When investing in a home renovation it’s good to consider whether or not the investment will add value to your home. Sometimes it’s an important part of you decision process, especially if you plan on selling your home in the not-too-distant future. One of the most common renovations is finishing a basement.

Does it add value to your home?

The short answer is yes.

The more complex and extended answer is, it depends.

If you spend a lot of money on upgrades like high end built-in cabinetry for an entertainment system, an elaborate fireplace and wall unit, a sauna, a large bathroom, an elaborate kitchenette or wet-bar, putting in larger windows, or underpinning to increase the ceiling height, these make it harder to get a good short-term return on your investment. If you want to do these upgrades because you want to enjoy them for years to come, the investment is much easier to justify, at least on a non-financial basis.

If you want to invest in a simple basement renovation you can definitely add value to your home, both in terms of its sale price and appeal to potential buyers. Here are a few key reasons why:

  1. Extra Usable Space: A finished basement adds livable square footage that can be appealing to families or buyers looking for more space for a variety of reasons.
  2. Additional Functionality: A finished basement can be used a gym, guest room(s), a home office, entertainment room, or an in-law suite.  
  3. Increased Resale Value: According to studies, homeowners can expect to recoup about 70-75% of the cost of a modest basement renovation.
  4. Marketability: In an area such as Hamilton where there’s a shortage of larger homes, given the drive for more homes to be built per square foot of land, finished basements are more desirable. They’re also more appealing to larger families.

You don’t have to spend a lot on upgrades but it would be wise to make sure you invest in a quality finish and hire a reputable contractor who will stand behind their work.

If you’re looking to finish your basement don’t hesitate to connect with Integrimark.