The True Cost of Home Remodeling: Is it right for you?
The True Cost of Home Remodeling: Is it right for you?
Are you a homeowner wondering if a home remodel could be right for you? If you’re someone who values the prospect of boosting property value, elevating your living experience, or trimming long-term expenses, then a home remodel may align perfectly with your goals. Whether you seek to enhance your home’s aesthetics, functionality, or energy efficiency, a well-executed remodel can offer significant financial advantages. So, are you prepared to make an investment in your home’s future?
Recently, Builder Boy turned a vintage Coastal style home into a modern Coastal Farmhouse, from redesigning the interior to exterior of the house with 5 full bathrooms, 5 bedrooms, a second story, and a 2 story ADU at the back of the property.
There’s no doubt a project this size can be costly, but that doesn’t mean you have to foot the bill. Let’s look at how a home renovation like this, actually might make you money, in the long run.
The Numbers
The Numbers: Investing in your home is a wise decision, even if it comes with increased property taxes. For example, a $72,000 kitchen remodel could increase your property’s value by $50,000, making it a worthwhile investment. Similarly, a $33,000 bathroom remodel with luxurious features could raise your property value by $24,000.
If you’re considering a major addition, like a spacious master suite, the initial cost might be substantial, but the return on investment can be significant. A $140,000 addition could increase your property’s resale value by over $95,000.
When selecting a company to manage your remodeling project, consider their longevity, references, portfolio, and qualifications. BuilderBoy, with its extensive experience, commitment to quality, and comprehensive warranties, is a trusted choice for turning your remodeling vision into reality.
In conclusion, a BuilderBoy remodel not only transforms your living space but also has the potential to increase your property’s value. As you contemplate your home improvement projects, it’s essential to consider the impact on property taxes and consult with a tax professional to make informed decisions. Your home is not just a place to live; it’s an investment in your future, and BuilderBoy is here to make that investment worthwhile.
Is a Renovation Right For You?
Before renovation – the home sold for 1.65 Million, The former Campbell home’s total square footage, including the ADUs, is 6,457, with a total of eight bedrooms and seven and a half baths and, After Renovation – the list price for the property of $3.795 Million.
Property Value Booster: Property tax assessments are one aspect that often goes unnoticed when considering home improvements. When you embark on a remodeling project, especially one that involves obtaining permits or expanding your living space, your property’s value will increase, and with it, your property taxes. While minor upgrades like new kitchen counters might not trigger a reassessment, significant changes like adding square footage or a new bathroom likely will. It’s essential to consult with a tax professional before making remodeling decisions to understand how they may impact your property taxes.
One of the most significant events that can trigger a reassessment is putting your home on the market. As soon as that “For Sale” sign goes up, the government takes notice and adjusts your property’s assessment accordingly. However, the new owner will bear the burden of the increased assessment, allowing them to properly insure the home and build equity from a higher starting point.
Another potential trigger for reassessment is new construction. When you apply for a building permit, it signals an impending increase in property value. Repairs and standard maintenance typically do not lead to higher property taxes, but significant upgrades related to safety, accessibility, or energy efficiency may be exempt from value increases and even qualify for tax deductions.
A well-planned home renovation in the right area can be a game-changer when it comes to increasing your property’s value. Real estate experts consistently highlight the remarkable potential for substantial appreciation in home value following a remodel, especially in sought-after neighborhoods and competitive housing markets.
The key to unlocking this value lies in understanding what today’s buyers desire in a home. Features like updated kitchens, modernized bathrooms, open floor plans, energy-efficient appliances, and smart home technology are often at the top of their wish lists. When your renovation aligns with these preferences, it can significantly enhance your property’s appeal, driving up its market worth.
Moreover, renovations can help your home stand out in a crowded marketplace. In competitive areas where buyers have numerous options, a freshly remodeled property can capture attention, elicit higher offers, and sell more quickly than comparable, non-renovated homes. This heightened demand often translates into a premium price.
After Renovation – The Finish Locust Home
Property History & Overview Incorporating the ADUs, the former Campbell residence offers a total of 6,457 square feet, housing a sum of eight bedrooms and seven and a half baths. While the option to lease out the ADUs is available, the property’s listing price of $3.795 million suggests that potential buyers likely won’t rely on rental income to cover their mortgage. This arrangement proves ideal for a multi-generational family setup, accommodating both elderly parents and grown children.
The interior of the main house includes high ceilings, vinyl flooring, LED lighting throughout the entire house, a large living room area to entertain, and a spacious kitchen that features an oversized white oak triangular island and shaker cabinets. Also, with an added second story.
The exterior of the main house includes white smooth stucco, and a Vintage door at the main entrance.
Designed in a modern farmhouse style, the home boasts a bright and wide-open floor plan that immediately captures your attention. The kitchen has been thoughtfully relocated from near the front of the house to a more inviting spot farther back, where it seamlessly opens up to the pool and patio area through 16-foot bifold doors.
The house, alongside its accompanying pool, spa, and patio, rests at the heart of the sprawling half-acre expanse, leaving ample space for leisure activities and pets.
Generously proportioned bedrooms take center stage, with three capable of serving as primary suites. Two of these are located on the ground floor, while the third graces the upper level. Each primary suite boasts its own complete bathroom, offering a touch of luxury and privacy.
let’s delve into the data to showcase the return on investment (ROI) potential of a well-planned home renovation in the right area. To assess The True Cost of Home Remodeling: Is it right for you? According to various studies and industry reports:
1. Kitchen Renovation: A minor kitchen remodel, which includes upgrading appliances, countertops, and cabinet fronts, can yield an average ROI of approximately 78%. In competitive markets, this figure can be even higher.
2. Bathroom Remodel: Renovating a bathroom often results in a solid ROI of around 70%. Upscale bathroom renovations, with features like heated floors and luxury fixtures, can provide an ROI of up to 60%.
3. Curb Appeal: Enhancing your home’s curb appeal through landscaping, a new front door, and exterior upgrades can yield an ROI of 100% or more. First impressions matter, and a well-kept exterior can greatly increase your home’s value.
4. Energy Efficiency: Investing in energy-efficient upgrades, such as replacing windows or adding insulation, can result in both ongoing cost savings and increased home value. Some reports suggest an ROI of up to 90% for such projects.
5. Smart Home Technology: Incorporating smart home features, like security systems and thermostats, can boost your home’s appeal and potentially increase its value by up to 5%.
6. Location Matters: It’s essential to consider the location of your property. Renovations tend to yield higher ROI in areas with strong real estate markets, high demand, and increasing property values.
The belle of the ball is the Living Room, featuring a blend of Minimalist & Mid Century design notes, premium appliance selection, and an unprecedented access to natural light, the living area serves as a place of peace, luxury, and bliss. The open ended design allows for it’s next inhabitants to have a ton of room to apply their creative interests to the home in a way that is complimentary to any style.
