It's time for the annual results of Remodeling Magazine's 2007 look at the return on home remodel projects. Basically, the return on projects trended down from 2006, a not-too-surprising result nationally due to rising costs and slowing home appreciation. The Pacific West was an exception, though. In July and August of 207, REALTORS® in 65 markets were asked to speculate on the return of project costs, and the Pacific region agents estimated 100 percent return or more for six projects: a wood deck addition, a minor kitchen remodel, fiber-cement siding replacement, wood window replacement, and an upscale wood and vinyl window replacement. Note these are all exterior projects except for the kitchen.
Home office remodels nationally bring the lowest return on remodels. The projects that bring the highest return seem to be based on the buyer's needs, i.e., a minor kitchen remodel which brings one of the highest returns. Careful thought should be given on types of room conversions--reducing the total number of bedrooms to enlarge or create the master suite may be a negative reduction for buyers. When a buyer's space needs match those of the seller's, there is likely to be a high return on a project, so knowing the local demand is important. So if you're a seller thinking about what to re-do, even if you're not going to sell for some time into the future, consider "universal" projects which could be identified with by a prospective buyer.
Long Beach
long beach real estate
1 comment:
Buyers should invest in a bit of knowledge too and looking at where they can get the best bang for the buck is important when purchasing too.
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