Thursday, March 15, 2007

Remodeling Investments: Bathrooms are a Good BET!

Considering a remodel but are concerned that the investment might outweigh the value added to your home? If you are considering a bathroom remodel, it could be a great investment.

I have always told my clients considering putting their homes on the market, that kitchens and bathrooms sell homes. A recent report from National Association of Realtors (NAR) agrees. In late December, the NAR released the 2006 Cost VS Value Report for home remodels. This study looked at cost data, resale value and percentage recouped for 25 different projects in 60 housing markets across the United States. With mid-range bath remodel, a homeowner can expect to recoup a good portion of their expenses with a 84.9 percent return on investment. This is up from 87.5 percent in a similar study in 2002. 

Before a considering a bathroom remodel, you need to understand “Why” you are undertaking this project. Do you need a new bathroom because the old layout is not functional? Not enough bathrooms in your home? Or is it because you plan to move and the maroon ceramic tile and pink fixtures from the 1950’s are too ugly to get the best price for the home?

To design the perfect bathroom for your home a lifestyle inventory will need to be taken. This is a process where you ask yourself questions to determine the needs and expectations specific to your family for your family. Here some questions to consider:

Who and how the bath will be used?

One sink or two?

Shower and tub combination or just a shower?
What are the storage, electrical outlets and counter space needs?

Private areas or completely open?

Will there be handicap accessibility needs now or in the future?

If you are looking for resale value, trends are important in bathrooms. Here are some of today’s hot bathroom trends:

  • Pedestal sinks

  • White Fixtures

  • Extra-Large Showers with multiple faucets

  • Heated, ceramic flooring

  • Glass Block and decorative moldings

  • Furniture-look to cabinetry

  • Solid surface countertops (Corian)
Another important consideration is handicap accessibility needs whether now or in the future. Options today go way beyond a raised toilet and grab bars in the shower. Larger doorways, easy access lighting, easy entry tubs, roll in showers, sinks that raise and lower with the touch of a button are just some of the new options available to persons with special needs. If you are planning to stay in your home for a significant length of time, it might pay to review some of the exciting new products available. In Minnesota, there is an excellent builder/remodeler, Dave Regel who specializes in totally accessible housing. He has model homes that feature unique products that make life easier and more enjoyable to persons will special needs.

If remodeling specifically to put your home on the market, take into consideration the quality and condition of the home. A good Realtor who knows your market can assist you here. If you are in an upscale neighborhood where homebuyers will expect high-end quality, don’t make discount-store decisions. Likewise, if your home is in an area of modest or lower value homes, skip the heated tile flooring and solid surface countertop. Understanding the market place you are in will help you to recoup the most from your investment.

Spending a little extra time in the planning stage can reduce the headaches and heartaches of a construction project that does not meet expectations. Taking your time will allow you to make the wise decisions that add value to your most important financial investment, your home.

If you are relocating to Minnesota, are looking for Homes for Sale in the north and east Twin Cities metro area and need help from a professional Realtor, give me a call. Serving Anoka, Chisago, Ramsey and Washington Counties in Minnesota.

Copyright 2007