As real estate prices continue to decline in many
areas of the country, homeowners are searching for ways to strategically
update their homes to increase the value. Finishing a basement can be the
answer--take advantage of existing space in your home to add square footage
and storage space.
In over 200 metropolitan areas in the country, home
prices fell again this past year. They are declining at a slower pace, but
many homeowners are still struggling with home prices and the future of
their investment. Single family homes are still
the most sought after residential properties in most suburban areas of the
country. Homes with basements can be rarer, and can offer added square
footage, storage space, and value to any home.
Many homeowners have basements in their homes, but
they're unfinished, which represents overlooked value. More homeowners are
looking at finishing their basements as a way to combat declining home
prices.
Sitting on New Value for Your Home
Over 1 million homeowners remodel their basements each
year--a finishing project that can be substantial, but generally causes less
family stress than remodeling a kitchen or a bathroom.
In some areas, basements only count toward square
footage (and therefore the value of a home) if they're finished. Homeowners
are especially motivated to finish their basements as they realize they're
sitting on potential value.
Enjoying the Returns
Realtor Magazine ran a report at the end of 2006 that
estimated the return on investment of basement refinishing projects at
around 73 percent. While not as high a return as kitchen remodels, this is
still strong value and comes at less interruption to your family's
lifestyle.
Finishing your basement can provide unseen benefits.
Sellers are more often attracted to homes with finished basements than
without, so a remodeled basement can make your home more competitive in
today's real estate market.
Source:
Biz Journals
CNN Money
Philly Blurbs
About the Author
Joe Cooper writes home services and design
articles and manages corporate communications. He holds a bachelor's in
American Literature from UCLA.
