Salmon Arm, Blind Bay, Shuswap.....Renovation projects versus paybacks

The most popular renovation projects (% wise) across Canada in 2006 according to a Canada Mortgage and Housing survey showed:

34% Remodeling of rooms
32% Flooring
32% Painting or wall papering
20% Windows and doors
18% Major landscaping projects
15% Interior walls and ceilings
14% Roofs and eaves troughing
10% Electrical fixtures and equipment
8% Structural additions and extensions
7% Heating and/or air conditioning equipment
6% Exterior walls
3% Built-in appliances

Take note of the results of the Appraisal Institute of Canada 2004 Renovations and Home Improvement Survey tabulated the following info to assist homeowners to measure what effect home improvement projects may have on the resale value of their homes. Consumers should be aware that home values and returns on renovation investments are dependent on many factors such as the location of the property, i.e. province, rural/urban, the neighbourhood. Notably important is the quality of workmanship and materials.

Whether you're planning to sell your home soon or to stay put for a while, you'd probably rather have any improvements you make to your home add as much value as possible. Here are some projects for which the Appraisal Institute of Canada's members projected average payback value ranges.


GREATEST PAYBACK POTENTIALS:
Bathroom renovation (75-100%)
Kitchen renovation (75-100%)
Interior painting (50-100%)
Exterior painting (50-100%)


AVERAGE PAYBACK POTENTIALS:
Roof shingle replacement (50-80%)
Furnace/heating system (50-80%)
Basement renovation (50-75%)
Recreation room addition (50-75%)
Installing a fireplace (50-75%)
Flooring (50-75%)
Constructing a garage (50-75%)
Window/door replacement (50-75%)
Building a deck (50-75%)
Central air conditioning (25-75%)


LOWEST PAYBACK POTENITALS
Landscaping (25-50%)
Interlocking paving (25-50%)
Building a fence (25-50%)
Asphalt paving (20-50%)
Adding a swimming pool (10-40%)
Installing a skylight (0-25%)

(Source: CMHC and AIC)


Renovating is a complex area and every situation has to be looked at individually. The best return on resale is cosmetic items such as painting and decorating where there is limited capital outlay, according to the above Renovation Payback Study completed by the Appraisal Institute of Canada.

Care should be taken not to overly personalize the renovations and adversely affect the property's function or market appeal. Be particularly careful when renovating if the property is in the upper range of value for the area and involves a large capital outlay. Remember, Location, Location, etc.

Uncertain what to do in the Salmon Arm, Blind Bay, Shuswap market place? Contact june@juneconway.com for an opinion!