Before you start to renovate your kitchen or living room, you should know which home improvement projects provide a good return on your investments. The low-risk investment options can help you increase the value of your home without spending a fortune.
Let’s discuss some important things you should consider when making a budget for a home improvement project.
Costs for Typical Projects
In addition to finished attics and basements, kitchen renovations play the big role, as they make 10-15% of property value. It’s estimated that 4 out of 10 renovation dollars go to kitchens today. This trend is highly likely to continue. The value of kitchen makeovers goes up to $30,000, including costs for new appliances, flooring, lighting, countertops, cabinetry, as well as labor cost.
As for the bathrooms, they usually make from 5% to 10% of the total home value. Smaller baths like half baths and powder rooms contribute less though. Keep in mind that bathroom renovations come in at approximately $15,000. This includes labor too. Some of the most important considerations are plumbing, flooring, and cabinets.
The job costs of other common home construction and renovation projects are as follows:
- New vinyl siding – $7,100-$10,400 ($4.50–$6.40 / ft2)
- Basement finish – $35 per ft2
- Slate roof – $14.10 / ft2 or $22,560
- Clay tile roof – $9.80 / ft2 or $15,680
- Attic addition – $71,190
- Deck addition – $9,320
Of course, these costs can go up or down according to the complexity and size of projects.
Cut Back on Costs
Don’t rush into a project without thinking it through. There are a lot of penny-pinching places to reduce costs without sacrificing quality.
You can cut down on labor cost by performing some jobs yourself. For example, brave do-it-yourself folks hang and paint wallpapers, lay laminate or hardwood floors, set tiles, install new plumbing fixtures and lights on their own.
However, there are some areas where you need to consider hiring out labor. These include structural changes, major electrical and plumbing, replacing the roof or siding, replacing windows, and installing cabinets.
Here are additional options for frugal people:
- Vinyl flooring in lieu of pricey tile
- Wall tiles and clearance-item floors
- Composites or laminate countertops instead of marble and granite
- Cabinet doors replacement instead of purchasing all-new cabinets
- Appliances replacement with white rather than costly stainless steel
Financing on Renovations and Purchases
Your home is not only supposed to be secure and safe, but it should also provide an aesthetic comfort which lets you relax and enjoy to the fullest. Comfort is not always cheap though, so you may have a hard time finding a way to finance your renovation project if you run it on a budget. This is where credit cards and personal loans come in.
Be sure to choose a personal loan that works best for you. With a good credit card, you’ll be able to add the finishing touches to your home updates. Even though credit cards are not suitable for big projects like a full kitchen remodeling, they come in handy when you want to fund smaller home-improvement jobs.
A home is one of the biggest investments we’ve got, so we are owing it to ourselves to make some improvements from time to time. That doesn’t only increase the value but also pleasure and complacency.