Ice dam protection and skylights are the biggest upgrades to handle upfront. Installing quality underlayment during roof replacement costs much less than tearing off new shingles later. In addition, avoid adding skylights after installation, as it means cutting through your new roof and re-sealing everything. Also, ridge vents and copper gutters need proper integration during initial installation. Lastly, retrofitting these upgrades typically doubles or triples the cost versus doing them upfront.
What's an upgrade many buyers don't think about, but later wish they had included during the build? One noncodecompliant, but lifestyleenhancing, upgrade is prewiring for a wholehome audio and control system. Lots of buyers concentrate on finishes they can see — the floor coverings, tile, cabinets — and miss the wiring hidden behind the walls, by which time they discover that putting inwall speakers, or inceiling microphones, means cutting through drywall or losing millwork detail. Are there certain upgrades that are hard (or expensive) to do later, so it's best to handle them up front? Structural and mechanical roughins — such as plumbing in anticipation of a future basement wet bar and reinforcing joists in preparation for a heavy spa tub — are notoriously difficult if not impossible to retrofit after finishes go in. Which features or finishes tend to give the best return on investment or improve daily life the most? Longlasting finishes that are easy to maintain and energyefficient systems will provide a return on investment, as well as make your life more comfortable. Quartz countertops and lowE windows and highefficiency HVAC, these features are all paying for themselves right now: buyers get the stainproof benefits of quartz and the lower utility bills associated with highefficiency homes; appraisers are actually valuing houses higher if they're certified green. Are there upgrades you often recommend skipping, even if they're popular? Why? What is trendy has a way of falling out of fashion and making a house feel old fast, and bigticket trends — like colored grout, ultradark "mood" paint choices, or waterfall edge countertops in garish patterns — are a huge risk when it comes to reselling a house in the future. In one job, owners were adamant about black matte plumbing fixtures everywhere, then, two years later, they changed out every one of them for nickel because the matte finish exposed every fingerprint and scratch. My recommendation: Stick to timeless materials and finishes that feel like quality, not statements of taste; you'll get more back at resale and you and your renovation won't be old news before you've paid off your home equity line of credit.
Real Estate Investor, Property Manager, Stager, Designer at Property Lovers
Answered 8 months ago
Apart from their cosmetic appeal, one of the most outstanding reasons home improvement projects offer incredible returns on investments is because they also improve daily life. However, the truth is that some home improvements are more cosmetic than they are functional. Some home upgrade features and finishes that tend to give the best returns on investments, even while improving daily life, are upgrades that focus on functionality, modern amenities and energetic efficiency. These upgrades help to improve convenience in the home as well as boost its value because they contribute to the home's appeal. Upgrades like adding storage solutions and optimizing floor plans, installing smart home technology like thermostats and security systems, and improving insulation and energy through efficient windows and doors enhance the functionality of the home, and make it more appealing to buyers for its practicality and sustainability. The truth is, when it comes to home upgrades, what is good for the goose, doesn't always work well for the gander. The point is, some home upgrades, no matter how trendy they are, are better off skipping because they are neither worth the cost in convenience nor returns on investment. Infact, some of these upgrades may even make the home harder to sell in the future. The major reason I recommend skipping some of these upgrades is that they are highly specific and overly customized, which strongly suggests that they will quickly go out of style because not many buyers would find their overt personalization to be appealing. For instance, the cost of installing high end bathroom fixtures in every bathroom may be hard to recoup when selling the home, especially if the fixtures are highly customized. Skipping swimming pools might also be a good idea, especially in locations where the worm seasons are short. Additionally, it may be harder for future buyers to commit to rare hardwood flooring for fear of the high maintenance costs that goes with them, and as such, skipping this upgrade would definitely pay off.
To be honest, one upgrade buyers tend to regret not doing is Pre-wiring for ambient lighting, sound, and smart home systems. Trust me, running conduit or upgrading the electrical post-build is going to be invasive and expensive. Looking at it now, a few hundred bucks; looking at it later, we've got walls torn apart. Upgrades for extra outlets are also vastly overlooked. You never regret having too many outlets but you will regret having too few! Especially in a kitchen island, walk-in closet and garage!! And I simply can not stress this enough for EV users. Also, soft-close drawers and upgraded hardware aren't a luxury, they will reduce wear, noise and frustration over time. ROI aside, your overall quality of living will improve. On the flip side, I frequently tell clients to skip the trendy backsplash or statement tiles from the builder. These things are relatively easy to switch out later, whatever you lock in on layout, functionality and infrastructure needs to be done now. If you are tight on budget, then consider function first. Fill your budget in areas that it's hard to retrofit into the future and leave the budget for the areas that you will need to replace anyway as design trends will continue to evolve. Thank your future self!
Most purchasers forgo waterproofing at construction time. They called a few months later with water in the basement. It takes ripping out drywall, flooring, and insulation to fix at this stage. Installing an interior drainage system, sump pump, and foundation sealing during construction is faster, neater, and cheaper. It will save money in the long term and avoid expensive repair invoices later. Another smart upgrade is insulating foundation walls before framing. It reduces moisture entry, increases energy efficiency, and makes the basement habitable. Doing it later settles for surface solutions with lower performance and higher cost. The battery backup sump pump is also overlooked. In the event of a storm, if the power shuts off and the pump fails, the basement gets flooded. Putting one in as a backup during construction is cheaper than remedying a flood and having to replace damaged finishes. Leave the easy-updating finishes behind, backsplashes, lighting, and hardware. Spend the budget on renovations that engage the building, water management, and power usage. Focus on long-term protection, not temporary fads. Nobody minds a dry basement. But they all recall the one that leaked.
We work with real estate investors who specialize in rehabs and full gut renovations. Through conversations with these investors, a common regret that comes up often is not planning for tech or energy-efficiency upgrades during the build process like pre-wiring for smart home systems or EV chargers. These upgrades are usually much easier and cost-effective to implement during the initial build. Retrofitting them later usually involves tearing into walls or updating electrical panels which can be time-consuming and expensive. Another consistent one is that floor plan improvements, especially minimal adjustments like adding an office nook or an upstairs laundry, tend to have a big return in both resale and day-to-day quality of life. The takeaway here is to prioritize the upgrades that would be a headache to fix or retrofit later. Also, it's important to think in terms of livability instead of pure aesthetics.
What's an upgrade that many home buyers would never have thought to request when you worked at one of the country's top building firms, but they wish they had? Pre-wiring for a strong mesh Wi-Fi network is one detail that is usually ignored, even though every guest now assumes that streams will be smooth in every nook and cranny. It's not just disruptive to your vacation rental space to later retrofit all new network cabling postdrywall— and that easily adds up to $2,000-$3,000 in a standard vacation-rental footprint. And are there some upgrades that are difficult (or costly) to make later and therefore are best handled going in? Any plumbing or HVAC rough-in, a wet bar, in-slab radiant heat, or zoned ductwork, for example, is considerably more expensive after walls and floors are complete than it is when a home is under construction. What features or finishes are the best for return on investment, or that enhance daily life the most? Likewise, since 2010, we have found that quartz countertops with under-cabinet LED task lighting and soft-close drawers in kitchens typically return an average of 80 percent or more of the project cost. And they worked: In a rental in Nashville, TN, these three simple changes increased nightly rates by 18 percent and occupancy by 12 percent, evidence that functional luxury is universally appealing to guests right away. Are there upgrades that you discourage people from getting, even if they are popular? Why? I dissuade buyers from custom accent walls, such as full-height shiplap or mirrored tile, which feel stale after five years and rarely elevate the guest experience. What's your No. 1 tip for buyers in deciding their upgrade budget and not overspending? One simple version can be a.) Spend about 60 percent of the budget on the "core systems" (wiring, plumbing, insulation), b.) 25 percent on those "guest impact features" like the "kitchen, bath, connectivity," and then c.) 15 percent for your "personal flourishes." We rate each upgrade by its predicted ADR lift over cost, to ensure each dollar is funneled into the most return advantageous line items.
What's an upgrade that many buyers don't realize they need until after the build is complete? Most skimp on running any dedicated circuits and conduit for the former, household-wide charging, and smart devices, assuming they can do it all with plugs, but when real walls go up, hidden USB-A/C outlets come in handy, or the future-proofing of Ethernet drops, can change everyday life. What are some upgrades you do early because you can't easily or cheaply do them later? Absolutely, any structure or slab-embedded upgrade (central vacuum systems, laundry chutes, in-ceiling surround sound speakers, etc.) goes through the freaking roof once the finish carpentry is done. What features or finishes offer the best return on investment or the greatest lifestyle improvement at resale? Switching to our tankless water heaters combined with an on-demand recirculation pump, energy costs can be reduced by up to 20% with singles and guests will never experience waiting for hot water inside our units. On the finishing side, calling out matte-finish quartz counters rather than polished surfaces and soft-close, full-extension drawers instead of the traditional version in kitchens delivers over 80% cost recovery at resale and impresses visiting guests. Can you name any upgrades that you tend to advise against, even though a lot of people opt for them? Why? I dissuade buyers from feature-wall shiplap and heavy and ornate tile back splashes; they photograph well, have a short shelf life, and are rarely able to be monetized. One of Mr. Blair's clients shelled out $6,000 on custom accent walls that looked so slick, until potential buyers left feedback indicating that traffic to the listing had dropped 30 percent a year later, prompting a pricey remodel. What is your number one tip to buyers to better help prioritize where to spend their upgrade budget and prevent overspending? Adopt a tiered impact matrix, spending 60 percent of your money on "core systems" electrical, plumbing, insulation, 25 percent on "functional enhancements" lighting, smart wiring, plumbing fixtures, and 15 percent on "aesthetic accents" cabinet hardware, paint). (And, yes, mapping the cost of each item against its projected ROI or daily utility helps buyers make good decisions.
When it comes to upgrades that many buyers don't think about, but later wish they did, it is soundproofing beyond the standard insulation, especially in their bedrooms. The reason behind this is that most focus on visible changes, they redo the countertops, flooring, or they tend to focus on the functional aspects, like plumbing and the electrics of the home. Soundproofing between floors, rooms, and outside noise is nothing flashy, and it adds costs in places that you can't see or show off. But it is not something you want to do when you are already living in the house; retrofitting can be expensive and difficult if walls are already up and the finishing touches have been made, making it one of the most common regrets amongst homeowners. Having a soundproof home is beneficial for so many things; it impacts sleep quality, allows you to concentrate effectively if you work from home, and provides overall peace. Navigating an upgrade budget without overspending is a challenge. It is easy to get carried away; however, staying grounded and thinking things through before you fork out the cash can make a big difference in your enjoyment of the home and the future resale. My advice is to think about functionality and safety before you start thinking about aesthetic changes. Start from the ground up, ensure your plumbing, electrical, and structural integrity first. Why? because failing to make sure that your home is safe can lead to far more expensive problems later on. Essentially, it prevents any hidden money pits. Think of it like this: you can have the most amazing kitchen cabinets, but if your roof is leaking or you have a problem with your pipes, your home can become uninhabitable. So, concentrate on the structure. Once you have determined that it is sound, then you can move on to decorating.