If you have the funds to perform improvements on your home, you want to also consider the long-term payback in terms of increase in value and payback when you sell. So, what improvements get you the best return?
Adding Square Footage – although a quite significant project both in time and money, this can return between 50-83% of the initial investment.
A Deck – adding this brings more use and appeal to the outdoor space, and can return between 65-90% of initial investment.
Kitchen Re-Model – there is a sweet spot here, extremely niche styles with million dollar price tags don’t return. However, quality timeless appliances and finishes can get you a return between 50-120% of initial investment.
A New Bathroom – adding a bathroom, especially to a one bathroom home (typically older homes have a shortage of bathrooms) can return 80-130% of initial investment.
The most important thing to consider is who your future potential buyers may be. Make improvement that will be generally seen as increasing the appeal and livability of the home.