Consider The ROI
There are many reasons why homeowners get the urge to think about a home improvement project of some sort. It could be to tackle windows or skylights that are not operating properly or leaking, or it could be doors that stick due to warping. Another reason is that you are tired of the “same old look” of your kitchen cabinets and bathroom vanities. Others want “curb appeal” with their siding or entry doors when family or visitors stop by. The list can go on.
We get inquiries all the time for more than one project that is being considered and that is easy to do with an unlimited checkbook. There are times, however, when it comes down to “one or the other,” and that is where some of the reasons above come into play.
Another factor to consider when on a fixed budget and have to replace problem areas, is return on investment, or ROI. You can spend money on fun improvements or invest in upgrades that not only will give you the problem solving you need but also will give you the greater energy efficiency along with a nice “bang for the buck.”
With home improvements you can recoup much of the cost resulting in higher home values. Here are a few suggestions.
Over the years, the National Association of Realtors® through their Realtor Magazine has reported some numbers as to this “payback” for some selected home improvement projects. While these numbers are only ranges, they are valuable and could be the decision maker when multiple projects are being considered, but only one or two can be afforded. A few that are very popular in the Greenwich and Darien area are windows, entry doors and siding. These three components can have an estimated payback as high as 75%, 78% and 80% respectively.
Simply put, this could mean that replacing your windows with today’s highly rated, energy efficient products, could raise the value of your home by most of the expenditure in some cases. That would leave a real cost of just 25%. Not a bad investment. And this DOES NOT INCLUDE additional energy savings you will realize as well. Just about a “no brainer”, yes?
Keep in mind that this does not consider the added beauty and simple comfort of the pleasure of operating fully functional windows without any operating problems. All added benefits are in addition to the ROI.
In addition, replacing your windows and doors can get your home ready for sale and can be an important part of a successful staging.
If repairs, replacements or upgrades are recommended or needed, the ROI becomes very important from a purely financial point of view. As buyers approach the home, the first view they have is of the exterior of the property. Tired, old windows, a “blah” entry door, and weather-beaten siding are all-immediate turn-offs at first glance. If it was recommended that some action be taken to rectify these issues…do it! It would make your home much more attractive to potential buyers. And using a professional home improvement company to do the work will transfer all the warranties on your project to the new owners, a great selling point.
So, in summary, don’t forget to also consider your next home improvement project as an investment. You will be pleased that you did!