How to Determine the Added Value of a Basement Bedroom
Adding rooms and space to any home won't necessarily make it worth more on the real estate market. First, you have to consider what homes in your area are selling for. However, you can use a combination of logic and instinct to determine the practical value of a new bedroom. For example, your family might save a lot of money if your teenager lives in the bedroom area while attending college. Does this Spark an idea?
Other People Are Reading
Instructions
-
-
1
Think through the dollar figures. Building a bedroom in your basement area should cost roughly $20 per square foot. Since you have a ceiling, walls and floor in place, your building costs are significantly reduced. Figure out how large you desire the bedroom space to be. A 20- by 20-foot 20 bedroom will yield a nice large space and cost approximately $8,000 to build, according to the National Builder's Association.
-
2
Call at least three Realtors who have sold homes near yours in the past 12 months. Ask each to help you define the worth of your house. Comparative figures can be obtained via websites. Be prepared to have differing opinions. If you haven't actually built the room yet, some might advise you against it. And it is true that adding more space might not pay off in a tight real estate market.
-
-
3
Think long-term about family needs. For example, an elderly parent might come to live with you. If you can move a teen's bedroom to the basement during this process, the added space has value in several respects. Your home also might have an advantage on the market, appealing to other people looking for that kind of extra space.
-
4
A home typically appreciates at least 3 percent in value every year. If your neighborhood is desirable, your home's value should continue to rise. If your overall neighborhood is going downhill, it's probably a mistake to think you can recoup spending for a basement bedroom anytime soon.
-
1
Tips & Warnings
By talking with objective Realtors about the value of your basement bedroom, you can get a feel for how impartial experts would view the dollar value of the space. Again, the advantages of having separate sleeping space will appeal to specific buyers and families.
The quality of the craftsmanship that goes into a basement bedroom is key. An impressive, dry space that is well planned will enhance the overall livability of the home. A poorly constructed bedroom in a basement is probably not going to add any dollar value whatsoever.
