There are a number of factors that go into determining how well a project on a home in New York will pay back. Payback value depends a lot on the current market conditions in your area. If the market is hot and homes are selling fast, you can expect a higher payback value than you would get in a slow market.  As stated earlier, making decisions on home improvements on a Westchester or Putnam County home and its potential return should be made with the condition of the current real estate market in mind.

Currently we are experiencing a "tighter" market.  That means sellers in New York (and outside New York considering the current economic stance) should make smart decisions on what to improve and how much.  New York homes will not currently return dollar for dollar what a Seller puts in to the property for improvements.  However, you do get the enjoyment of the improvements while you or your tenants live there.  That aspect should not be taken lightly.  For fast sales and how to affect a buyer quickly and effeciently and get an offer NOW, see our section on "Staging Your Home"

The type of project you do and how it fits in with other homes in the area can have a big influence on payback too. If you put your money into the wrong type of improvement, you won’t get your money back. But if you're smart about what you do, you can make money even in this market. The payback will be better on improvements that are in demand and conform to Westchester neighborhood standards. 

Adding a second bathroom in a neighborhood where most homes have two bathrooms will give a high return on investment.  Building a large addition that makes your home twice as big as the other homes on the block probably won’t pay back very well. Likewise, the popularity of a project will factor into how much it pays back. Depending on what it is, an improvement heavily customized to your wants and needs won’t pay back as well as something more common to other homes in the neighborhood. Consider the new trend in home theatres, for example. That appeals to some Westchester County buyers, but not all!

Another factor to consider is the cost of the improvements. If you can do the work yourself, you can save significantly on the cost of the project and greatly improve the chances of getting a good return on the investment. However, if you are not well-versed in home improvement, we suggest professionals in the local Westchester area. In fact, we encourage you to get multiple price quotes on any project, and check the company's licensing and insurance status!

The list below is compiled from several published surveys and shows typical payback for some popular remodeling projects during a stable market:

• Kitchen remodeling – 80%
• Add a bathroom – 80%
• Bathroom remodeling – 80%
• Install central heating – 90%
• Install central air – 75%
• Add a deck – 70%
• Replace windows – 70%
• Add a room – 55%
• Build a pool – 45%
• Finish a basement – 40%

If you are thinking about selling your home here in New York, we can walk through your home with you and point out small projects that can be attended to with a smaller investment that will yield the highest return based on the current market. After all, Pachyderm Realty wants to list your home and sell it quickly!

Contact Pachyderm Realty today for a free CMA and staging consulation.