Improving your home

Renovations should help the bottom line
By anne-marie mckenzie
2007-08-21
Historically low finance rates and the phenomenon of home improvement television shows and magazines have fueled a home renovation craze. While improving one’s lifestyle is a fundamental reason for a home renovation, homeowners should also view renovations as an investment to raise the value of a property. With proper research, planning and thoughtfulness, home renovation can be a rewarding experience.

Here are several tips that can help smooth the process:

Think Long-Term: “Remodeling Magazine” reported that money spent to upgrade a kitchen produces the highest return on investment. Renovating bathrooms and adding additional rooms such as a spare bedroom or study also traditionally score well. Consult with a local real estate sales associate to determine if your plans will positively influence the resale value.

Seek Out Referrals: Once committed to the process, hiring the right home improvement contractor is critical. A great way to choose a contractor is to contact salespeople at stores where contractors buy their supplies, such as lumberyards, window stores, cabinet shops and hardware stores. It is also a good idea to speak with friends, family and neighbors that have been through the process before.

Obtain Multiple Bids: Always get at least three estimates on the project. Contractors can bid the same project for completely different prices and time frames. Check that all the bids are based on the same scope and quality of work, which is the only way to do a fair and effective comparison.

Interview the Contractors and Check Their Right to Work: It is important for the homeowner to talk about a contractor’s style and process. A strong rapport and close communication with the contractor will increase the likelihood of the project going smoothly. In the interview process, also verify that the contractor has a license and insurance certificate.

Follow up on References: Be sure to check the contractor’s credentials. Ask how many similar jobs the contractor has completed, how much experience they have, whether they guarantee their work and who will be in charge of the project.

Contact Local Consumer Protection Agencies: Call the local or state consumer protection agency and the Better Business Bureau to check if there have been any unresolved complaints registered against the contractor. Also contact the state’s contractor licensing agency and local building inspectors to confirm that the contractor has a clean record.

Don’t Pay Up Front: Don’t allow work to start and don’t give any type of deposit unless a contract has been signed that specifies the project and payment arrangements. Following this advice provides extra security and will increase the likelihood that the contractor will complete the job in a professional manner because of the pending financial incentives.

Good luck with you project!

Anne-Marie McKenzie is a Realtor with Coldwell Banker Residential Brokerage in Yarmouth. She works exclusively with buyers, sellers and investors, and teaches free buyer classes. Contact her at 847-1725 or AnneMarie.McKenzie@NewEnglandMoves.com.