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Home improvement costs: Here's the payback
Some homeowners sink money into improvements and remodeling because they love to see the fruits of their own labor while others do it simply to make their home the stuff of their dreams.
Then there are those with a profit motive. How can they put money into their home, enjoy the fruits of that expense and get their money back -- and maybe even more -- when they sell?
Simply put, some projects pay
off better than others and much of it
depends on which part of the country you live
in -- a result of many factors, including
the cost of labor, the cost of materials,
the general economy and that old standby,
supply and demand.
An excellent source of data
is the annual Cost
vs. Value Report, from Remodeling magazine
and Remodeling Online, comparing construction
costs with resale value for 25 common remodeling
projects in 60 U.S. markets.
Here is a summary of that report
with the 25 midrange and upscale projects
broken down into 10 geographic areas.
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| Home
improvement costs |
|
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|
| Midrange |
Master suite addition |
$94,331 |
$84,883 |
Bathroom remodel |
$12,918 |
$11,778 |
Major kitchen remodel |
$54,241 |
$50,860 |
Minor kitchen remodel |
$17,928 |
$17,095 |
Deck |
$14,728 |
$13,975 |
Family room addition |
$74,890 |
$67,797 |
| Upscale |
Bathroom remodel |
$38,165 |
$35,212 |
Major kitchen remodel |
$107,973 |
$103,529 |
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| Source: © 2006 Hanley Wood, LLC. Reproduced by permission. |
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