How to add value with a home renovation
The continuing rise in property prices has also fuelled a sharp increase in homeowners extending their properties with a view to adding value. In the year to June 2017, 197,000 people in England obtained planning permission to improve their homes, with a further 23,700 adding extensions under permitted development rights1. The figures suggest that, on average, one homeowner was extending or improving their property for every five who were buying a home.
How much value you can add by updating the kitchen, the bathroom or adding another bedroom, will of course, depend on a variety of factors, including the type and location of the property. Research by a major insurance broker2 shows that converting a single garage into a room could add as much as 20% to your home’s value, and building a loft extension could add around 15%.
A conservatory provides extra space, although it will restrict the size of the garden. Unlike an extension, it won’t usually require planning permission as long as it doesn’t cover more than half the area of the land occupied by the original house (your local council planning department can advise). Having one could add around 7% in value.
Basement digs have also become popular over the last few years. However, they are usually only undertaken where house prices are so high that the value they add covers the cost of the work.
AFFORDABLE WAYS TO ADD BUYER APPEAL
Even simple make-overs, like painting and decorating the exterior and tidying the garden, could result in a 10% rise in value.
If you don’t have the budget to completely renovate your kitchen, replacing the worktops, cupboard doors and flooring can make it more attractive to buyers. In the bathroom, a new suite can make a big difference, but if funds are tight, simply replacing taps, painting walls and cleaning the tiles can improve its appeal.
1 Savills, 2017
2 Towergate Insurance, 2017