Winter brings a lot of time spent indoors, and with that, a lot of looking around your home wishing you could make some changes. But before you upgrade your space, how will you know if it’s really worth it?
“A general rule of thumb is to think about how personalized the upgrade you’re making is,” says Amanda Pendleton, Zillow’s home trend expert, citing highly-specific kitchen renovations as an example. “These renovations typically deliver some of the worst returns on investment—around 50 cents on the dollar.”
Meet the Expert
- Amanda Pendleton is a home trends expert at Zillow, a real estate service for renters, buyers and sellers.
- Charley Pugh is Head of Local Services at Matriarchy Build, a platform that offers consultations and matching services with tradespeople.
While you’re always welcome to upgrade any spot in your home, if you’re looking for resale value, there’s a few spots you should tackle first. We asked home pros for their best tips on where to spend your money (and which spots you should definitely skip).
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Invest in an Outdoor TV
Outdoor spaces have been gaining popularity in the last few years and the more features available outside, the better for resale value. Outdoor areas that include a TV can sell for 3.1% more than similar homes without one, Pendleton says.
“Not only has outdoor space become increasingly valuable to home buyers, they’re looking for functional outdoor space,” Pendleton says. “Space that feels like an extension of their home where they can entertain friends or relax with family.”
Not a big TV fan? Other features like an outdoor shower, kitchen, pizza oven, or she-shed can also boost value, she says.
Check Your Lightbulbs
Sometimes the smallest upgrades can make the biggest difference, and that includes lightbulbs.
If you have a small budget, making sure the color temperature of every lightbulb in your home matches is one of the first things you can do that makes a difference, according to Charley Pugh, Head of Local Services at Matriarchy Build.
If you have a little more budget, you can play more with the lighting, but don’t spend too much.
“Upgrading bathroom and kitchen fixtures that look really outdated can go a long way too, but they shouldn’t be too high-end or the return won’t be there,” Pugh says.
Paint Your Walls in Neutral Shades
If we’ve said it once, we’ve said it one hundred times, but paint can work wonders in any home.
“Fresh, neutral paint makes a place feel new,” Pugh says.
Though we’ve been known to endorse a bold color palette or two, the more neutral the better if you’re worried about resale value, so you can appeal to most buyers.
“Painting the walls in a neutral palette is almost always the quickest, easiest way to get your home ready to sell,” Pugh says.
Add a Coffee Bar
Been dreaming about a coffee station in your kitchen? Now’s the best time to add it. Zillow estimates that a coffee bar can contribute to a 1.4% sale premium when it’s time to list your home.
If you want to spend a little more, wine fridges are out, beverage centers are in. Adding a beverage center, or under-cabinet refrigerator for any type of drink, can add a 2.4% boost, Pendleton says.
Swap Out Your Hardware
Not every home upgrade needs to take weeks to accomplish. Switching out dated hardware is a small weekend project that can maximize your home’s value and lead to a cohesive look. But don’t just buy any old hardware, according to Pendleton.
“Swapping outdated hardware for matte black hardware could contribute to a 2.9% sale premium,” Pendleton says.
2 Spots You Should Skip
Walk-in closets, according to Pendleton, and really high-end fixtures, according to Pugh, are two things you should avoid in your next DIY for the best value. Pendleton recommends connecting with a local real estate agent for advice before you commit to a remodel to increase value.
“They have extensive market knowledge to make sure you’re investing and highlighting the right features to appeal to buyers in your neighborhood and maximize your sale price,” Pendleton says.
Though you may not get the best bang for your buck on every home project, it’s no reason to stop yourself from adding a feature you know you’ll love.
“So many people get a bunch of work done in order to sell their homes, then they are shocked at how great the place looks,” Pugh says. “Don’t hold out until you’re moving to get that upgrade.”
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