How to increase home value: 9 tips for home sellers

When you decide to sell your home, chances are that you want to get the most money possible for it. Regardless of why you’ve chosen to sell, a larger sale price will come in handy for whatever move comes next, whether you’re buying a new home or opting to rent.

Your home value is partially determined by the current market. Depending on the real estate market in your area, your home could be worth considerably more than when you bought it. But there are factors within your control that affect your home’s value.

There are several things you can do to increase your home value and sell it for a higher price when you ultimately decide to, whether that’s now or in a few years.

What adds value to a house?

Your home probably has a lot of personal value to you and your family. But when it comes to selling, it’s the resale value that’s most important. And there are certain things you can do with the goal of home value appreciation. After all, the more you can do to increase your home’s value, the more money there’ll be in your pocket when you sell.

There’s no doubt that you’ll increase your home’s value the most with major renovations, including redoing the kitchen and bathroom or adding square footage. But those projects also come with a large price tag. There are plenty of things you can do to improve the aesthetics of the home, and with it, the resale value.

Overall, buyers like to see newer finishes, so the more you can do to make your home look modern and updated, the more interest you will have.

9 ideas to increase home value

Adding value to your home doesn’t have to cost a fortune. There are plenty of DIY and budget-friendly home improvement projects that can increase your home value before you sell.

1. Add fresh paint

Updating your home doesn’t have to mean tearing down walls or making major renovations. In fact, you can increase your home’s value with a project as simple as adding a fresh coat of paint to your walls. Thanks to the relatively low price tag, this project has an excellent return on investment.

The cost to paint the interior of a house is generally between $1 and $3 per square foot. Depending on the size of your home, painting the entire interior is likely to cost between $3,500 and $10,000. However, you can save a significant amount of money by painting yourself – then you’ll only have to pay the price of the paint and supplies.

When it comes to the best colors for selling a house, consider neutrals that will appeal to any prospective buyer. Keep in mind that dark colors tend to make rooms look smaller, while lighter grays and beiges can lighten rooms and make them look bigger.

2. Declutter and clean

When prospective buyers are touring your home, they want to be able to picture themselves living there. And if the home is filled with lots of clutter and your own belongings, that can be a challenge. Additionally, if your home is dirty, it will be hard for buyers to focus on anything else.

Decluttering your home doesn’t have to cost a dime. And depending on the size of your home and the amount of stuff you have, you may be able to knock the job out in a short amount of time.

You can also handle the cleaning yourself. But if you’d rather, you can hire professional cleaning services for a relatively affordable rate. The average cleaning service charges between $25 and $75 per cleaner per hour, with an average cleaning costing a total of between $120 and $280.

3. Focus on curb appeal

You never get a second chance to make a first impression. When guests or potential buyers are coming to see your home, the first thing they see is the outside. And the curb appeal of your home is likely to be a potential buyer’s first indicator of whether they want to buy your house.

Curb appeal can be improved through landscaping or updating your home’s exterior, and both can have a big impact. Some projects to consider include:

• Making sure your mailbox is in good shape
• Having the front door freshly painted
• Cleaning your pathways and gutters
• Checking your windows and siding for cracks or chips
• Trimming and pruning trees and shrubs
• Adding colorful plants, bushes and trees
• Using plants from your local garden center
• Adding landscaping bricks, mulch and rocks

4. Replace the front door

It may not seem like your home’s front door makes that much of a difference, but you may be surprised. Like the rest of the exterior of your home, your front door is one of the first things prospective buyers see.

If your front door is on the older side, replacing it can help it look fresh, making your home overall look more updated. Additionally, replacing your front door gives you the chance to pick one that’s in style. Just make sure the front door matches the overall style and color of your home.

5. Switch to energy-efficient

Home buyers are looking for energy-efficient homes to save money on energy costs and leave a smaller carbon footprint. Things that may be important to buyers or increase the perceived value of the home include:

• Energy-efficient windows, doors and siding
• Energy-efficient lighting
• Energy-efficient appliances
• Affordable utility bills and operating costs
• Solar panels

If you aren't sure how energy-efficient your home is, consider getting a home energy audit. This type of service will run you between $208 and $679 but could reduce utility costs by anywhere from 5% to 30%.

6. Redecorate the bathroom

Bathroom remodels are near the top of the list of the home renovations that have the biggest impact on your home’s value, but they also come with a huge price tag. Luckily, you can redecorate and modernize your bathroom(s) without paying the huge cost of a remodel.

Depending on what changes you want to make, it’s possible to do a total DIY remodel for as little as $1,500. And if you’d rather save more money, you can simply redecorate and update the fixtures and spend a few hundred dollars.

7. Update the kitchen

Your kitchen is the other room that can have the greatest impact on your home’s value. Instead of completing a larger kitchen remodel project, consider doing a few DIY updates to modernize the kitchen and make it more appealing.

Some examples of changes you can make in your kitchen include painting your cabinets, changing out your fixtures, adding floating shelves, installing a backsplash, changing out your sink and more.

Like with the bathroom, you can go as low or as high on the price of your kitchen update as you want. The price tag can range from hundreds to thousands of dollars but could have an even greater impact on your home’s value.

8. Replace the carpet

Old or dingy carpet can be an immediate turnoff to buyers. If your carpet isn’t in great shape, has stains on it or is simply out of style, consider replacing the flooring with hardwood floors or new carpeting.

The cost to lay new carpeting is between $2 and $8 per square foot, with an average cost of $1,800 to $7,500 for 1,000 square feet of carpeting. Meanwhile, the cost to lay hardwood flooring is between $6 and $15 per square foot. However, depending on your DIY abilities, you may be able to save money by laying the new flooring yourself.

9. Stage the home

When you have potential buyers coming in to see your home, it’s important to make an excellent first impression. Additionally, as we’ve mentioned, buyers want to be able to picture themselves in the home.

That’s where home staging comes in. Home staging is the process of updating the home’s interior to make it more appealing to buyers. Home staging often includes adding decor, changing out or rearranging furniture and more.

Staging is something you can do yourself, but it may be more effective to hire a professional. The cost of a professional home stager is generally between $800 and $2,800, but it could be higher or lower depending on the size and condition of the home, whether your home is currently vacant and other factors.

How to increase home value FAQs

Are you preparing to sell your home and want to increase your home value beforehand? Here are a few more things you may want to know.

Why should I increase my home value?

Increasing your home’s value can help increase its resale value, resulting in more money in your pocket when you sell. Even if you aren’t planning to sell in the near future, projects that increase your home’s value can make the home more functional and pleasant for your family.

How can I add value to my house fast?

You can add value to your home quickly and affordably by updating the aesthetics inside and outside of your home. Examples include updating and redecorating the kitchen and bathrooms, improving the curb appeal and adding a fresh coat of paint throughout the house.

What decreases home value?

Your home value may decrease if you fail to maintain it properly or if the interior becomes too outdated. Unfortunately, it can also decrease based on factors outside of your control, such as changes to your neighborhood or the local housing market.

How should I finance home improvements?

If you don’t have the cash on hand to pay for home improvements, a cash-out refinance, home equity loan or HELOC could all be good options. Just make sure to run the numbers to ensure the increase in your property value will exceed the amount you borrow and that you’ll be able to repay the loan.

The bottom line

With some minor (and more importantly, inexpensive) changes, you could increase the value of your home significantly. And whether you’re buying a new home or have other plans, that extra money in your pocket will be a major benefit.

Are you preparing to put your home on the market? Consider connecting with an expert real estate agent today and start your home selling journey. Not only will an agent be able to help you sell your home, but they can also advise you on the best ways to increase your home value.