Did you know that renovating your home can add value to your property? When you upgrade your home with renovations that make sense with the demographics of your neighborhood, you not only increase the value of your home but also attract better buyers.
Regardless of whether you already have extra square footage you wish to utilize, or you want to add more square footage to your home, the home renovation ideas are endless.
If you want to know more about the impact of the square footage of your home and what projects you can do to increase the value of your home, then you came to the right place. In this brief guide, we will discuss the impact of the square footage of your home and who you can reach out to for more help!
Learn More About the Local Market
Before you start to do any home renovations, you will want to learn more about your home and the local market conditions. Many homeowners assume that everyone will love the renovations done on the house, but that is not true. Some homebuyers are very picky about how the home looks and the square footage of your home.
Other considerations to take:
- The neighborhood you live in
- How close your home is to shopping centers and hospitals
- The school district you live in
- Number of rooms in the house
- Home's curb appeal
- Safety of your neighborhood
When trying to figure out your home value, you will also need to prepare to hear about the particular characteristics of your home that negatively affect the value. Once you know about these characteristics, you can then work on them to improve your home value.
Home Renovations to Consider
When increasing the square footage of your home for a renovation project, you will want to make sure the renovation makes sense. Adding square footage makes the home bigger and can add value, but not if the room does not make sense in the house.
For example, if you already have a decent-sized dining room and you wish to add square footage to that area of your home, someone may not see that as helpful. If you use additional square footage to create an entry room or sunroom addition, that may make more sense to a family looking to purchase your home.
Other projects to consider:
- Walk-in closet
- Additional half baths
- Home office
- Game room
- Home theatre
- Small room for a young child
As mentioned above, you will want to make sure that you conduct market research before you do any renovations. If you live in an area with a great school district, people with children will most likely want to move into your neighborhood.
You can appeal to them by adding more space for their children and their storage needs. If you are unsure of your market conditions, you can always partner with a reputable agent to help with that.
How Can You Add Square Footage?
There are different types of additions you can add to increase the square footage of your home. For example, you can use a bump-out addition or a second floor addition to increase the value of your home.
Bump Out Addition
A bump-out addition is when you take a portion of your floor plan that you want to add more square footage to and expand outward or "bump." This allows you to add a spare bedroom, bonus room, sunroom or screened in porch.
You can do a bump-out on the first or second story of your home. You will want to keep in mind that these home additions are typically added to the back.
There are local building codes that may prevent you from building in the front of your home. Of course, make sure that you reach out to your local department about building codes.
Second Floor Addition
If you cannot build outward, then you have the option to build upwards. With this option, you can add more space to your home while still sticking to your home's original footprint.
You can add a second story on top of your home to give you more room for additional bedrooms or an in-law suite. In-law suites significantly increase the value of your home, especially if you have a homebuyer with in-laws who live with them or will eventually live with them.
How to Calculate the Price per Square Foot
Once you decide what type of project you wish to embark on to increase your square footage, you probably wonder how it affects the price per square foot. The cost of your home is typically divided by its square footage.
For example, the price per square foot for a house priced at $400,000 with 2,000 square feet would be about $200.
Even though increasing the square footage of a home may increase the value of your home, it is not the only factor determining the overall cost of your home. Calculating the square footage of your home can be a great starting point.
Other factors that influence your home's value:
- Age of the house
- The home's current condition
- If the house needs repairs
The price per square foot is only one part of the giant pricing puzzle. As mentioned earlier, the neighborhood you live in and other market factors can determine the value of your home.
Other Improvements That Increase Home Value
Home value is almost always a topic of conversation when exploring the idea of increasing the square footage of your home. These types of projects tend to be expensive, so you will want to ensure that you get a return on your investment. There are other projects you can deploy in addition to adding square footage to your home.
Other projects to consider to add home value:
- Improving your curb appeal
- Lighting improvements such as windows
- Energy-efficient improvements such as solar panels
- Kitchen expansion
Again, you will want to make sure that your improvements make sense to the neighborhood you live in.
How to Price Your Home
Pricing a home can be tricky if you are unsure of what you are doing. As mentioned earlier, you will want to look into the market conditions. This means looking at comparable properties in your area that recently sold.
You can compare homes that are similar to yours to determine the worth of your home. When comparing, try to stay within specific parameters identical to your house.
For example, compare homes with the same number of bedrooms, bathrooms, and square footage of your house. Keep in mind that even if a home similar to yours recently sold for a specific amount, that does not mean that the amount it sold for will equate to the value of your home.
Consider the Season
It is important to note that the time of the year that you decide to sell your home may also impact the sale price of your house. The location of your house also plays a factor in the sale price.
For example, if someone wants to purchase a vacation home in Florida, they may wish to purchase during the wintertime when the market is not as busy as it would be in the spring or summer.
If your home is located north, where the colder, snowier weather makes it harder to move around, people may be unmotivated to look at your listing. Your house's value may fluctuate based on what it is listed because the demand is greater at specific points of the year.
Hire a Professional
Sometimes depending on an online calculator, comparing your home to other listings sold or measuring your square footage to determine the price of your home can become overwhelming. To get a better idea of how much your home is worth, you will want to reach out to a professional to come to assess the property.
A reputable real estate agent can also help provide you with better insight into the value of your home. Make sure that you partner with a real estate agent who has sold homes in your neighborhood. They will have a plethora of information you can use to improve your home's value.
Increase Your Home Value Today!
There is no question that square footage plays an essential factor in the value of your home. The location of your home and the characteristics of your home can also make or break a deal.
Whether you are in the market for selling or buying a home, a professional real estate agent can help you figure out the home's actual value. If you are ready to have your property appropriately evaluated, contact us now for a free evaluation!