How to Increase Home Value: 8 Tips for Raising Resale Value

Your home value is the resale value of your living space on the housing market. Homeowners can turn to a real estate agent or mortgage lender for expert input on the current value of their houses. Many people’s home values increase as a natural result of inflation and other factors, regardless of whether they do much to renovate.

Increasing your home’s value ensures you get the highest possible return on investment should you ever try to sell your house. As you build home equity, your property will probably appreciate over the years without additional help. Still, by doing small things to improve your dwelling, you can rapidly increase your home’s value while simultaneously attracting realtors and prospective homebuyers to your house.

If you think you might sell your house someday, it might benefit you to take on home improvement projects to boost its appeal on the housing market. Follow these eight tips to add value to your asking price:

1. 1. Build out unfinished space. Perhaps you have an unfinished basement or guest room. Anytime you add square footage to the floor plan of your living space, you’re likely boosting your property value overall. More finished space can mean your home selling quicker at a higher price than you would have gotten otherwise.
2. 2. Focus on your bathroom and kitchen. Although you can do plenty of things to add to the value of your home, your bathroom and kitchen will likely benefit from improvements the most. This is due largely to the fact that trends in both room types change styles more quickly than for others. Additionally, new materials often lead to easier clean-up and a better overall living experience. Start out with a small bathroom remodel—think about replacing your faucets or showerheads with something more high-flow, perhaps. Maybe add a stainless steel refrigerator or more counter space in a minor kitchen remodel.
3. 3. Increase energy efficiency. Solar panels, LED light fixtures, and other efficient appliances make for lower utility bills and a higher home value. Potential homebuyers will often pay more up-front for an energy-efficient home because they know it’ll save them more money over time in less expensive energy costs.
4. 4. Make necessary repairs. Making your home look nice is one thing—keeping it functional on a basic level is completely essential. If you have a broken garage door or water heater, your home will lose value rather than gain it. Keep potential buyers interested and set yourself up for a good home value report by ensuring you make all necessary repairs to your house promptly.
5. 5. Practice general upkeep. Even if nothing is technically wrong with your house, you should still regularly ask how you can make it better in easy, low-cost ways. Maybe your front door could use a fresh coat of paint or your living room could use new windows. No matter what you land on, making constant small improvements will help boost your home value.
6. 6. Refurbish landscaping. Alongside any indoor DIY home improvement projects, make sure your home’s exterior is up to snuff, too. Your outer landscaping is the first impression your house will make on prospective buyers, so boost its “curb appeal” if you can. Mulch and tend to your garden, prune plants where necessary, and beautify your outdoor aesthetic as a whole.
7. 7. Update technology. As the years go by, more and more new home features hit the market. This sort of smart home technology brings your house into the future, which can bring its value into a higher price range. Think about asking if your favorite HVAC company offers any smart thermostats, or see if you can find any appliances that rely on AI or machine learning to make life more low-maintenance for prospective home buyers.
8. 8. Upgrade appliances and furniture. Keep an eye out for what’s in style when it comes to interior design. Bring in new countertops with a manufactured stone veneer, replace carpet with hardwood floors, and see what paint colors are most popular in your area. These things can make it easier for your house to sell at a higher price than it would have otherwise.

All you need is a MasterClass Annual Membership and our exclusive video lessons from prolific entrepreneur Robert Reffkin, the founder and CEO of the real estate technology company Compass. With Robert’s help, you’ll learn all about the intricacies of buying a home, from securing a mortgage to hiring an agent to tips for putting your own place on the market.

All investments, including real estate investments, come with inherent risks which may involve the depreciation of assets, financial losses, or legal ramifications. The information presented in this article is for educational, informational, and referential purposes only. Consult a licensed real estate or financial professional before making any legal or financial commitments.