Bathroom Addition

Homeowners Showing Serious Inclinations Towards Renovations

Homeowners Showing Serious Inclinations Towards Renovations

“I LOVE MOVING” …said no one ever. While the excitement that comes with making a new house your own and the enjoyment of that “new house smell” are both powerful forces, there is a growing trend in home ownership that points in a very different direction. More and more homeowners in the U.S. are making the choice to simply stay put in their current homes and RENOVATE. As a matter of fact, according to the most recent Zillow® Housing Aspirations Report, a whopping 76% of homeowners would rather spend their money on a home renovation than as a down payment on a new home. Those statistics jump to 86% for homeowners who are 55+ and to 91% for retirees.

But why stay put when there could be a bright and shiny new home in your future? In addition to a clear dislike of the hassle of moving, the 2018 Zillow Group Report on Consumer Housing Trends indicates that 83% of homeowners surveyed simply love their current home. Furthermore, 63% have no plans of selling in the near future. For those who DO plan to move at some point, a well-planned and beautifully executed renovation is a terrific way to make their home more enjoyable in the present and more attractive to buyers in the future.

As far as the need for renovations go, the 2018 Zillow Group Report on Consumer Housing Trends also indicates that – with the average homeowner spending 16 years in their home – 60% believe their homes are in need of some updates. After all, styles change – as often do the taste levels of owners as they mature over the course of more than a decade and a half. As a matter of fact, 16% believe major renovations are in order and 4% feel a complete overhaul is needed. Of those homeowners who opt to renovate, 17 percent spend between $5,000 and $10,000; 11 percent spend between $10,000 and $20,000; and 8 percent spend $20,000 or more.

With the vast majority of homeowners paying cash for their home renovations – to the tune of 45% – return on investment is a very important factor. Remodeling Magazine’s annual Cost vs. Value report outlines which home renovations will yield the best returns in 2019. Included among them are garage door replacement (recoup 97.5% of cost), manufactured stone veneer (recoup 94.9% of cost), minor kitchen remodel of about $22K (recoup 80.5% of cost), wood deck addition and siding replacement come in neck and neck (recoup 75.6% of cost), entry door replacement (recoup 74.9% of cost), window replacement (recoup 73.4% of cost), roofing replacement (recoup 68.2% of cost) and minor bathroom remodel of about $20K (recoup 67.2% of cost). Also on the list for recouping between 50-67% of the cost on average are major kitchen remodel, bathroom addition, major bathroom remodel, backyard patio and master suite addition.

In addition to being one of Atlanta’s premier custom home builders, Highlight Homes has a rich history of designing and realizing stunning luxury renovations. And with our solid background in architecture and structural engineering, we could virtually reimagine the layout of your home to fit your vision. If you’re among the 76% of homeowners who would opt for a home renovation above a down payment on a new home, we welcome the chance to talk to you! To schedule a no-obligation consultation, contact us at 678-874-9234 or info@highlighthomesga.com. You can also elect to complete our convenient online contact form. To view our work and learn more about our other capabilities, we encourage you to visit www.highlighthomes.com.

Sources: Zillow Media Room – Press Release “Americans Would Rather Renovate than Buy a New Home
2018 Zillow Group Report on Consumer Housing Trends
Remodeling Magazine's annual Cost vs. Value report

To Renovate or Not to Renovate – That’s Not the Only Question

To Renovate or Not to Renovate – That’s Not the Only Question

To Renovate or Not to Renovate?  It’s a question countless homeowners have asked themselves over the years. Another question they ask themselves… WHICH space(s) should I renovate? In terms of older homes, all of the living spaces can begin to seem really outdated right around the same time. So, depending on your motivation to renovate – such as an upcoming move or a desire to add more space for a growing family – there are ways to determine the best renovations to pursue to fit your family’s needs and budget.

 

In May 2018, the National Association of Home Builders (NAHB) released figures for Improvements to Owner-Occupied Homes 2018 estimates by state – also known as renovations. In the state of Georgia alone, out of 2,370,584 owner-occupied homes, more than 680K were estimated to undergo improvements. That’s more than a quarter of all owner-occupied homes in the Peach State. The average cost was estimated to be $8,007/improvement. The total amount spent on renovations in the state of Georgia for 2018 was estimated to be 5,456,000,000. So, what do all of these numbers mean…? It means that home renovations are still a very viable way to increase the value and personal enjoyment of one’s home.

 

If renovating for personal enjoyment, you must weigh your options, determine a budget and decide the best changes to incorporate to fit the collective needs, tastes and personality of your family. If renovating to prep a home for resale, it’s wise to select those updates based on return-on-investment. According to the 2018 Remodeling Cost vs. Value Report for Atlanta, Georgia (www.costvsvalue.com), the top five performing projects with regard to costs recouped are:

  1. Garage Door Replacement – Cost recouped 110%
  2. Manufactured Stone Veneer – Cost recouped 109.8%
  3. Minor Kitchen Remodel (average job cost $21,230) – Cost recouped 91.6%
  4. Wood Deck Addition – Cost recouped 87.7%
  5. Siding Replacement – Cost recouped 87.2 %

Following closely behind are Upscale Grand Entrance, Composite Deck Addition, Universal Design Bathroom, Vinyl Window Replacement, Roofing Replacement, Wood Window Replacement, Bathroom Remodel (midrange), Major Kitchen Remodel (upscale), Entry Door Replacement, Master Suite Addition, Bathroom Addition (upscale), Bathroom Addition (midrange) and Bathroom Remodel (upscale) – all offering anywhere from 63.1% to 80% cost recouped.

 

Another question many homeowners ask themselves is WHO should I get to help me with my home renovation project. Whether seeking the best return-on-investment from a real estate standpoint or selecting more “fun” remodeling investments – such as the incorporation of a sprawling home theater with connecting game room, outdoor living space with swimming pool and fireplace, in-law suite with kitchen above a detached garage, finished basement with a full bar and additional bedroom(s) and so much more – Highlight Homes welcomes the chance to help you make it happen. To schedule a no obligation consultation regarding your upcoming remodeling project, contact us at 678-874-9234 or info@highlighthomesga.com. You can also elect to complete our convenient online contact form. To view our work and learn more about our other capabilities (we are one of Atlanta’s premier custom home builders!), we encourage you to visit www.highlighthomes.com.

 

Sources: NAHB – Improvements to Owner-Occupied Homes 2018 estimates by state

Remodeling Cost vs. Value Report 2018 © 2018 Hanley Wood Media Inc. Complete data from the Remodeling 2018 Cost vs. Value Report can be downloaded free at www.costvsvalue.com.