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HOW HOME IMPROVEMENT CAN BE A GREAT INVESTMENT FOR YOUR FUTURE

Unless you are living in your “forever” home, you are likely considering selling your house at
some point in the future, as you move closer to obtaining your dream home. Home
improvement projects, if done smartly and with some forethought, can significantly increase
the value of your home, giving you a great return on your investment.

Let’s talk about this “return on your investment”, often called ROI, for a minute. Here’s an
example: if you spend $10,000 on a kitchen remodel, and this improvement increases your
home’s value $8000, your ROI is 80%, which would be considered very good.

What are the factors that affect ROI? There are several things to consider when thinking about
which home improvement projects will give you the biggest ROI:
• Location: State, towns and even neighborhoods vary, and you will need to assess how
desirable your area is. In less desirable places to live, it’s easier to over-remodel and not get a
great ROI.
• Current real estate market conditions: Again, this is something you will have to scope out –
what’s the selling climate for where you live? Are people buying homes there? Is there a
housing shortage or a housing glut?
• How long will you be staying in your home after the renovation? If you’re going to be there
for a while, your renovation might wear out or get outdated.
• Well done renovations will bring you better returns.

What are the best home improvement projects for a great ROI?

Kitchen remodels: A major kitchen remodel, where you are removing walls, installing all new
cabinetry, new countertops, new appliances etc. will be very expensive. If you plan to stay in
this home and can afford it, this is a very exciting venture. But a minor renovation will give the
best ROI, up to 80%. Doing improvements like fresh paint, new appliances, cabinet refacing, a
new backsplash, replacing the hardware with something more updated – these changes will not
break the bank and will give you a brand-new kitchen.

Bathroom remodels: The same idea applies to bathroom updates. Replacing outdated fixtures
and lighting, re-grouting the tub, fresh paint, perhaps a new vanity will do wonders to improve
your bathroom without costing a fortune.

Making your home more energy efficient: Installing energy efficient windows, upgrading the
insulation, adding solar panels – potential buyers like these features, and you will benefit from
them too, lowering your utilities bill.

Enhancing outdoor living spaces: Living here in SoCal, we get to enjoy beautiful weather for a
large part of the year. Having a simple deck, with a few planters and furniture, can really add to
the appeal of your home.

Curb appeal: Again, you don’t have to do anything dramatic. Refreshing your lawn or
landscaping if it needs it, applying a fresh coat of exterior paint and a new front door can do
wonders for the curb appeal of your home.

Where do I start?

• Get an actual appraisal of your home to determine its current value. Minimally, research the
comparable homes in your area to see what they are generally selling for. This will give you an
idea of what your home is worth.
• Go through your home with a critical eye; make an assessment of needed repairs and/or
updates.
• With an understanding of your home’s value in your neighborhood, come up with a plan that
will greatly improve your home without over-remodeling.

How can RWT Design & Construction help?

RWT Design & Construction has been in business since 1989 and has years of experience in all
types of quality design and building projects, ranging from simple to extremely complex
construction work, serving many satisfied customers throughout Southern California. We will
provide you with quality designs, professional workmanship and impeccable, reliable service.
Contact RWT Design & Construction at 818-841-8600 to find out how we can help you build
your dream!