5 Predictions for the US Housing Market in 2015

PredictionAre you a current home owner who is considering listing your property on the market in 2015?

If so, then you’re likely to enjoy a lot of success!

After all, Realtor.com recently released its top predictions for the housing market in the New Year. And all of them seem to favor home sellers.

Let’s Take a Closer Look at National Housing Market Predictions

Millennials will enter the market en masse. This is something the housing market has needed for the last couple of years: More Millennials entering the market as first time home buyers. And according to projections, that’s what you can expect in the New Year, with more than two thirds of household formation being credited to this demographic. Helping matters is the fact that about 2.5 million jobs are expected to be added next year, improving home buying power.

There will be an increase in existing home sales. These sales are expected to increase 8 percent during the New Year. Meanwhile, as more people gain employment and increased incomes, distressed property inventory is expected to decline. All of this means a lower real estate inventory. This coupled with a surplus of buyers will create a seller’s market.

Home prices will rise. This generally follows when housing inventory shrinks. In fact, prices are expected to increase by an average of at least 4.5 percent in the coming year. Thus, if you’re thinking about possibly selling your home, 2015 is likely going to be a good year for doing so.

Mortgage rates will increase as well. For much of 2014, these rates have hovered around 4 percent and under. But with the previously mentioned factors and the Federal Reserve’s expected rate hike in the early part of 2015, residents can expect home loans to shoot up to 5 percent in 2015. If you have been thinking about re-financing, it makes sense to do it sooner rather than later since mortgage rates are likely to increase.

Home affordability will decline. With all of these changes on the market expected, home affordability is projected to decrease by 5 to 10 percent. This will be driven by price appreciation, mortgage rate hikes and tighter housing inventory. Again, if you’re thinking about possibly selling your home, 2015 is likely to be a good year for home sales.

See You In 2015!

We hope that as a home seller, you’ve found the above predictions encouraging.

We’ll be back in the New Year to discuss whether these real estate predictions come true and to revisit how they will impact buyers and sellers.

For now, we hope you and your family have a happy holiday season!

10 Winter Home Improvements That Are Worth The Investment

ChecklistWe hope everyone had a memorable Thanksgiving Day last week and enjoyed the long holiday weekend.

With December officially upon us, residents can expect temperatures to continue to dip as we head into the New Year.

So today, we wanted to share with you some relatively easy home improvements that you can make that will save you money during the winter months.

Home Tips for Saving Yourself Money This Winter

Here are 10 home improvements that you can make this winter that will save you both money and energy:

Caulk around windows and doors, making sure that all cracks and holes are sealed. This will keep the cold air out of your house, which will keep your heater from working overtime. If necessary, you might also consider adding or replacing weather stripping.

Add area rugs to your tile and wood floors. This creates an extra layer of insulation in your home and also makes it easier to walk around your home in bare feet during the winter time.

Install glass doors that close off your fireplace. This will not only keep cold air from coming down and through your house but it will also prevent warm air from escaping through the chimney. Also, if you use your fireplace, make sure to close the flue when you’re finished.

Insulate your attic door. For instance, you can buy covers for your attic staircases or openings. This will actually help you reduce energy costs all year long.

Cover your windows. Even if you don’t have storm windows, you can create your own with a window insulation kit. And inside your house, consider using insulated drapes.

Buy Insulated Garage Doors and Exterior Doors. Typically, the garage doors that come with most homes aren’t insulated. You can change that to save on energy costs.

Add insulation to your home throughout. This includes in the attic as well as the crawl space, garage and basement. Experts recommend that you add insulation if you haven’t done so in more than 20 years.

Reverse Ceiling fans. Some people may not be aware of this but you actually have the option of reversing your ceiling fans. Running them counterclockwise makes it cooler during the summer months but by making them clockwise, they will circulate warm air back into the room.

Replace your furnace filters. Just like with anything else, dirty furnace filters will make it work less efficiently. Generally speaking, filters should be changed every month during the heating season.

Replace your outdated furnace altogether. If your furnace is older, you might consider purchasing a newer unit that is going to produce more heat with less energy. Just make sure that you get the right size for the space you have.

If you want to take your home-savings even further this winter, you can check out the U.S. Department of Energy’s do-it-yourself energy audit on their website. Or you can call a contractor and request a professional audit.

Offering You National Home Advice You Won’t Find Anywhere Else

We hope you found this information helpful as a current home owner.

Please be sure to check back soon as we continue to provide you with useful and relevant real estate information!

More US Home Buyers Returning to Market Because of Easier Mortgage Rules, Stable Rates

US Home Buying 2More and more home buyers are returning to the US housing market because they’re noticing favorable market conditions.

Specifically, buyers are feeling more comfortable about navigating the market thanks to interest rate stabilization and easier mortgage rules, according to a recent article by Reuters.

This is fantastic news for the overall health of the housing market. After all, it suggests that the national real estate market is likely to become more stable over time.

Trends That US Home Buyers Should Be Aware Of

According to the recent Reuters article, new home builders D.R. Horton Inc and Toll Brothers Inc. are seeing jumps in home buyer demand.

And they’re not the only ones.

In fact, new home builders everywhere are reporting improved home buyer enthusiasm, which has been a great relief to many of the companies after an underwhelming spring home selling season.

And pre-owned home sales are also reflecting similar home buyer enthusiasm levels.

Here’s what else the national home buyer should know about recent trends on the housing market:

  • Interest rates decreased in October to their lowest levels since June 2013
  • In fact, these interest rates are still considered to be at historic lows.
  • The Dow Jones U.S. home construction index increased about 4 percent this year so far. And this increase came after the index already doubled between January 2012 and January 2014.
  • Meanwhile, new proposed rules will allow buyers to purchase homes with down payments as low as 3 percent.

The proposed rules are great news for first-time home buyers, who are a key part of any housing market recovery. In fact, some experts believe that the housing market recovery will speed up as soon as more first-time home buyers enter the market.

And a faster housing market recovery is good news for everyone!

Meanwhile, In Canada…

The real estate market conditions in Canada are looking just as encouraging, with Canadian resale home prices continuing to rise in October.

Prices were up 5.4 percent from a year earlier, which is right on par with September’s year-on-year gain.

What’s more, October marked the 11th month in a row that the index has increased. Still, it should be noted that prices rose in only five out of the 11 metropolitan markets surveyed.

Prices rose 1.2 percent in Vancouver and rose 0.5 percent in Calgary. Toronto saw prices decrease 0.2 percent.

Your Central Source for Housing Market News

Check back here soon for more valuable updates on the current state of the national housing market and how they may impact you as buyers and sellers.

We pride ourselves on offering you relevant and reliable information that will help you make the best real estate decision possible for you and your family!

US Home Sales Rose In September, Report Shows

US Home Selling 7U.S. homes sold at a faster rate in September than any other time this year, a recent report from the National Association of Realtors said.

Evidently, sales of existing homes increased 2.4 percent from the previous month to a seasonally adjusted annual rate of 5.17 million.

Experts are saying that this increase is a great sign that the housing market is picking up and moving past the slowdown that started in mid-2013.

More Encouraging Signs on the National Housing Market

The National Association of Realtors provided some additional information that helps paint a more complete picture of the current state of the housing market:

  • The sales rate has dropped 1.7 percent over the past 12 months.
  • First-time home buyers comprised about 29 percent of all sales. This is below the historic average of roughly 40 percent.
  • Median home prices increased 5.6 percent over the last 12 months to $209,700.
  • September sales increased in the South and West compared to the previous month.
  • Meanwhile, sales increased slightly in the Northeast and dropped in the Midwest.
  • Nationally, the share of purchases by investors decreased from 19 to 14 percent year-over-year.
  • The report projects that 4.94 million existing homes will be sold this year, down 3 percent from 5.09 million in 2013.
  • Generally speaking, real estate experts say 5.5 million existing home sales is a healthy market.
  • Meanwhile, housing starts increased 6.3 percent to a seasonally adjusted annual rate of 1.017 million homes, although much of that was new apartment buildings.
  • Apartment construction has jumped 30.3 percent over the past 12 months, almost three times the rate of growth for single-family houses.

Many Forces Are at Work to Create These Conditions, Analysts Said.

For instance, over the last year, fewer investors have entered the market. Luckily, their pullback has been offset by existing homeowners who are moving up to more expensive properties or downsizing as empty nesters.

Meanwhile, some would-be buyers have been kept out of the market because of rising prices through much of 2013, weak income growth and tighter credit standards.

Experts are now predicting that the worst of the housing market recession is over but that the economy and housing market will likely grow in fits and starts.

One development that might help with this growth is the fact that the federal regulator overseeing Fannie Mae and Freddie Mac is considering creating an option for lower down payments so more people can qualify for a mortgage.

And because the average 30-year fixed rate mortgage dropped below 4 percent recently, experts are expecting more buyers to enter the market.

In Fact, Many Signs Suggest Now Is a Great Time to Be A Buyer

For instance, online real estate brokerage Redfin said that only 44 percent of its offers in October faced bidding wars. This is down form a high of 75 percent in March 2013.

Meanwhile, more homes are expected to become available on the market thanks to many investors’ plans to sell for tax reasons at the end of the year.

So if you’ve been sitting on the fence about whether to invest in property, now is a great time to do so!

Your #1 Real Estate Resource

We believe that knowledge is power and so we work hard to provide you with the most accurate and up-to-date information on the national housing market. Hopefully you found today’s report helpful!

Check back here soon for more valuable insight on the recent trends on the national housing market and how they may impact your efforts as a buyer or seller!

Excellent News for Home Buyers: US Prices Stabilizing

Home Selling 6If you’ve been weighing whether now is the right time to enter the local housing market as a home buyer, we have some news to share with you that will help you decide.

According to a recent report from real estate data provider CoreLogic, U.S. home price gains are slowing down, despite an increase during the month of August.

This is great news for home buyers because it means that you have a fantastic opportunity to get a reasonable price on your next home before prices continue to rise!

What Every Home Buyer Should Know About Recent US Housing Market Activity

CoreLogic reported that home prices increased 6.4 percent in August when compared to last year.

Still, that figure is actually down slightly from the annual gain of 6.8 percent in July.

Here’s what else the recent housing market report revealed:

  • The increase in home prices is also down when compared to how much they had been rising toward the end of last year. During that time, prices were rising as much as 12 percent.
  • Home sales have been mostly stable throughout 2014, as have price gains.
  • All states showed home price gains during the month of August, save for Arkansas where prices were stagnate.
  • Home values rose 11.1 percent in Michigan, which led the pack. And values in California and Nevada came in second place with 9.2 percent.
  • In terms of specific cities, the Houston area saw home values increase 11.1 percent compared to the previous year. Los Angeles, Atlanta, Dallas and Riverside also saw large gains.
  • Home prices nationwide remain about 12.1 percent below their peak average in April 2006.
  • Home purchases decreased 1.8 percent to a seasonally adjusted annual rate of 5.05 million in August.
  • Home sales decreased from a July rate of 5.14 million.
  • Meanwhile, the pace of home sales dropped 5.3 percent year-over-year.
  • Experts say that an annual sales rate of 5.5 million is considered a healthy market.
  • Meanwhile, the median sales price has increased 4.8 percent over the last 12 months to $219,800, although that average dropped slightly during the month of August when compared to July and June.

Experts say that most of any uptick in sales activity (and thus, values) on the national housing market would depend on wage growth. That’s because wages are currently neck-in-neck with inflation, making it hard for home buyers to increase in buying power.

Still, there’s hope on the horizon:

Although hourly wages have only increased 2.3 percent over the last 12 months, there are signs that that activity will pick up in 2015.

Use Recent Activity on the National Housing Market to Your Advantage

As you can see, the market has stabilized itself enough where you could purchase a home and get a pretty good return on your investment as values eventually continue to rise.

So if you’re thinking about investing in real estate anytime soon, now is the time to do so!

And be sure to check back here soon as we continue to discuss with you important real estate trends that impact you!

US Real Estate Market Sees 6-Year Home Sales High

US Home SalesWe’re breaking records on the U.S. housing market!

Evidently, during the month of August, national home sales reached their highest levels in more than six years, according to a recent report from the Commerce Department.

This is incredible! That means that sales activity has returned to the levels it was pre-bubble burst. And this spells great success for anyone interested in listing their home on the market.

A Closer Look at US Home Data

According to Commerce Department figures, new home sales jumped 18 percent to a 504,000 annualized rate, which is the strongest it’s been since May 2008.

Not only that, but this rate is even higher than the highest forecast made by a Bloomberg survey of economists.

This one-month increase shattered a 22-year record. That’s because the last time the US housing market saw a one-month increase this big was 1992.

Here’s what else the Commerce Department revealed in its report:

  • Economists surveyed in the Bloomberg report said the pace would increase between 405,000 and 455,000.
  • The median forecast of 74 economists was that the pace would increase 430,000.
  • The median sales price of a new house increased 8 percent year over year in August, to $275,600
  • Home purchases increased in three of four U.S. regions. The West led the group with a 50 percent jump.
  • The housing inventory (given the current sales rate) dropped to 4.8 months from 5.6 months in July.
  • There were 203,000 new houses on the market at the end of August.
  • Existing home sales decreased 1.8 percent to a 5.05 million annual pace last month. This occurred after existing home sales reached a 10-month high of 5.14 million in July.
  • Housing starts decreased 14.4 percent to a 956,000 annualized rate. This occurred after July’s 1.12 million pace was the strongest it’s been since November 2007.

Canada Home Sales See Encouraging Numbers as Well

  • Canadian national home sales increased 1.8 percent from July to August.
  • Actual (not seasonally adjusted) activity were 2.1 percent above August 2013 levels.
  • The number of newly listed homes decreased 1.2 percent between July to August.
  • The MLS Home Price Index increased 5.3 percent in August when compared to last year.
  • The national average sale price also increased 5.3 percent in August when compared to last year.

Moving The US Real Estate Market Forward

Experts say that the housing market has been growing in fits and starts but that steady growth is what will be needed in the long-term to effectively stabilize the market.

Still, home sellers can be encouraged by these recent numbers as they do demonstrate that the market is headed in the right direction!

Check back here soon as we continue to watch the housing market, looking for trends that impact you as home buyers and sellers.

Report: Big Homes Are a Hot Trend on the National Real Estate Market

US Construction Big homes are a big deal on the national housing market, according to a recent article in USA Today.

Evidently, a growing number of home buyers are looking for larger homes to accommodate their every need and desire.

In fact, of the 569,000 homes built last year in the US, about 33 percent (or 188,000 homes) had three or more bathrooms. That’s the largest share since tracking of new construction homes started in 1987.

Meanwhile, 44 percent of last year’s total new homes (or 251,000 homes) featured four or more bedrooms – which is the largest share it’s been since 1973.

These homes also tend to come with a lot more amenities:

  • 53 percent of the homes built last year (301,000) had a patio
  • 63 percent (361,000) had a porch
  • And 22 percent (127,000) had a deck

It’s quite an interesting trend, especially given that at the same time, home ownership rates are remaining stable and the size of families and households is actually decreasing.

Let’s Take a Closer Look At This Recent U.S. Trend

Here are some recent real estate market statistics that will provide additional context on this trend:

  • The average square footage of new single-family homes in the United States jumped almost 57 percent to 2,598 in 2013, compared with 1,660 in 1973.
  • The Northeast boasts the second-highest average square footage, with that number jumping from 1,959 to 2,636 during that same time period. That’s an increase of 65 percent!
  • Meanwhile, the number of people actually living in these homes has continued to decrease. In fact, the average number of people per household in the US decreased from 3.01 in 1973 to 2.54 in 2013.
  • Specifically, families have decreased from 3.48 to 3.12 during that same time period.
  • As one might expect, bigger homes have caused a rise in the average sales price of new construction homes. In fact, that figure skyrocketed from $62,500 in 1978 to $324,000 in 2013.
  • The Northeast has the highest average sales price, which exploded from $63,000 in 1978 to $469,000 in 2013 – an increase of 646 percent.
  • Even within the short time frame of 2012 to 2013, sales prices still showed huge increases. For instance, the average sales price of newly built single-family homes jumped 20 percent – from $292,000 in 2012 to $324,000 in 2013.

Yet the income levels of individuals are not keeping pace with these bigger (and more expensive) homes. For instance, the median income in the US increased by 9 percent from 1978 to 2012 – from $56,975 to $62,241.

And the home ownership rate continued to decrease – from 65.4 percent during the fourth quarter of 2012 to 65.2 percent during the fourth quarter of 2013.

Experts say that those people in the higher income levels that are more active on the housing market. Maybe that’s why all-cash sales accounted for 42.7 percent of all U.S. residential property sales during the first quarter of 2014, up from 20 percent during the first quarter of 2011.

What Do You Make of This Recent Real Estate Trend?

We would love to hear your thoughts!

We certainly think that all of this market activity will have an overall positive impact on the U.S. real estate market.

For now, be sure to check back here soon for more valuable and up-to-date information that may impact you as a buyer or seller.

US Home Sales Outperform Real Estate Experts’ Previous Predictions

US Home Selling 2It’s always a good sign on the national housing market when sales activity is better than even the experts predicted!

And that’s exactly what happened recently when the latest market activity report was released by the National Association of Realtors in July.

Evidently, contracts to purchase previously-owned properties increased more than expected during the month of July, signaling that there truly is renewed momentum on the national housing market.

Let’s Take a Closer Look at The Numbers

According to a report from the National Association of Realtors, the pending home sales index increased 3.3 percent after a 1.3 percent decrease during the month of June.

That increase is much higher than previously expected. In fact, the median projection according to a Bloomberg survey of economists called for the index to increase about 0.5 percent. Specifically, estimates from 37 economists ranged from a decrease of 0.5 percent to an increase of 3 percent.

So why did the number of home sales do significantly better than previously predicted?

Experts credit the increase to a lot of factors, including:

  • Increased hiring
  • Rising property values
  • Historically low interest rates

Not only are these factors increasing home sales but they’re also encouraging builders to break more ground.

Other factors encouraging a more robust housing market include a gross domestic product that grew at a 4.2 percent pace during the second quarter as well as the fact that unemployment claims decreased to 298,000 last week.

Experts add that faster wage growth as well as easier access to credit would also help boost the local economy

More Housing Market Data That Will Help Provide Context

Still, not all of the news from the national housing market has been completely positive.

Here are some other highlights of the National Association of Realtors’ latest report:

  • Purchase contracts decreased 2.7 percent in the 12 months ending in July, which followed a 4.7 percent year-over-year decline in June.
  • July marked the 10th month of year-over-year declines
  • The pending sales index was 105.9 on a seasonally-adjusted basis.
  • Pending sales increased in three of four regions. Specifically, sales were up 6.2 percent in the Northeast, 4.2 percent in the South and 4 percent in the West. Purchase contracts decreased 0.4 percent in the Midwest.
  • Resales increased to a 5.15 million pace, which is the best they’ve been since September.
  • Construction also rebounded, with starts climbing 15.7 percent to a 1.09 million annualized rate
  • Meanwhile, contracts on new homes dropped unexpectedly during the month of July to a 412,000 annualized pace, which is the weakest it’s been since March.
  • The average rate for a 30-year, fixed mortgage was 4.10 percent in late August, down from 4.53 percent at the start of the year

Let’s Start Discussing Your Personal Real Estate Dream!s

Are you interested in listing your property soon and getting a great price for it? Or perhaps you want to find the home of your dreams but just don’t know where to start.

Regardless of what your real estate needs are, we’re here to help!

And please make sure to check back here next month as we continue to provide you with valuable information that will help you navigate the local housing market!

 

Report: Bigger is Better for National Home Buyers

US New Home ConstructionThe sluggish housing market over the last several years did not have an impact on Americans’ desire for bigger and fancier homes, according to a recent report from USA Today.

Evidently, demand continues to grow for these large estates, especially as the housing market across the nation improves.

This is a fascinating trend on the national housing market and one that is sure to impact both home buyers and sellers.

Americans Love to Own Large, Luxury Homes

The American Dream of owning a bigger and better home is still very much alive across the country.

In fact, as the recent USA Today article noted, many of today’s buyers still want a house that includes as many luxury amenities and features as they can think of – or at least afford.

This may include gourmet kitchens, deluxe bathrooms, spacious decks or screened-in porches.

While this is occurring, experts also note that homeownership rates have remained mostly stagnant. And income growth appears to be lagging behind the rising price of homes.

Meanwhile, the size of families and households continues to shrink, even though the houses themselves are getting bigger.

Experts say that this is because Americans still love the idea of owning a home that makes a statement about them, that demonstrates their status in society.

A Closer Look at This Housing Market Trend

Here is some relevant data on this housing market trend, based on US Census data:

  • The average square footage of newly built single-family homes in the U.S. jumped by nearly 57 percent, from 1,660 in 1973 to 2,598 square feet in 2013.
  • The Northeastern region of the country had the second-highest average square footage, which rose by 65 percent. Specifically, the square footage jumped from 1,959 to 2,636.
  • Meanwhile, the average number of people per household in the U.S. dropped from 3.01 in 1973 to 2.54 in 2013.
  • Specifically, families fell to 3.12 members from 3.48 during the same period of time.
  • As a result of the construction of larger homes, the average sales price of newly built single-family homes in the U.S. skyrocketed by 419 percent from $62,500 in 1978 to $324,500 in 2013.
  • Even if you consider inflation, that still quite a jump, experts say.
  • The Northeast is home to the highest average sales price, which increased by 646 percent from $63,000 in 1978 to $469,000 in 2013.
  • Between 2012 and 2013 alone, the average sales price of newly built single-family homes in the U.S. jumped by 20 percent: from $292,000 to $324,500.
  • Meanwhile, the U.S. homeownership rate continued to drop during the fourth quarter of 2013: from 65.4 during the fourth quarter of 2012 to 65.2 percent.

So What Do Home Owners Get With These Newly Built Homes?

A better question is: What don’t they get?

Here’s a breakdown of these new construction homes and what they offer to buyers:

  • Of the 569,000 homes built last year throughout the U.S., 188,000 (33 percent) contained three or more bathrooms.
  • Meanwhile, 251,000 (44 percent) of last year’s houses featured four or more bedrooms, which is the largest share since 1973..
  • Also, of the homes built last year, 301,000 (53 percent) came with a patio.
  • And 361,000 (63 percent) featured a porch.
  • Meanwhile 127,000 (22 percent) included a deck.
  • Another trend that experts are seeing is more finished basements for added space, according to the report.
  • These homes have mostly hovered around one and two stories, however, despite the increase in size. In fact, 233,000 (41 percent) of newly built homes last year were one story and 305,000 (54 percent) were two stories. Meanwhile, only 31,000 (5 percent) were three stories or more.

Follow Our Blog for More Valuable National Real Estate Data

Check back here soon for more pertinent information on the housing market and how it may impact you as a buyer or seller.

We’ve made it our goal to help you stay informed as you navigate the market. After all, the better informed you are, the better prepared you are for securing a successful outcome on the housing market.

Home Improvements That Pay Off When Selling Your Home

Home RemodelingNot all home remodeling projects are created equal – especially when you’re trying to get the biggest bang for your buck when it comes time to sell your property.

So before you spend thousands of dollars on that home remodeling project you’ve been dreaming about, make sure that you’re armed with the facts first.

Today, we’re going to tell you which of the most common home renovation projects are worth the investment, and which ones you’re better off doing without. The answers may surprise you.

Roofs and New Siding: Not Very Glamorous but Quite Impactful

Remodeling Magazine reports that you’re more likely to recoup your investment on such features as your roof or your siding than you are on bathroom or kitchen remodels.

In fact, siding replacement recouped 92.8 percent of its investment while roof replacements recouped 90 percent or more at resale.

Roof replacement appears to be most important to buyers in the east, with home owners recouping an average 96.3 percent of the cost. In the Midwest, that average return was around 71.1 percent.

That’s because home buyers care more about the overall structure of the home than they do about an aesthetically pleasing kitchen.

What’s more, a recently replaced roof or new siding tells buyers that their maintenance costs are going to be low to non-existent for the first few years. And it’s impossible to understate how important that is to buyers.

Kitchens: A Sound Investment or Not?

The consensus is unanimous: Kitchen remodels are an excellent way to spend your home renovation dollars – but only if you don’t spend too much out the gate.

In fact, minor kitchen remodels (in the ballpark of $15,000 or less) returned 92.9 percent of the investment. That number dropped off on bigger remodeling projects in the kitchen.

Some features to focus on in the kitchen include all wood cabinets, commercial-looking appliances, stone floors and stone counter tops.

How About Bathrooms?

Bathrooms are also a fantastic place to invest your home remodeling dollars. Often, home owners are pleasantly surprised to discover that they get a 100 percent plus return on their investment.

For instance, a $9,400 bathroom remodel in Baltimore recently recouped 182 percent of its cost at resale.

Some features that you may want to focus on during a bathroom remodel include floor-to-ceiling steam showers and walk-in showers.

And if you only have one bathroom in your home, spend your money on adding a second bathroom instead of remodeling the only bathroom you have.

Don’t Forget To Consider Your Home’s Curb Appeal!

People often focus their remodeling dollars on the inside of the home but the exterior is just as important – if not more so.

After all, a potential home buyer will form an opinion about your home before they ever step foot inside.

Perhaps that’s why adding siding is such a sound investment when you look at the return you could get at resale.

Another way to make sure your home has adequate curb appeal is by adding a front porch or other architectural features to make your home more inviting.

Give Buyers Extra Room to Grow

Finally, consider adding another room to your home during a remodeling project.

We’ve already talked about the benefits of adding a bathroom. But the same principles hold true for other room additions as well.

In fact, for every 1,000 square feet added to a home, your sales price will increase by more than 30 percent, according a 2005 National Association of Realtors study.

One caveat to this rule: Don’t add so much extra space that your home becomes the most expensive home in the neighborhood. That’s a sure way to turn off home buyers.

Just a Few More General Notes About Home Remodels

RS1551_shutterstock_983846-lprRegardless of what type of project you select, remember that the following factors will also help determine your return on investment:

  • The Value of Your Home
  • The Value of the Homes in Your Neighborhood
  • The Housing Market You’re Located In
  • How Soon You Sell Your Home After the Home Improvement Project
  • The Quality of the Home Improvement Project

Your #1 Resource for Real Estate Trends and News

Hopefully you learned something today about home remodeling projects and how much they really benefit you as a prospective home seller.

Make sure to follow our blog to receive the latest updates on real estate trends like these and how they may impact you.

Have a great day!