People often ask me "Would it be wiser to redo the bathroom or put on a deck?" When it comes to home improvements, buyers are like the weather. What's hot today may cool down in a few months.
According to Remodeling Magazine (courtesy of bankrate.com), here are six home improvements that won't yield you a favorable return on investment:
Home Office Renovation. Nationally, homeowners spent an average of $28,888 and can expect to recoup about 45.8 percent at resale, according to the report. It's suggested to opt for something that can be easily converted back into a bedroom or den for (or by) the next buyer. When selling, call it a study, den or hobby room rather than lock yourself into that one use.
Sunroom Addition. While home buyers want space to spread out, an addition is most definitely one of the more expensive projects. The national average for a sun room addition is $75,224, according to the report. Homeowners can expect to recoup about 48.6 percent when they sell.
Upscale Master Suite Addition. For a super-deluxe master suite addition -- which adds square footage and uses only top-dollar materials -- the average cost is about $232,062. In years past, this project was sort of a "staycation." According to Remodeling Magazine's report, sellers can expect to recover about 52.7 percent at resale.
Back Up Power Generator. Potential buyers hailing from outside your local area may not share in your enthusiasm in having a backup generator. On average, when homeowners have a heavy-duty backup power generator installed, they spend about $14,718. Go with a slightly less expensive model or have a less complicated installation to cut the cost. Average amount of the price recovered at resale time: 48.5 percent.