If you’ve been trying to sell your home, or you’re looking for a change, then a renovation to increase the value of your home can be a smart investment. People who own older style homes, or are in a rundown part of the inner city can reap many benefits to a renovation done well, whether you are looking to sell or just want to enjoy your surroundings.
High spend on renovations in Perth
Spending on renovations in Perth has boomed in the last year, with ABS figures showing that the value of building approvals on home renovations in the western suburbs and inner city areas of Perth totaled $121.1 million last financial year. This represented 29% or nearly one in every three dollars committed to home renovations in Perth.
This high spend on renovations of late has been spurred on by the increasing age of some properties and in addition, some property owners who have had difficulty selling their existing home to upgrade, have decided to renovate during the last financial year.
For those out there thinking of renovating, make sure you focus on improving highly visible areas around their home that with impress future home buyers; something that will enhance the look of the property from the street – curb appeal will draw in the drive-by shoppers. Just be careful of over-capitalising your work, as the idea is to increase the value of your home so that you can make a return on investment should you sell. In the current market, one danger with home renovations is that the home owner can spend thousands of dollars improving their home only to find that when they sell their property, they cannot recover the money they spent
Tips For Homeowners
- For ideas on kitchen and bathroom renovations, look around a few different kitchen and bathroom display centres or even display homes as the designers will have put together a modern design that you can sometimes not feel from photos.
- For curb appeal, if the existing home has dark brown bricks and old guttering then consider rendering the bricks and replacing the guttering. Also, if you invest some money in better landscaping this in turn will also improve the street appeal of the property.
- A growing trend is having an outdoor entertaining area, a trend which is highlighted by the large number of project home builders in Western Australia who are now promoting alfresco areas as part of the new home package.
- Check that your builder belongs to a professional building organization such as the Housing Industry Association of Western Australia.
Lastly, don’t forget to check with your local council for building approvals! You don’t want your renovation to be held up when the market booms again.