Which Home Renovations Will Help or Hurt Your Resale Value?
In today’s market, 48% of Canadian homeowners are choosing to stay where they are and renovate rather than brave the hunt for a new house.
If you’re considering home renovations, let’s make sure you’re choosing the right projects that will help, not hurt, your home’s resale value down the road.
Any time you complete major home renovations, speak with your insurance agent for 2 reasons:
- You may be required to adjust your coverage during the renovations to make sure that the materials and the increased liability exposure is covered.
- Upon completion of your renovations, it may be necessary to adjust (increase) the insured value of your home. Altering your house could increase the cost of replacing your home and you want to make sure that there is sufficient coverage in place to replace the whole thing, new renos included.
Tip: Make sure your house is comparable to others in the neighbourhood
Before embarking on a big home renovation project, use a MLS site like REALTOR.ca to browse listings in your area to see what’s standard and how your place measures up. You want to make sure you’re choosing projects that will put your house on par with those you’ll be competing with.
Here, we’ve gathered some of the most popular choices to help you make an informed decision. Don’t forget to make sure your home owner’s policy covers all the new renos so replacement values are accurate!
Interior Home Renovations
Painting can do wonders for refreshing rooms. Stick to neutral colours that will make the space feel bright and open. Add colour with home décor items that you can easily switch out when you tire of them.
“Hardwood floors throughout” is a new buyer’s dream. While you may prefer carpet, if resale value is top of mind, you’ll want to reconsider…you can always add an area rug for texture or warmth. Solid hardwood not in the budget? Explore alternatives like engineered, laminate and vinyl flooring products.
A fresh, modern kitchen that looks good and is functional is a solid investment. If you’re planning a complete remodel, be sure to enlist the help of experts. Sometimes fresh paint on the cupboards, updated door pulls, faucets and light fixtures, may be all the DIY you need.
Knocking down walls and opening up a floor layout may be a great idea but don’t remove walls at the cost of losing a bedroom or bathroom. Keep in mind many families are in search of homes with at least 3 bedrooms.
Exterior Home Renovations
Rethink that new swimming pool for the backyard. Added maintenance and cost to potential buyers can be a turn-off and insurance premiums will be higher due to increased liability exposure.
Curb appeal is important! A new front door and some attractive landscaping can make a great first impression. Check out our last blog and learn how to Set Up Your Home’s Exterior for Easy Yard Maintenance.
How’s your roof holding up? A new roof with a long warranty is an attractive selling feature. It can also reduce your premium on home owner’s insurance!