Nashville has remodeling fever. Partially deconstructed houses, their muddy yards overflowing with pickup trucks, can be found in every neighborhood.
And with our hot, hot, hot real estate market, (in Davidson County the average sales price increased 12% from 2015) you’d think that any home improvement would more than recoup its cost at resale.
According to the Remodeling 2016 Cost vs. Value Report (www.costvsvalue.com), if you plan to sell your home in a few years, some home improvement projects are a better investment than others.
Remodeling 2016 Cost vs. Value Report surveys the average cost recouped at resale for twenty-seven home improvement projects in 101 cities. Both midrange and upscale versions of the projects are reviewed.
In Nashville, the biggest bang for your buck is installing fiberglass insulation in your attic. This simple project recoups a whopping 123% of the cost. Another easy project, a $3000 garage door replacement, also recoups over 100% of its costs at resale.
The third most rewarding project in Nashville is a minor kitchen remodel. With a budget of under $20,000, this project earns back 99.7% of its investment and includes replacing countertops, cabinet fronts, flooring, and some appliances. A major kitchen remodel with a budget of three times that of the minor remodel only recoups 65.1% of its investment.
Spending on your home’s curb appeal is always a wise investment. Adding manufactured stone veneer (94.2%) and replacing the front door (86.5%) both provide respectable returns.
THE TAKEAWAY: Some “hot” neighborhoods in Nashville are immune from this kind of analysis (anything with a roof sells.) But for the most part, if you plan to sell your home in a few years, enhancing your home’s curb appeal and executing modestly priced interior remodels provide the best return on your investment.
2016 Cost vs. Value Report can be downloaded free at www.costvsvalue.com.