Ever wonder which renovations add the most value to your property? The Appraisal Institute of Canada defines 3 ways to measure the return that renovations provide. 1 - the value of increasing the selling price of your property. 2 - the value of enjoying the renovated space. 3 - the value of maintaining the worth of your property.
Determining why you want to renovate is the first question you should ask yourself. Is the primary goal to increase the properties value? Or, are you seeking to fulfill your personal needs and wants? Your answer can dramatically affect the value. You might decide you want to convert that extra bedroom into a family room because you would enjoy the space. But if the market demands 3 bedrooms and you now have 2, then the renovation may reduce the value of the property.
Read more about the top renovations that add value in this article from the Appraisal Institute of Canada:
Let's be honest, the real question you want answered is: Which renovations provide the greatest return on investment? Keep in mind, the return is dependent on many market characteristics and that there is no fixed or guaranteed return on specific renovations, the quality of the renovations and ultimately the market determines the value. So, here they are:
3) Repainting Interior/Exterior
4) Updating Decor - plumbing/electrical fixtures, worn out flooring, etc.