Houses are made of materials that deteriorate and mechanical systems that can fail at any time. As natural wear and tear breaks down buildings and their features, keeping up with repairs and maintenance is itself a tall order for UK home owners.
In addition to the resources required to fix and replace worn and broken-down features, ambitious owners also look for ways to improve their homes, adding value and desirable upgrades. This type of home improvement goes above and beyond the cost of upkeep, adding spending demands outside the money needed to make repairs and conduct maintenance. Because home improvement investments can be substantial, the most cost-effective updates are those that add value and pay for themselves with higher sales prices in the future.
If you’re ready to improve your home, but you’re not sure where to start, consider these sensible upgrades, which offer strong return on investment (ROI).
Assess Costs and Benefits Before Investing in Upgrades
Like other spending decisions, conducting a home improvement cost/benefit analysis before parting with your cash can help you spend your money more efficiently. It’s the same process you go through at the market, comparing food prices and envisioning meals you’ll create from the ingredients in your trolley. Similarly, an effective home improvement strategy accounts for all the possibilities and related expenses, before settling on a manageable, cost-effective recipe for adding value and functionality.
The types of home improvements you complete have a big impact on investment returns, but you must also consider the costs of financing your house renovations. Too often, well-meaning home owners jump in with credit cards, racking up big balances during home improvement projects.
Although the convenience of plastic has advantages when funding ongoing projects, interest and fees can add a substantial amount to the overall cost of the job. As a result, some DIYers and home owners contracting work choose to fund projects as they go, using available cash to pay for each stage of the renovation work. When funds run short, some renovators turn to lenders offering short-term solutions. Even with bad credit, approved applicants can use their future paychecks to secure fast cash, ensuring home improvement projects carry on without delay.
Investing in Home Improvements
Each project is unique, but the following home improvements have a track record of success, providing better than average ROI.
- Energy Updates – Replacing boilers and heating systems is a big investment, but these and other less expensive energy updates can pay off in two distinct ways. Energy improvements result in greater efficiency, so you’ll save money during your stay. And when you do decide to sell your house, buyers will welcome efficient heaters and appliances, paying a premium house price for these modern, energy-saving upgrades. Other energy investments, such as money spent on attic insulation, are rapidly recovered through reduced energy bills, and add lasting, marketable value to your home.
- Landscaping/Exterior Painting – During certain times of year, Britons naturally spend more time indoors, than outside in the elements. During these periods, it’s easy to lose track of your home’s exterior. If your home’s kerb appeal suffers, or if you might sell your house in the near future, exterior updates and landscaping improvements are two was to make your home more attractive and coax higher offers from potential buyers.
- Flooring Fixes – Next to sprucing up interior paint colors, fixing your flooring is one of the easiest ways to transform living spaces, without spending beyond your means. If you’re handy, DIY flooring now comes in durable, easy to install formats, achieving professional looking results. Even if you don’t want to get your hands dirty, you may be able to hire affordable installers to redo your floor.
- Conservative Kitchen and Bath Projects – Conventional wisdom once dictated that money spent improving your kitchen and bath would automatically come back to you in the form of a higher sales price. The truth is, these go-to renovations don’t always pay for themselves, so thinking has changed among renovators seeking strong ROI. Some home owners who may have previously gone in for full-scale remodels are now looking for cost-conscious improvements.
If house improvements and upgrades are on your to-do list, it’s important to carefully analyse the cost of each proposed project, and then settle on the ones that make the most financial sense. When you’re out for the best possible ROI, it’s important to recognize kitchen and bath improvements aren’t necessarily the best places to invest your money; a new boiler or heating updates may provide better returns.