Joseph Talbot, Real Estate Broker - HOME IMPROVEMENTS THAT IMPROVE VALUES

CHAPTER 12 Remodelling, Additions, and R dditions, and ROI When remodelling your home, building an additional room or adding a new level to your home can be pricier than renovating your deck, for example. Of course, homeowners can enjoy the inherent benefits of an extra room, like the extra space and functionality, but they should certainly be aware of the costs. Be aware that you may not be able to recover the cost of extensive renovations to your home when you sell. Those types of improvements have to be solely for your home-ownership enjoyment, as by making your home the jewel of the neighbourhood, you may be lifting it into a price range beyond what your neighbourhood can support. Arriving at a concrete number (pun intended) is never an easy task, either for the homeowner or the contractor. Typically, remodeling contractors ballpark the cost of an addition in dollars per square foot. The reasons for this include: • This provides a rough baseline of costs typically associated with your home addition (e.g. labour, materials, and fees) • It can help the homeowner determine a realistic budget • The quality of materials can vary depending on the client's tastes (e.g., wood flooring vs. tile) • Availability of material may vary • Timeframe and expedience of the project • Keep in mind material costs can fluctuate rapidly

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