Key Takeaways
- There are four types of renovation projects: the basics, curb appeal, best bang for the buck, and passion projects. Not all of them provide a high return on investment.
- The basics include a roof that doesn’t leak, functioning gutters and downspouts, a dry basement, a reliable furnace, solid floors, and walls and retaining walls that are in good repair.
What does a home renovation involve?
This can involve literally everything about the house with the exception of its basic layout and structure. The alternative option is a partial renovation in which only one portion of the home is upgraded at a time. In either case, renovation projects can vary dramatically in size and scope and can include candidates such as:
What are the different ways to renovate a home?
There are typically two ways that you can renovate a home. A whole-home renovation takes place when a homeowner is ready to fully upgrade an existing home that is cosmetically dated throughout. This can involve literally everything about the house with the exception of its basic layout and structure.
What are the 4 types of remodeling projects?
To make the most of your remodeling, it pays to keep four types of projects in mind: the basics, curb appeal, value-added, and personal preference. 1. The Basics The basics are those things that buyers expect when they purchase a home.
Is a home renovation loan a good option for You?
Before diving into program types, it’s important to understand when a home renovation loan is a viable option. If completing a renovation will lower your overall costs in the long term, this type of program can be a good choice.
New Flooring
The timeline for new flooring depends on the material used, the current flooring being removed, as well as the square footage of the area.
Finishing a Basement
Finishing a basement involves installing insulation, framing, installing utilities, mounting drywall, painting, installing subflooring, and flooring. Not to mention any bathroom appliances or electrical work as well.
Master Bathroom
This process will involve removing and demolishing the old bathroom, flooring, plumbing, electrical work, structural work, bath, sink and vanity installation, and last but not least, decor and storage additions.
Kitchen
Kitchen remodeling projects are somewhat similar to master bathroom remodels in that they contain a lot of moving parts: plumbing work, electrical work, appliances, flooring, structural changes, etc.
Addition
Addition projects will take anywhere from three to five months - but if your addition is incorporating more complex remodeling inside, be sure to add on some time.
Major Home Renovation
Last but not least, the big rehab. If you’ve purchased a fixer-upper, this type of renovation is a great way to tackle everything at once.
Who should consider a home renovation loan?
Before diving into program types, it’s important to understand when a home renovation loan is a viable option. If completing a renovation will lower your overall costs in the long term, this type of program can be a good choice.
Other renovation loan options
If traditional loan renovation options don’t work with your circumstances, you may consider applying for an unsecured personal loan. This type of loan typically provides loan amounts up to $50,000, but the amount may be higher depending on the lender and a person’s credit history.
Financing your home renovation with success
When considering home renovation financing, take your time and shop the market. Meet with different lenders and discuss the available options and pros and cons of each. Request contractor references and check recommendations.
What is home restoration?
The concept of a home restoration finds its root right in the name itself, as it aims to restore a home to the way it once was in the past. There are two different kinds of home restorations:
What is interior remodel?
Interior remodels are, unsurprisingly, focused on the inside of a home. They can consist of something as drastic as entirely altering the structure of a room and can be as minimal as adding or removing a feature such as a beam, a wall, or a hearth.
What is considered a remodeling project?
As already touched on above, remodeling a home typically involves making fairly substantial structural changes. Taking out a wall, splitting up a space, or adding on another room entirely all are considered remodeling projects.
Why do we need to restore our homes?
The first reason to restore a home is if it’s been through a disaster. This could be man-made, such as an electrical fire, or natural, such as a flood, tornado, or hurricane.
Is a historic restoration considered a historic landmark?
If you live in an aged home, it may be considered a historical landmark. In order to be thus labeled , it must meet age and integrity requirements, with the structure being at least 50 years old and still looking similar to its original build. In addition, it must have a certain sense of significance attached to it, through architecture, location, use, or some other important factor.
How to recoup the cost of renovation when you sell
- Homeowners often undertake major remodeling projects to upgrade their residences before putt…
More often than not, upgrades fail to pay for themselves. Read on to find out how to renovate strategically and which projects really add value to your property. - There are four types of renovation projects: the basics, curb appeal, best bang for the buck, and …
The basics include a roof that doesn’t leak, functioning gutters and downspouts, a dry basement, a reliable furnace, solid floors, and walls and retaining walls that are in good repair.
The Difference Between Investors and Owners
- There are important differences in the way investors and owners approach home renovations.
Updating an investment property is a sound strategy—if it’s done the right way. Successful fix-it-and-flip-it professionals are investors focused on one goal: “Buy low, sell high.” When they purchase run-down homes at bargain prices, they know that a little sweat equity goes a long wa… - This kind of investor also carefully chooses remodeling projects that will result in the most valu…
Owners, on the other hand, often take a less strategic approach when sprucing up their homes. As a result, they can end up putting significantly more money into a project than they will get back out of it when they sell. While it’s certainly a smart move to make a few improvements, it is unwise t…
The Basics
- The basics are the things that every buyer expects when they purchase a home. This includes a r…
This doesn’t mean you have to upgrade all of it. You can focus on regular maintenance and smaller, cheaper improvements that keep everything in good working order. Adding the basics to a home that lacks them doesn’t add value; it merely brings the property up to the standards of th…
Curb Appeal
- Curb-appeal projects make the property look good as soon as prospective buyers arrive. While t…
Never underestimate the power of a positive first impression—from a well-manicured lawn, low-cost landscaping, fresh paint inside and out (at least the front door), clean carpets, and new exterior fixtures (e.g., address numbers). Lighting is another important feature (exterior and inter…
Best Bang for the Buck
- Projects that add the most value at resale are the favorites of fix-it-and-flip-it professionals—an…
The National Association of Realtors (NAR) cites wood flooring (new or refinished), kitchen renovations (new countertops and state-of-the-art appliances), upgraded bathrooms, and basement or attic conversions as projects with some of the highest return on investment, often r…
Passion Projects
- Passion projects are investments that homeowners make in activities they love without regard t…
For example, a swimming pool rarely adds value to a home. Not only does it cost a small fortune to have an in-ground pool installed, but many home buyers also view a pool as a high-maintenance hassle and a year-round safety hazard—and it's useable only a few months a year i…
Which Renovations Add the Most Value to My Home?
- Certain home renovations deliver a considerable bang for the buck, often recouping 80% or more of their cost at resale, including full kitchen renovations, wood flooring, and upgraded bathrooms as well as roofing, siding, doors, windows, and energy upgrades.
How Do I Improve the Curb Appeal of My Home?
- Features that improve the curb appeal to every prospective buyer that approaches your house include a well-manicured lawn, low-cost landscaping, fresh paint (the front door at a minimum), and new address numbers.
Why Do Swimming Pools Add No Value to My Home?
- Swimming pools rarely recoup their cost at resale. Not only do they cost a fortune to install, but they are also considered a high-maintenance nightmare and a safety hazard by many prospective home buyers.
The Bottom Line
- Whatever the project you are considering, remember that your primary residence is not just a ho…
Elaborate custom upgrades may appeal more to you than to potential buyers. It’s best to make small, décor-neutral renovations that improve the functionality of your home. And remember, even with the real estate renovations that are known to add value, the chances are good that you will … - What Is Real Property? Definition and Types of Properties
4 Types of Home Renovation: Which Ones Boost Value?