In light of today’s economy, one would think increasing a home’s value would be priority number one with homeowners. It seems that is not the case. Homeowners prefer to improve their homes through remodeling or decorating to benefit first and foremost themselves. Even with current Knoxville real estate prices and sales climbing, and the attractiveness of selling magnified, spending money on increasing a home’s value is taking a back seat. Troy Stavros, Broker and Partner with the 865 Real Estate team at Gables & Gates, REALTORS said, “As a REALTOR, I can’t help but think about how any remodeling project will effect a home’s resale value, but that is because I don’t live there. We have to remember that a home is where people live, every day. It is a major part of their family life and oftentimes work life. The investment aspect is typically toward the bottom of the list.”
Houzz.com, a web site and online community focused on interior design, decorating, and home improvement, recently completed a survey that confirms what homeowners are thinking. Among homeowners planning to build, remodel, or decorate in the next two years, 86% cited improving the look and feel of the space as an important driver for the projects. Only 47% cited increasing resale value as a reason for the improvements. The survey also stated that these priorities were consistent across all income levels and demographic groups.
Stavros stated, “The good news is that, according to the survey results, the projects being completed often align with those that naturally increase a home’s resale value. The most popular renovations being Kitchens and Bathrooms. More good news from the survey was that it showed 70% of the respondents paying cash for the projects. There is no better way to increase the value of your Knoxville real estate than sweat equity. Do what you can yourself. What you can’t do yourself, save up and hire a professional.”
When a buyer is searching Knoxville homes for sale, those updates to the Kitchens and Bathrooms can be what sets one home apart from the next. The 865 Real Estate team believes that making your home special for yourself, will often be the tipping point for making it special for a buyer. Their advice is to enjoy the home. Make it personal. It is a home first and investment second.