Home Renos That Pay Off

On the heels of the Government unveiling their 15% income tax credit for home renovations, I thought I would send you some information on the three areas of your home where renovations will really pay off when you want to add value to your home.

The Kitchen:
The kitchen is the best place to put your money, hands down. According to the Appraisal Institute of Canada, the average amount home-owners should spend on a kitchen renovation is about 10 to 15 per cent of the overall value of their home. If you're renovating the kitchen for personal use and not only for the purpose of investment, and if you are going to live in your house for more than five years, then you should spend 15 to 25 per cent or more. In most cases, you will recover the cost by the time you sell your home- with a 44 per cent higher return on investment than the average.

What do buyers look for?
• Space, functionality and effective, well thought-out storage
• Granite countertops create elegance, plus its resistance to scratches and easy maintenance make it ideal for everyday use
• Quality: don't skimp on appliances or labour done on renovations. Having the job done well is a value adder, doing it poorly may reduce the value of your home!

The Bathroom:
After the kitchen, bathrooms are the next key space potential buyers look at. A study from Canada's leading real estate companies shows that a well-designed bathroom renovation can generate up to a 56 per cent better return on investment than the average.

What do buyers look for?
• A spa-like environment: light colours, rich textures
• Luxuries such as water jets in the tub or a steam shower stall
• A large master ensuite with a soaker tub and double sinks

Floor and Wall Finishes:
Don't undervalue the paint and flooring in your home! Many buyers want a home that's move-in ready, so the more appealing the walls and floors are, the more interest your home will generate on the market. Flooring can generate a 22 per cent better return on investment than the average. If you have carpet in the family, dining and living rooms, it is recommended to change to hardwood and/or tiles. Not only will it make your home more elegant, but you will also enjoy the benefits of a healthier indoor environment. Simply repainting your walls a warm, neutral colour will give you a 29% better return than other popular renovations.

What do buyers look for?
• Walls should be smooth and painted in a neutral colour which will help enlarge the space
• Currently, hardwood or tiled flooring is the more popular choice for potential buyers
• Flooring should create a good flow between one room to the next and be able to tie in with other elements such as cabinetry, wall colours and baseboards

For more information on buying or selling real estate in Burlington or Oakville, Ontario, or if you have questions about current market trends, mortgages or interest rate information, please visit me again on my website www.seansells.ca or call me at 905-220-9198 and I'd be glad to answer any questions to accommodate all of your real estate needs.

 

Sean Kavanagh

Sean Kavanagh

Sales Representative
CENTURY 21 Miller Real Estate Ltd., Brokerage*
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