Real estate expert John McGrath has some tips on making the right renovations for your house.
Home renovations are the best way to increase the value of your property and improve the quality of your lifestyle, but real estate expert John McGrath warns that it’s very easy to overcapitalise if you don’t take the common sense approach.
Do your homework upfront to ensure that the property at the end of the renovations is worth more than the cost of those renovations.
According to John, the most popular rooms to renovate are the bathroom, kitchen and bathroom. For about $5,000 in the bathroom and $10,000 in the kitchen these areas add a lot of value because they add emotional appeal to buyers.
Here are some of John’s tips:
- The key to creating useful extra space is to ensure your renovations are sympathetic to the style of the original home.
- With period homes and older-style properties it’s hard to determine upfront the costs of renovations. Get a builder who’ll give you a fixed price quote – that way they take the risk not you.
- A carport is a low cost, viable means of adding value to your house. An average carport costing $5,000 can add $15-20,000 in value. But be careful that it’s in keeping with the style of the house and doesn’t spoil the façade.
- A few thousand dollars spent on the backyard can add $15-20,000 to the value of your home. Creating a terrace and landscaped garden area really gives you a sense of bringing the outdoor in and everyone loves outdoor entertaining,
- The internet offers plenty of advice, including a number of information companies that will help you assess what your house is worth today.
- Contact your local real estate agent for an expert opinion on what your house is worth today, and just as importantly, how much value your proposed renovation will add to your home.