The annual report is out on home remodel cost vs. value, conducted by Remodeling Magazine. This is a valuable survey every year because the statistics vary according to the market and according to the region. Return on projects were somewhat higher in the boom years, over 60%, and then fell under the 60% mark when the market declined.Projects also vary in perceived value-- topping the list for 2016 was entry door replacement, especially into fiberglass doors. Second story additions, master suites and kitchen remodels all increased this year in value, according to the real estate professionals in this survey.
Fiberglass insulation projects have been added for the first time to this report, a project not measured on an annual basis, but on a return extending over many years. This project is estimated to give more than 100% return.
"In contrast, the five projects with the worst returns all scored cost-value ratios between 56.2% and 57.7%. From the bottom up, they are: midrange bathroom addition, upscale bathroom addition, upscale master suite, upscale bathroom remodel, and composite deck addition," according to the Remodeling 2016 Cost vs. Value Report (www.costvsvalue.com) So not all upscale projects give the best return, and for some reason, neither do composite deck additions in this report. Having seen enough termite damaged wood decks, composite decks would seen to be a great improvement in Southern California, but in this report, wood decks fare more favorably.
Replacements projects netted a few percentage points higher in return, 61%, compared to remodel projects which came out around 57%.
See the complete report online at Remodeling.
A free downloadable pdf report is also available online.
No comments:
Post a Comment