What adds the most value to a home?
Many people believe the only way to add value to a property is by making extensive renovations or even remodelling entirely, which in itself can cost tens of thousands.
While adding an extra bedroom or extending by a few metres can certainly see your home’s value increase quite significantly, this isn’t the only way to add a few extra £s to your potential asking price.
Due to Brexit-related uncertainty, many homeowners are choosing to stay put and make improvements to their homes in a bid to increase their value — instead of selling up and moving on. To help you decide whether sprucing up or getting out is the best option for you, we’ve pulled together a list of the top ten things that can add value to your home — ranging from big projects that require quite a bit of work to some small additions that won’t break the bank.
Big Budget Home Improvements
Fix structural issues
This one may seem like a given, but many fail to prepare before putting their house on the market. Selling your home with structural problems could see potential buyers offer much less than your asking price or significantly lower their offer once surveys reveal the extent of these issues. This can result in a much lower price than you might have imagined, as you may either have to concede significantly on price or foot the bill to make the fixes and keep the interest of the prospective buyer.
Before putting your home on the market, ensure your roof is in a good state, along with windows and doors, as these are the elements that a new homeowner is unlikely to want to take care of themselves. A decent roof will add value to your home as it’s “ready-to-live-in” appeal increases and there will be fewer issues for the survey to inevitably uncover. However, before making any large changes, you must gain planning permission. Without it, you may negatively impact the value of your property.
Even a few loose tiles or some clogged guttering can act as a red flag to a buyer as small problems can give the impression that bigger issues such as leaks could be a problem. According to research by The Eco Experts, the average cost of a roof repair in the UK varies from £120 to £205 for a small number of replacement roof tiles, up to £1,956 to £3,125 to replace soffits and fascias. To entirely replace a tiled roof, the average cost is £4,952. But, according to thisismoney.co.uk, fitting a new roof when selling up could see a return of up to 63% on your initial investment. Of course, this will depend on the problem and the extent of the work required, but these figures help to give a rough idea of the costs and returns involved.
Install a New Heating System
One of the biggest costs that can catch a homeowner off guard is a broken boiler — a common problem that can cause a lot of inconveniences. Boiler issues may have been something missed by prospective buyers in the past, but today it’s common to question the state of the boiler and heating system when viewing a home. So expect buyers to be negotiating on price if your system is old.
Installing a new heating system can appeal to prospective buyers with foresight because this means they won’t have to replace it for quite some time. On average, it costs £500 to 1,500 to install a new boiler in the UK and the boilers themselves vary from around £800 to £1500.
Replacing a boiler in the same location as the previous one will usually be cheaper, so this is something to bear in mind when getting a quote. But no matter how good the deal is, replacing a boiler is a significant cost for a new homeowner. By doing so yourself before selling, you could achieve an increase in the value of your property and save yourself from being squeezed on price.
Create an Open-Plan Layout
An open-plan layout can create the illusion of a bigger, lighter, living space, particularly when your decor is the same throughout, as the eye flows naturally around the entire area. An open-plan layout can create a real wow factor for your home. According to Which? adding a new open-plan kitchen could add 6% to your property’s value, at the cost of around £8,000. Open-plan living is increasingly popular and makes each living area a more flexible, social space that will appeal to almost everyone — from first-time buyers to families. If this isn’t an option, consider adding concertina doors to give the feel of a more open layout. The cost will be significantly less but create a similar, airy effect.
Invest in a Loft Conversion
A loft conversion can cost anywhere from around £15,000 to over £40,000 depending on the rooms added, whether structural changes will be necessary and what type of access you use. A loft conversion is likely to be the renovation that will cost you the most if you’re looking to add value to your property — but it could also provide a significant return on investment. Depending on the work carried out and where you live in the UK, a loft conversion can add around 20% to the value of your property. However, when you compare this profit with the fact that adding a regular extension to your home can add 23% to its value, you may rethink whether the cost is worth it.
Add a Bedroom or Extension
Adding an extension to a property can create serious appeal and add a significant amount of value to your home in comparison to other, unextended properties in your area. The cost of extending, whether it is an extra bedroom or otherwise, is on average around £1,000 to £2,000 per square metre, depending on the contractor and materials you choose. These costs, of course, don’t factor in the further costs of decorating, fitting and furnishing the room as desired. To put this into context, the average size of a double bedroom is around 4 metres squared — meaning it will cost up to £8,000 to build.
Are Big-Budget Home Improvements Worth It?
So, if you were to make all these improvements to your home, how much roughly would it cost? Taking the higher end of each budget, we calculate each of these home renovations combined would set you back around £70,000 and could potentially return just £15,000 when selling — according to the ROI percentages gathered throughout the piece. Naturally, you wouldn’t be expected to make all of these improvements, but this may put costs into perspective somewhat.
Small Budget Improvements
Depending on time and budget, you may be better making just a few small adjustments to your home to improve its appeal. Here are some cost-effective ways that could help sell your home quicker — saving you money on the costs that come with a delayed sale.
Tidy up the Exterior
First impressions count. When someone comes to view your home, the first thing they will see is the outside of the property. Ensure this area is neat and tidy — de-weeding pathways, planting some flowers and giving your fence or front door a lick of paint are all great ways to increase kerb appeal. According to Property Price Advice, keeping a neat and tidy garden or adding a small decking could see as much as 20% added to the value of your home. Better still, this is simply a matter of aesthetics and won’t set you back very much at all.
Install a Shed
The garden feature that adds the most value to a property is a shed. This is because it’s a great bit of extra storage space to keep the things you wouldn’t want in your home. An article by Property Price Advice states 82% of estate agents surveyed agreed a garden shed is a top contender when it comes to adding value through the exterior of your property.
Giving the interior of your home a makeover with a fresh lick of paint in neutral tones can brighten the property up, create the illusion of a bigger space and ensure the property appears modern and well presented to potential buyers. Decorating is a small job to undertake but can make a home far more inviting, giving the impression it is well looked after and saving the new buyer the task of redecorating if the neutral decor is to their tastes. If budget allows, you could go a step further and add some new carpets or flooring to the space to make it feel that little bit “newer” for the prospective owner. According to Ideal Home, if done right, painting and decorating can add up to 5% to your home’s value.
Decluttering can also create the illusion of a much bigger space and shows viewers a home is looked after. This doesn’t mean you need to throw everything away, as often a property with a homely vibe can appeal far more. A recent article by The Express revealed that similarly to painting and decorating, decluttering can add up to 5% in value to your house sale price. Other than a few trips to the tip or the charity shop, this one won’t cost you a single penny and you could even make money by selling some of the items you’re getting rid of — a good return on investment indeed!
Consider plug sockets
Lastly, it’s no surprise in the digital age that adding a few strategically-placed plug sockets around the home can make a real difference. Buyers can be put off if your home appears to have few electric outlets, particularly in the kitchen where they’re likely to have an abundance of appliances to plug in. Opt for chrome or clean white sockets, as these aesthetically pleasing pieces can improve the buyer’s perception of the suitability of your house. This one won’t add thousands to your asking price or be the deciding selling point, but it is a small tweak that may just help in achieving a sale that bit quicker.
So there you have it — these are the things you need to do to get ahead in a competitive property market and increase your house price. But if the big cost home improvement projects are out of your reach or you’ve made all the small changes that time and budget allow and you’re still struggling to sell your house, why not talk to us? We will buy any home, in any location, in any condition at all, for cash. Get an initial cash offer today, just simply begin by entering your postcode.