How Much Will You Get Back from Renovation Projects when Selling Your Home?

Appraisal Institute of Canada surveys its members and compiles a list of renovations that yield the best return on investment. Year after year, three most frequent renovation improvements undertaken by homeowners, which provide the highest payback potential are:

1. Bathroom Renovation
2. Kitchen Renovation
3. Painting - Interior/Exterior

Care should be taken not to overly personalize the renovations and adversely affect the property's function or market appeal. Be particularly careful when renovating if the property is in the upper range of value for the area and involves a large capital outlay.

Projected average payback value ranges for the twenty most frequent renovation projects are:

• Bathroom renovation (75-100%)
• Kitchen renovation (75-100%)
• Interior painting (50-100%)
• Exterior painting (50-100%)
• Roof shingle replacement (50-80%)
• Furnace/heating system (50-80%)
• Basement renovation (50-75%)
• Recreation room addition (50-75%)
• Installing a fireplace (50-75%)
• Flooring (50-75%)
• Constructing a garage (50-75%)
• Window/door replacement (50-75%)
• Building a deck (50-75%)
• Central air conditioning (25-75%)
• Landscaping (25-50%)
• Interlocking paving (25-50%)
• Building a fence (25-50%)
• Asphalt paving (20-50%)
• Adding a swimming pool (10-40%)
• Installing a skylight (0-25%)

Renovating is a complex area and every situation has to be looked at individually. If you are thinking about selling your house and are concerned about how your renovation plans will affect the resale value of your home, call me at 905-731-2000 to arrange a free consultation.