Perhaps an inheritance, raise, or passive income investment has increased your nest egg. You can finally upgrade to a new home. But if you love the location, neighbors, and schools, upgrading your existing home into your dream home is an option.
The following are home upgrades that could add 20–70 percent to your home and neighborhood values.
Landscape Your Property
Maybe the home with the high hedgerows on either side of an arched entranceway on your street has always intrigued you. Delightedly, you accept an invitation to tea from your neighbor and can finally gander down the cobblestone entranceway passed the fountain to see the home. What a surprise to find a three-bedroom bungalow identical to yours!
Architectural landscaping can make a $300,000 bungalow look like a half-million dollar home. Indeed, one study has found that landscaping can increase a home's value by 77 percent. Even without expensive landscaping, regular lawn maintenance and care can add value to your home.
Finish the Basement
Basements are a good place to store sports equipment, building materials for the handyman in the house, and various bric-a-brac, but even then, most of the basement is left empty. Converting a basement into a living space can provide a family room, another bedroom, and/or a gaming room for your family to enjoy. Your new living space can add 70 percent to the value of your home. Amenities that can further increase the value include a bar, fireplace, or sauna.
Other opportunities to add living space that can add value include:
- a patio or sunroom
- attic conversion to an office or bedroom
- in-law suite
Homebuyers will pay for added living space.
Add Green Space to the Neighborhood Value
Join forces with your neighbors to green the hood and improve property values. Turning unused lots into green space can increase the neighborhood value. Check city plans to identify areas that have been designated park land but have not yet been developed.
Green space adjoining your land can increase your property value by 20 percent, according to studies on parks and neighborhood property values. A heavily trafficked park may increase property values by a lower amount. But even a busy park can increase the property value of homes two or three blocks ways by 10 percent, find researchers.
Other neighborhood improvement areas include safety and crime prevention, schools, and traffic. Community groups working together can do much to improve the neighborhood property values.
For more information about neighborhood values, talk to a real estate service.