Home prices in Pensacola, FL, increased by more than 27% between August 2021 and August 2022, and most experts believe housing market prices will only continue to rise. If your current home no longer meets your needs, you can buy a new one or pay for a home remodel. But which is the best choice? Read on to learn more about how renovations can increase home value and why Pensacola housing market conditions may make now the perfect time to renovate.
Are Home Renovations Worth It?
Remodeling a home means investing money and dealing with the inconveniences of having ongoing construction in your primary residence. However, Pensacola home renovations are often worth it. Updating one room or opting for a complete home renovation can increase the value of your home, so you can make more if you decide to sell it in the future. In the meantime, you can enjoy a living environment that better fits your lifestyle, preferences, and current style trends.
How Much Does a Home Renovation Cost?
The average cost of a complete home renovation depends on the size and condition of your home and how dramatic the changes are. When it comes to specific types of home renovations, Pensacola price trends are as follows:
- Minor kitchen remodel: $21,899
- Major kitchen remodel: $62,663 to $124,794
- Bathroom remodel: $18,555 to $59,652
- Master suite addition: $245,041
- Bathroom addition: $42,353
- Deck addition: $12,122
Is It Better To Buy a New Home or Renovate?
When deciding whether to buy a new home or renovate, consider
- Cost: With housing prices soaring, renovating your home may be more cost-effective. You will need to pay more upfront to renovate, but moving can lead to more future costs.
- Market conditions: When housing prices are high, renovating may be the better solution. You can improve your home to increase its future selling price and buy later when housing prices fall.
- Your lifestyle: What’s going on in your life should also contribute to your decision to move or renovate. You may not want to completely uproot your family if you have kids in school or have little free time due to work commitments. If you’re saving for a major purchase like your child’s college education, moving may be the better option because you will have fewer immediate costs.
What Renovations Increase Home Value the Most?
When considering how home renovations affect value, you need to compare the costs of the remodel versus how much of an impact the change will have on your home’s selling price. No remodeling project will lead to a dollar-for-dollar increase in selling price. However, some projects allow you to recoup more money you spent when you sell than others. If you’re trying to determine how to increase the value of your home, the following renovations are the ones that typically allow homeowners to recoup the most money:
- Deck addition
- Garage door replacements
- Siding replacements
- Window replacements
If your kitchen or bathroom is outdated, these projects may also make your home more appealing to buyers. However, you’ll likely recoup less of the cost of the renovations when you sell.
Remember that return on investment or (ROI) isn’t just determined by how much renovations increase Pensacola home values. Renovating can also make your home more efficient, saving energy costs. In addition, changing a house that no longer works for you can improve your life in ways that don’t have a monetary value attached.
As you consider projects, factor in how your quality of life will improve after renovations are complete. For example, replacing the siding may make your home more attractive and valuable, but it might not benefit you as much as adding another bathroom that allows your family to get ready for the day more efficiently.
Getting Started With Home Renovations
To get the best possible price on your home renovation project, start by obtaining quotes from two or more home renovation contractors in Pensacola, FL. Keep in mind that cost shouldn’t be the only consideration when choosing a contractor. Check out online reviews and ask for references from satisfied customers. Consider the years of experience that the contractors have creating custom home designs for remodeling projects. Be sure to ask questions about their knowledge of green modeling, as making your newly renovated home more eco-friendly could lead to big savings in the cost of your utilities in the months and years to come.
