People often make home improvements because they believe they will increase the value of their home. However, some home improvements don’t have good return on the investment. They simply don’t pay. The first thing to consider, when contemplating a home improvement project, is whether it’s genuinely for something needed or whether it’s an attempt to increase equity in the home. Here are a few add-ons that are probably not going to pay for themselves in home equity.
Swimming Pool
They sure do sound like a good idea on a hot summer day, and they can be really pretty. They’re great for parties and personal pleasure, but they are likely to make a home harder to sell rather than easier. Prospective buyers simply see higher utility costs, considerable maintenance and a serious liability. Don’t add a pool to the property for any other reason besides a real desire to have one.
Master Bedroom Suite
These things are like adding on a small house to an existing house. It seems like they’d be a big selling point for a home owner, but the fact is, they won’t increase the value of a home enough to pay for the cost of building one.
Home Office Remodel
Hold one before building that bookcase into the wall! What if a prospective home buyer wants to use that office as a bedroom? Those built in features translate to “no thank you.” Keep office improvements portable.
Garage Addition
Once again, this is like building an extra little house. It has a concrete foundation, a frame out, usually interior finishes, and a big fat average cost of $55,000. That will not translate to a $55,000 increase in home value. Do it only because there’s car that’s worth it, and really. How many cars are worth that much money?
Nice features are just that. Nice. If home improvements are needed to sell a home, go for practical things like energy efficiency upgrades.
