Perhaps you are considering making some significant changes in your home.  Ultimately, these changes will affect the home's resale value.  Sometimes doing your pre-sale homework will pay quite well when you are considering the size and scope of these changes.  Much of the time, adding bathrooms or bedrooms or family rooms is a good idea--IF it pays you back financially.  That is the key to a successful plan. Your homework should be to find out how much value your additions will-or will not-add to your home at resale time. 

It makes sense to add another room to your Berkeley hills home if your family has outgrown the present one.  If you are all crowding into one bathroom, or are sharing a super small kitchen, the time has come to consider more space. However, if growth is not an issue, and you are just hoping to increase the value of your home at resale time, it is worth the time to study just how much is too much in your growth plans. Here are some tips about growth vs. profit in upgrading:

a. Don't Limit Your Rooms To One Use Only--Perhaps you really need office space.  Because it is less expensive than building an office, you take over a bedroom and install shelving, cabinets, desks, etc..  This could be a problem to potential buyers, because they may want to have that bedroom, and may not want or need an office. The result is you have ultimately lowered the value of your home by limiting the room's usability.

b. Consider a Broad Appeal When Upgrading Your Kitchen:  While granite counter tops and stainless steel appliances are desirable in many areas, do some research to see if that is true in your area.  Look at the homes for sale on my website.  Check and compare the prices in your neighborhood, and see if the cost to put in high end cabinets, ranges and appliances will translate into profit for you vs.the cost to install them, This is especially if you are planning to sell soon.

c. Don't Create Rooms Where None Should Exist: In an attempt to squeeze more space, many homeowners create little mini rooms out of odd spaces in the basement or attic. Most of the time, it doesn't work, it looks strange, and destroys the flow of the house.  It is especially important not to do these things without legal permits from your city, because it will create all kinds of problems that will need solving during the future sale process.

In summary, just view any changes that you need to make with an eye towards current use and future resale value, and you will have covered both essential areas for growth, both physically and financially. 

Posted by Bruce Wagg on


Email Send a link to post via Email

Leave A Comment

Please note that your email address is kept private upon posting.