(BPT) - More and more homeowners are embarking upon home improvement projects, spending nearly $200 billion a year on home renovations, according to the National Association of Home Builders. If you’re looking to make some home improvements without breaking the bank, spend smartly and invest time and money now into the projects that will pay back later.
When it comes to first impressions, house hunters first notice curb appeal, or lack thereof. In fact, according to the National Association of Realtors, curb appeal is important to 71 percent of homebuyers. So beautify the outdoor space to attract possible buyers by focusing on small exterior improvements that’ll pay off big like planting seasonal shrubs, painting the front door, refreshing a rusty mailbox or replacing old porch lighting with updated fixtures. These minor details will make a major and lasting statement. At the very least, you should clean the yard of any debris, trim trees and spread mulch in planting beds.
Take outdoor renovations to the next level by transforming the look of your home completely with a fresh coat of paint. Be mindful of your home’s location when selecting paint colors. Bold or bright colors might be the norm in Florida but wouldn’t look right in a region like the Pacific Northwest where neutral earth tones are popular.
You can also increase the value of your home by giving your siding material an overhaul. Remodeling magazine suggests replacing aluminum and vinyl siding with a durable fiber-cement mixture, which will recoup about 88 percent of its cost upon resale. It resists fire, rotting, moisture and termites - all potential hazards that could otherwise end up costing thousands.
“Let your insurance agent know whenever you complete a renovation project to make sure any new upgrades to your home are properly covered under your existing policy. If not, your agent can work with you to make sure you get the coverage you need,” says Erie Insurance Vice President and Product Manager Joe Vahey. “In addition, some home improvement upgrades may entitle you to discounts, especially if renovations make the home safer or more secure.” For example, Erie Insurance offers discounts for installing smoke alarms or a central station alarm. Erie also provides a discount for installing sprinkler systems in your home.
Bed, bath and beyond
As house hunters head indoors, there are a few things that are likely to increase a sale. Most tend to look at kitchens and baths first. Experts recommend timeless fixtures instead of trendy ones since they hold their own over time and appeal to buyers who favor both contemporary and classic looks. Don’t waste your money on fancy fixtures and features – they rarely make or break a sale.
Most people seem to think that a huge kitchen overhaul is necessary to snag interested buyers. However, Remodeling Magazine reports that you’ll actually recoup 8.5 percent more of the costs of a minor kitchen renovation compared to a major kitchen renovation. So instead of redoing the kitchen completely, accomplish a few minor DIY kitchen updates like changing out faucets and lighting fixtures, painting cabinets, adding new hardware to drawers and cabinets, and replacing old appliances with newer (and often more energy-efficient) models.
Experts also say that adding an attic bedroom and finishing the basement are two of the largest renovations that give you the best return on your investment, allowing you to recoup more than 84 percent and nearly 78 percent of the cost, respectively.
Before jumping into complicated or expensive DIY projects, take a moment to assess which ones are worth your time and money. Test your knowledge of which home improvement projects give you the most bang for your buck at www.eriesense.com.
No matter what updates you end up doing, it’s always a good idea to regularly assess the value of your home. This will assure you’re asking for an appropriate return on investment when you finally decide to put it on the market.