After moving

Remodel Wise
 House Tips/Maintenance
Energy Efficiency see my Checklists


Remodel wise

Recouping your remodeling investment may be your goal when you sell your house. But when it comes to resale value, all home improvements are not created equal. As a rule, kitchen remodeling projects and bathroom additions almost always pay back 90 percent or more of their costs. However, finishing a basement usually pays back less than 50 percent. Other improvements fall somewhere in between.

Consider these payback estimates* for the most typical home improvement projects:

*Compiled from several published surveys

Landscaping can set your yard apart from the other homes the Buyer might be considering. Curb appeal sets the first impression for the Buyer. Do something that sets your yard apart from the rest

Curb appeal. "A good first appearance on a home can add as much as 5 percent to 10 percent to the value of the home," says John Aust, president of the National Association of Real Estate Appraisers. "Homes in a neighborhood tend to vary about 10 percent from house to house, assuming all other things are the same."

If you've got an old roof and outdated paint, it won't matter if you've updated the kitchen.  Poor maintenance is a red flag to buyers. "If you know you've got to have something fixed, fix it."  Otherwise, people "will subtract the cost or not make an offer on the house. And if people think the house hasn't been taken care of, they will wonder what else they're not seeing."

Painting everything inside and out is the greatest value producing improvement that you can make on a dollar for dollar return basis. When painting, ensure you buy the absolute best paint available, as it is true that the expense of painting lays in the application of the paint not the paint itself. Remember that if you have to apply two coats because you used an inferior, watered down variety of paint you have just doubled your cost in time and in added paint needed to get the job done.
 
When it comes time to move on from your current homestead, there are two renovations that will significantly up your asking price: interior painting and kitchen or bathroom overhauls. If you've spent your annual bonus putting on that deck, you'll get about half of your money back. Ditto if you decide to finish your basement.

Keep in mind that your best-bet renovations will reflect what's classic. Paint your whole house in of-the-moment fire-engine red and the money you've poured into paint may not return to your wallet at closing. But create a bright environment and everyone who comes into your house will feel just like they've come home.

Then there are the things you do because you must: replace your old furnace and you'll likely recover 48 per cent or more of your investment. Over time, the money you'll save on heat, light and water by making your home more energy-efficient may pay for the upgrades you've made. Safety also pays. Lower insurance premiums may follow if you improve wiring or fire prevention and add a security system.

Remember that your needs are bound to change with time, so try to build flexibility into your design. Today's nursery could become tomorrow's home office. Think ahead.

Understanding payback value. Payback value depends heavily on the real estate market and prevailing property values. If the market is slow, expect to see less payback than you would in a fast market. Also, consider the neighborhood: If you remodel your house to twice the size of the other homes on the block, it is unlikely that you will be able to sell at double the price. Issues that can influence payback value include:

1. Type of improvement. Kitchen and bathroom remodeling projects consistently return the most in resale value and almost always help sell a house. Converting a basement into a family room yields the smallest return on the investment.

2. Scope of improvement. Projects can be large or small. Sometimes, the cumulative effect of small projects can pay back more in resale value than that of larger projects. Small projects tend to be cosmetic in nature: fresh paint, new doors, garden windows, and ceiling fans. Large improvements involve adding or upgrading living space.

3. Desirability. Today's fad may be tomorrow's standard. Backyard decks, for example, were difficult to find 30 years ago; now they are common. Decks may not have paid back very much in resale value decades ago, but as decks have become more desirable, their resale value has increased.

4. Cost. The price of home improvements fluctuates depending on economic conditions and region. If remodeling costs are particularly high in your area (or home sale prices particularly low), you may not recoup as much on your investment as you would if costs were in sync with sales prices.

Tip: If you are financing your home improvements, the best time to apply for a loan is when interest rates are low. The less you pay to borrow money for the job, the less the total cost of the renovations.

Treat 'em right. Your appliances work for you every day. Now it's time to do a little work for them.

Oven/stove. If it's a gas unit, make sure you have stainless steel or coated brass supply fittings feeding the unit; older steel tubes have been known to leak gas. Pull apart the stove burners from time to time, and clean them with a brush. This opens the ports, allowing a more even flow of heat. If your oven is self-cleaning, run the cycle at least once every couple of months to avoid tripping the overload button.

Dishwasher. Newer dishwashers use less detergent than older ones. Adding too much can harm the pump by creating too many suds. Most dishwashers have internal food grinders for those of us who are bad about rinsing off our dishes. But some have a screen that must be emptied. Be diligent about this, or the performance of the unit will suffer. Once a month, run a complete cycle with a cup of a calcium-lime-and-rust cleaner, like CLR or Lime-A-Way, to dissolve any scale or sediment buildup, prolong the life of the unit and help control odors.

Refrigerator. This is the hardest-working appliance in your home; the motor runs almost constantly. Cleaning the dust and grime off the coils (usually on the back or bottom of the unit) should be done twice a year. This helps the fridge operate more efficiently, prolonging its service life. To keep things clean and germ-free inside, remove all the contents every other month, and wipe down the interior with a 50/50 solution of bleach and water.

Washer/dryer. The washing machine is one of the most durable appliances around, requiring almost no maintenance. The dryer, however, needs a bit more tending. In addition to cleaning the lint out of the filter before every use, you should vacuum out the filter slot every few months. The vent tube that leads outside should be cleaned twice a year, because lint buildup can reduce the dryer's efficiency and create a fire hazard. To clean the tube, disconnect it from the dryer and gently work the vacuum hose in as far as it will go. It's also a good idea to clean the outside dryer vent cap, which can become clogged with lint and make a perfect nesting place for bees and wasps.

[top]