January 22, 2013
Wherever you live in Canada, if you are looking to sell your home then you need to think carefully about which rooms you should focus on renovating in order to get the highest re-sale value possible.
A few days worth of effort can literally add thousands of dollars to the final price you get, if you do it right!
Your mind may be buzzing with all the ideas and options but you also need to temper this excitement with your budget. The last thing you want is to go way overboard on what you spend, only to wipe out any additional profit you might have been able to make.
The Kitchen and Bathroom
These are rooms where food preparation and hygiene are at a premium so if you can make over those two rooms then you will be on to a winner.
Think about calm neutral colors like Magnolia’s, Whites and Creams. You shouldn’t be putting your own impression onto the house. You need to be taking your own personality out and making it neutral so that people can imagine their own furniture and belongings in there.
Also bare in mind that when renovating your home, you should also take into account the local neighborhood. It makes little sense to make your property stand way out above the rest of the houses in the area, so try to keep within similar styles and sizes, just make the best of the rooms you intend to renovate.
You need to consider the maximum you are ever likely to be able to return on your renovation work. If you spend say $10,000 CAD on a project but the most you can add to your resale price is $3000 then it’s not worthwhile to pursue.
In general, the figures below indicates which renovation project has the best chance of returning most of the cost of the renovation when it comes to making that final sale:
|Renovation Type||% of Cost Recovered|
|Wooden Decking||80 – 85|
|Minor Kitchen Remodel||75 – 83|
|Sliding Replacement||75 – 83|
|Window Replacement||75 – 80|
|Bathroom Remodel||70 – 78|
|Major Kitchen Remodel||70 – 78|
|Attic Bedroom Remodel||65 – 76|
|Basement Remodel||65 – 75|
|Two Storey Addition||65 – 74|
|Garage Addition||60 – 70|
So whichever part of Canada you live in, the same golden rules always apply – start with the most used areas first where people spend a lot of their time. As well, it doesn’t hurt to add a fresh coat of neutral-coloured paint.