Will I get my $ Back?

Quite often, we are asked about the rate of return on home remodeling projects. One great source to see how much money you will recoup by redoing your Master Bathroom is Remodeling Magazine annual Cost vs Value Report. What you will notice is that no project has a 100% rate of return. Leading the way for Return on Investment, again, is exterior remodeling projects. Boosting curb appeal through replacing windows, siding, and deck additions recoups your investment dollars the best both Nationally and Regionally. The only interior remodeling project making the Top 10 are Kitchen Projects.

Below are the Top 10 Projects and their Cost Recouped:

1. Upscale fiber cement siding replacement (86.7%)
2. Midrange wood deck addition (81.8%)
3. Midrange vinyl siding replacement (80.7%)
4. Upscale foam-backed vinyl siding replacement (80.4%)
5. Midrange minor kitchen remodel (79.5%)
6. Upscale vinyl window replacement (79.2%)
7. Midrange wood window replacement (77.7%)
8. Midrange vinyl window replacement (77.2%)
9. Upscale wood window replacement (76.5%
10. Midrange major kitchen remodel (76.0%)

Existing-Home Sales Hurt by Economic Turmoil

With Consumer Confidence falling amid Economic uncertainty, Existing-Home Sales fell again Nationwide in November, according to the National Association of Realtors. Existing-Home Sales fell 8.6% to a seasonally adjusted annual rate of 4.49 million units in November, which puts us 10.6 % below the 5.02 million-unit pace in November 2007. Regionally, in the Northeast Existing-Home Sales declined by 12% to an annual pace of 730,000 in November; putting the region 18% below last years numbers.

The silver lining in the numbers may be that Existing-Home Sales are rising in hard hit areas of California, Nevada, Arizona and Florida. According to Lawrence Yun, NAR chief economist, “Sales are rising only in areas with large numbers of distressed properties as bargain hunters take advantage of discounted home prices." While this is a positive sign, Mr. Yun cautions that “It is, therefore, imperative to provide incentives for homebuyers to get back into the market. It also depends on how effectively Congress and the new administration can help facilitate the short sales process and unclog the mortgage pipeline – impediments remain for some buyers with good credit,” to help the housing market recover.