Improvements can pay for themselves

Sun., March 18, 2007

The Spokane Association of REALTORS®

Remodeling your home can be pricey. However, if you take a good look you may get some very interesting information from Remodeling magazine’s annual report that compares construction costs with resale values for 25 common remodeling projects in 60 US markets.

Prices for most remodeling projects continue to climb, while the recoup value of improvements at resale is declining to levels last seen in 2002. The survey covers the average costs for additions, remodels and replacements. The findings are from the 19th Annual Cost vs. Value Report — the eighth prepared in cooperation with REALTOR® Magazine.

Understanding payback — Payback value depends heavily on the real estate market and prevailing property values. If the market is slow, expect to see less payback than you would in a fast market. Other factors are neighborhoods: if you remodel your house to twice the size of other homes on the block, it is unlikely you would be able sell for twice your cost.

Here are some of the 2006 National Averages:

“A bathroom project had an average project cost of $28,918 and the average cost recouped was 74.9%.

“Cost of housing decks was $14,728 with an average cost recouped at 76.8%.

“An addition of a second story ran $105,297%. The average cost recouped was 83.2%.

“Average cost of remodel of an attic bedroom was $44,073 with an average cost recouped of 79.9%.

“A basement remodel averaged $56,724 and the average cost recouped of 78.8%.

“Minor kitchen improvements averaged $17,928 with an average cost recouped at 85.2%. Major kitchen improvements were at $54,241 with an average cost recouped of 80.4%.

“Roof replacement cost averaged $14,276. The average cost recouped was an average of 73.9%.

“New vinyl siding for the house on average cost $9,134 with an average recouped cost of 87.2%.

So there is really a payback in keeping your home in good condition.

Local journalism is essential.

Give directly to The Spokesman-Review's Northwest Passages community forums series -- which helps to offset the costs of several reporter and editor positions at the newspaper -- by using the easy options below. Gifts processed in this system are tax deductible.

Meet Our Journalists

Jesse Tinsley

Meet Jesse Tinsley. As a certified drone pilot, this veteran Spokesman-Review photographer often can be seen capturing beautiful aerial photographs of our region. Sometimes though, the job requires getting down with the dogs.
Jim Meehan

Jim Meehan is no stranger to Zag Nation. As the lead writer covering the Gonzaga men’s basketball team, he tells the stories behind the game and gets fans a bit closer to their favorite players.
Molly Quinn

There is no artist in Spokane like Molly Quinn. Her whimsical style is instantly recognizable to readers of The Spokesman-Review. She has painted gorgeous illustrations that instantly elevate the journalism accompanying it. She brings to life the stories that defy photography. She makes our pages better.
Rob Curley

Spokesman-Review editor Rob Curley loves to talk with people and learn about their lives, whether it's a best-selling author or a stranger he meets downtown on his walk to lunch. It's that inquisitive nature combined with a playful sense of storytelling that helps make our newspaper different than most.