Investments. We make them all the time in our day-to-day lives. Investing in our lives, our health, our careers, and yes, even in our homes. Investments usually take a lot of time, careful consideration, diligent implementation, and yes, money. We continue investing in these areas, though, because they are ripe with opportunity for a prosperous future. However, it’s possible to make an investment thinking, or maybe hoping, it will improve your life and then it backfires. Home renovations are no exception to this rule. In fact, it’s all too easy to invest in home improvements that don’t pay off they way you planned. Lucky for you, we’re here today to shed a little light and wisdom on this front, helping you make the best investment for your home.
First Thing’s First
Before we get too in depth on great home investments, let’s clarify one thing: renovations v. remodeling. Renovations are always going to involve more time, money, and overall changes. Remodeling pertains mostly to cosmetic touches – which can include new cabinets, floors, or fixtures, but never anything structural. Don’t get us wrong, you can easily spend as much on a remodel as you would a renovation – especially if new appliances or furniture is involved. In general, however, you’re really only shaking up the decor, maybe some function, with a remodel. Make sense? Okay. Onward!
The Starter Home
Starter homes are a great way to ease into homeownership while also building your credit. Some starter homes don’t need a whole lot of work. In this case, when the time comes to sell, the best place to put your money is in the curb appeal. Landscaping fixes will pay back 100% of their investment. The front yard in particular is the best place to start since it’s the very first impression your house will make on potential buyers. If you have enough to jazz up the backyard as well, have at it. You can also make changes to the exterior of the house with a new coat of paint, shutters, awnings, and window boxes, or a new set of doors for both the house and garage.
Inside the starter home, however, you want to be a little pickier. You may have a plan to stay in this house X amount of years. If this is the case, you might seriously consider a renovation to the bathroom or kitchen. But life has a way of disrupting plans and the glorious master bath you just finished will not be enjoyed by you when your job transfers you to a new city. In general, for starter homes you want to focus more on improving function while maintaining a cohesive style throughout the house. You’re also better off sticking to remodeling projects to help sell the house since renovations cost so much. Sinking all your money into a house that isn’t your forever home is a bit of a waste. Unless there are some glaring efficiency or structural problems with the house, renovations don’t really pan out in a starter home. In the event you can make a major change to your starter home, the two most popular renovations are kitchens and bathrooms. If those were taken care of before you acquired the house, look to the laundry room and storage space next.
Forever Homes
This is the time and place to make major investments. Upgrading to energy efficiency everything should be at the top of your list. Not only will it make for a more comfortable living situation as you age with your house, but your overhead will drop because you’re using less resources to run your home. Once you’ve managed these improvements, you can set your sights on the luxury items such as a master bedroom/bathroom suite or a brand new kitchen. Adding or converting spaces within your forever home for an office, extra bedroom, or playroom can also add major value to your forever home.
In the backyard you can create a space that is meant for a summer filled with cookouts, friends and fun. Whether it’s a deck, paved patio with a pergola, pool, or a garden that would put any English garden to shame, if this is where you plan to put down real roots, turn it into the space you’ve always wanted that brings you joy and serenity. You still want to follow the basic rules of renovations; keep the integrity of the style of the house with your design choices, focus on function and practicality, and don’t renovate yourself out of your market. These rules apply whether it’s a starter or forever home because you will leave your house at some point and you want those wise investments to endure and pay off.
