FAQ Definitions are included to help you select the closest or most appropriate AVM condition selections so that your AVM Optimizer estimate will be more accurate when used with some of the frequently used AVMs such as Zillow.com or Realtor.com.
FAQ Definitions for BASEMENT FINISH
Basic Finish: A basic finished basement, which involves adding drywall, flooring, lighting, and a minimal setup for a livable space, can add about 5% to the home’s value. The ROI for a basic finish is generally quite good, with about 70% to 75% of the cost being recouped.
Mid-Range Finish: A mid-range finish that includes creating defined rooms, such as a family room, extra bedroom, or small bathroom, can increase the home’s value by 7%. The ROI for this type of project tends to be around 60% to 70% of the cost.
High-End Finish: A high-end basement remodel that includes luxury features like a home theater, bar, gym, or guest suite with high-quality finishes and fixtures can add 10% to the home’s value. However, the ROI on upscale basement finishes is typically lower, around 50% to 60%, as not all buyers may place the same value on these specialized features.
High-End Finish With Walk Out A high-end basement with walk out entry that includes luxury features like a home theater, bar, gym, or guest suite with high-quality finishes and fixtures can add 15% to the home’s value. However, the ROI on upscale basement finishes is typically lower, around 50% to 60%, as not all buyers may place the same value on these specialized features.
FAQ Definitions for KITCHEN CONDITION
Minor Kitchen Remodel: A minor remodel that includes updates like new cabinet doors, hardware, countertops, and appliances typically adds about 5% to your home’s value. This type of renovation often has a higher return on investment (ROI), sometimes up to 80% or more of the cost recouped.
Major Kitchen Remodel (Mid-Range): A mid-range remodel with new cabinets, countertops, appliances, flooring, and lighting might add 10% to your home’s value. The ROI for this type of project is generally lower, with around 60% to 70% of the cost recouped.
High-End Kitchen Remodel: A high-end remodel that includes custom cabinetry, luxury appliances, premium countertops, and high-quality finishes can add 12% to your home’s value. However, the ROI on high-end remodels tends to be lower, often around 50% to 60% of the cost, because luxury improvements may not always match the neighborhood’s property values.
FAQ Definitions for BATHROOM CONDITION
Minor Bathroom Remodel: A minor remodel that includes updates like new fixtures, a fresh coat of paint, updated lighting, and replacing the vanity or tile flooring can add about 3% to your home’s value. These projects often have a high return on investment (ROI), sometimes up to 70% to 80% of the cost.
Mid-Range Bathroom Remodel: A mid-range remodel, which might involve replacing the bathtub, toilet, sink, and tiles, as well as upgrading the shower and installing new flooring, typically adds 5% to your home’s value. The ROI for mid-range bathroom remodels tends to be around 60% to 70% of the cost.
Upscale Bathroom Remodel: High-end renovations that include luxury features like a walk-in shower, soaking tub, custom cabinets, heated floors, high-end fixtures, and premium materials can add about 7% to a home’s value. The ROI for upscale bathroom remodels is usually lower, ranging from 50% to 60%, as not all buyers may be willing to pay a premium for these features.
FAQ Definitions for HVAC CONDITION
HVAC System: Installing a new energy-efficient HVAC system can add 3% to the home’s value. Buyers often look for homes with modern heating and cooling systems to avoid future expenses, and energy efficiency is a big selling point that can reduce utility bills.
FAQ Definitions for ROOF CONDITION
New Roof Installation: Installing a new roof can add 5% to the home’s value, with a return on investment (ROI) that ranges from 60% to 70%. The increase in value depends on the type of roofing material used, with higher-quality materials (like metal or architectural shingles) potentially adding more to the home’s value than standard asphalt shingles.
Good Roof Condition: Even if the roof is not brand new but is in excellent condition can add 3%, it can still positively impact the home’s marketability. Buyers are often willing to pay a premium for a home with a roof that does not need immediate repairs or replacement, as it reduces their future maintenance costs.
FAQ Definitions for LANDSCAPING CONDITION
Basic Landscaping: Simple improvements like maintaining a neat lawn, trimming bushes, adding a few flower beds, and basic gardening can increase a home’s value by about 5%. These changes enhance curb appeal and make a strong first impression on potential buyers.
Mid-Range Landscaping: Adding features like walkways, a well-designed garden, a mix of plants, shrubs, and trees, or an upgraded lawn can boost the home’s value by 7%. The return on investment (ROI) for these types of projects is usually quite high, as they make the outdoor space more functional and attractive.
High-End Landscaping: High-end landscaping projects that include hardscaping (patios, decks, fire pits), outdoor lighting, water features, professional garden design, and mature trees can add 10% to the home’s value. These upgrades not only improve aesthetics but also increase the usable living space outdoors, which is highly desirable in many markets.