NORTHBROOK, Ill. (June 22, 2009) - While news reports nationwide talk of decreasing home values, home renovations
are still holding their own as a way to increase the value. But beware, not all
home improvements are created equal. Some renovations provide a higher return
on investment than others.
"People today are
looking for ways to protect their investments during these uncertain economic
times," said Fran Broude, president and COO of Coldwell Banker
Residential Brokerage. "And while most renovations don't have the dollar for
dollar return on investment we've seen in years prior, it's clear that smart
investing in your home still pays off."
Remodeling Magazine
completed its 2008 Cost vs. Value report earlier this year and offered the
following data on popular home renovations:
Curb Appeal Rules : Replacing windows, vinyl
siding and decks give you the greatest chance of recouping your money,
returning 79.2 percent, 80.7 percent and 81.8 percent returns
respectively. Improving or replacing the
major aesthetics of your home may also give you a more energy efficient home,
an increasingly important item for many buyers.
Focus on Kitchen and Bath:
The study showed that the largest ROI still comes from remodeling the
kitchen and bathrooms. As the heart of the house, a kitchen remodel brings a
79.5 percent return on average, while a bathroom remodel delivers an average 74.6
percent of the cost.
Adding it on: If you don't have it, build
it. Homeowners who added on a sunroom only experienced a 56.7 percent return,
while those who made more dramatic improvements saw greater returns. For
example, a two-story addition saw more than 70.7 percent return on investment.
Coldwell Banker Residential Brokerage, a leading residential real estate brokerage company serving Chicagoland, Northwest Indiana, Southeast Wisconsin and Southwest Michigan, operates 58 offices with more than 3,800 sales associates. Coldwell Banker Residential Brokerage is part of NRT LLC, the nation's largest residential real estate brokerage company. NRT, a subsidiary of Realogy Corporation, operates Realogy's company-owned real estate brokerage offices. For more information, please visit www.coldwellbankeronline.com