Planning is an essential part of any successful renovation. But there's more to updating your home than being organized. You also need to make an informed decision about the kind of renovation that will work best for your budget and long-term plan.
Use this guide from Remodeling Magazine to learn more about the best and worse renovation prospects for 2017.
Improving your insulation isn't a glamorous renovation, but it’s a proven update that will increase your return on investment (ROI). Upgrading or adding insulation to spaces like your attic is a good place to start. This project commands a 107.7% ROI, making it the top renovation for 2017. Insulation will also make your home more comfortable and lower your heating and cooling bills. That's a win-win for most homeowners, especially since improving insulation is generally quite affordable.
Improve Your Kitchen
The kitchen is one of the first things that many homeowners renovate after being in their home for several years. Major kitchen renovations can be pricey, but updates generate an exceptional ROI. In fact, most kitchen renovations boast a 65% ROI. Installing high-quality cabinetry, new countertops, quality flooring and updated fixtures are ideal improvements.
Add a Second Story
Adding a second story will improve the value of your home without moving or expanding into the backyard. Most second-story additions have a 71.1% ROI. It’s also important not to price yourself out of your neighborhood. Consider the size and value of the other homes in your neighborhood before beginning your addition. Over expanding your square footage and home value will make selling your home difficult -- and could potentially hurt its value
Skip the Bathroom Addition
The average ROI for a bathroom addition is less than 54%. An extra bathroom can make sense if you have a large or growing family. Skip the bathroom addition if you’re simply chasing a hefty return. Instead, think about remodeling what’s already there. If you have a small half bath, for example, you can open up the space by replacing the tub with a walk-in shower or minimizing storage space. This way you’ll refresh the room without spending a fortune on starting over.
Your Master Bedroom is Fine
Many homeowners want a larger, more elegant master suite. The problem is that adding a master suite won't add much value to your home. The ROI on a master suite is under 60%, making it a less-than-ideal renovation. If you do choose to upgrade your master bedroom, try to make renovations that everyone will appreciate. For example, adding hardwood flooring or stone in place of carpet can improve the appeal of your entire home.
Spending time outside with friends and family is always enjoyable. But if your home doesn't already have a deck, you might think about other ways to enjoy the great outdoors. Homeowners who add a composite deck to their home normally retain only 65% of their investment. Installing real wood gives you a return closer to 70%, but it still may not be wise if you're considering selling. Instead, try painting, staining or replacing damaged areas.
The least exciting projects can sometimes do the most for your home. Before you start any renovations, make sure you do your homework and check the cost of the job versus what you can expect in return. An exceptionally low ROI might mean you need to change your renovation parameters before you begin work.