Economics of Remodeling Your Condo
I came across this good article in Remodeling Online which looks at the cost recovery of remodeling projects.
The big takeaway is that most do not yield a positive ROI when you exclude the enhanced quality of life the owner/resident benefits from after the remodel is done and before the property is sold. An excerpt of the Top 3 ROI remodeling projects are below -- notice the ROI is less than 5% not including cost of capital and inconvenience factor. For the whole list of other remodel efforts, check it out here.
| Project | Job Cost | Value at sale | % Cost Recovered | 2005 Rank | 2004 Rank | 2003 Rank |
| Siding Replacement - Upscale | $10,393 | $10,771 | 103.6% | 1 | n/a | n/a |
| Bathroom Remodel - Mid-Range | $10,499 | $10,727 | 102.2% | 2 | 5 | 6 |
| Minor Kitch. Remod - Mid-Range | $14,913 | $14,691 | 98.5% | 3 | 2 | n/a |
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