ROI on renos are conducted each year. Even the best surveys measuring ROI for various home renovations should be used as a guideline only- as some uncontrolled variables are not factored in. Such as: redo the 30-year-old kitchen and leave the rest untouched, it will stick out- like a talking Zebra at a pool party. Or to the extreme: a modern kitchen with a living room in a time lock with blue/green shag carpet. Remember listening to the vacuum choking to death while burning 1000 calories lugging that poor beast around the house? Did folks really rake those carpets? Ok, maybe it was more than 30 years ago…
Neighbourhood can affect the resale value, especially if your neighbour decorates his yard with lawnmower ‘ornaments’ but the lawn never gets mowed, or worst, a neighbour brings home his septic pump truck ‘to air out’.
As a renovation advisor, what do I advise when reviewing plans?
First: It is your choice to ignore the investment returns. Most important is what do you want?
Second: The lower the investment amount, the better the return. Thinking of an outdoor kitchen, pergola and hot tub which will set you back on average $ 60K? As wonderful as it sounds, no one wants to pay for it.
d: Surprisingly-exterior improvements give the best returns, such as new 3’ high rock facade along the front of the house, a new garage door, or a new front door. Realtors refer to ‘curb appeal’ which is a critical part of selling a home. People buy by elimination. They start with a ‘drive-by’.
You may choose to ignore the return on resale down the road, and that’s perfectly fine, but be informed about your choices.
So where do kitchens stack up? 70-100% ROI. New garage door? 125-160% ROI.
Be empowered with knowledge. We can assist you.
You are right, the kitchen photo below needed the floor levelled.