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Remodeling magazine’s Cost vs. Value Report

1999 Cost VS. Value Report

How popular home improvement projects pay off for your buyers and sellers, brought to you in partnership with Remodelingmagazine.

PHOTOS: PAUL KENNEDY

In the history of hot markets, 1999 has been a scorcher. Sellers in many markets haven’t even bothered to slap on a fresh coat of paint, yet the offers--at or above asking price--have come pouring in.

But as interest rates inch up and the housing market slows, more sellers could be looking at home improvements as a way to give their property an edge. What they’ll want to know from you is whether remodeling efforts are worth the cost.

This “Cost vs. Value Report,” compiled by Remodeling magazine and published annually in REALTOR® Magazine through an editorial partnership, can help you provide the answers. The report compares the cost of 11 popular home improvements with an estimate of the projects’ recouped value in a one-year resale scenario.

“The percentages are very representative for remodeling changes that add value over time,” says Fred Flick, NAR vice president of research.

Costs were calculated by R.S. Means, a Kingston, Mass., company and leading supplier of construction cost information. Real estate practitioners and appraisers in 60 residential markets across the country provided return-on-investment estimates; their predictions for the 60 markets accompany each of the project descriptions.

Two points you should note in reading this year’s report: First, to bring more balance and weight to the estimated resale values, we asked more appraisers to contribute estimates than we had in past years. Since appraisers tend to take the long view of remodeling projects, the effect is that values are now lower by 5 percent to 10 percent than those published in past reports.

“The additional information from appraisers has improved the quality of the estimates,” says Flick.

Second, return on investment depends on the house, neighborhood, and region. It’s still location, location, location--but even more so. Real estate professionals who participated in this study told us that today’s homebuyers pay even more attention to appreciation and neighborhood life cycle than did previous generations.

Once house hunters find the right area, improvements that enhance curbside appeal, such as landscaping and fresh paint, might bring them inside. But once in the door, buyers of existing homes look for functionality, durability, and convenience. “That’s why it’s so important for a resale to be modernized,” says Betsy Holmes, Coldwell Banker Home Sale Services, Lancaster, Pa. Buyers are also aware that finding a contractor may take six months to a year--especially in strong growth markets.

As in past “Cost vs. Value” studies, minor kitchen remodels and bathroom additions provide the highest return. Family-room additions now tie bathroom remodels for No. 3. Major kitchen remodels yield a lower return, though not by much.

At the end of each scenario, you’ll note some remodeling tips you can pass on to your sellers and potential buyers. We asked five remodeling experts to suggest helpful design and construction practices to consider when renovating with resale in mind. They are Rick Genuario, Genuario Construction Co., Alexandria, Va.; Lynn Motheral,Stonegate Custom Remodel & Design/Build Contractors, Fort Worth, Texas; Todd Perry, president, Leading Edge Homes, Wellington, Fla.; George R. Phillips, president, George Phillips & Associates, Miami; Joseph L. Zisman, president, Ambassador Home Improvements, Harrisburg, Pa.

We hope their design tips, along with the 1999 estimates of resale value, will be interesting reading for you and your clients and customers this year.

Editor’s note: Remodeling magazine, published by Hanley-Wood Inc., Washington, D.C., has been publishing the “Cost vs. Value Report” annually for more than a decade. We’d like to thank the editors and designers at Remodeling, our NAR Research staff, and the contributors listed on page 45 for helping us bring this information to you.

Remodeling magazine’s “Cost vs. Value Report,” ©1999, by Hanley-Wood LLC. Republication or redissemination of the report is expressly prohibited without written permission of Hanley-Wood LLC. See page 42 for information on ordering reprints.

THE PROJECTS

Page Number
Project
(average cost recouped, national)
25
 Minor kitchen remodel
(81%)
26
 Bathroom addition
(72%)
29
 Bathroom remodel
(71%)
31
 Family-room addition
(71%)
33
 Major kitchen remodel
(70%)
34
 Master suite
(68%)
37
 Attic bedroom
(65%)
39
 Two-story addition
(62%)
41
 Window replacement
(56%)
43
 Deck addition
(54%)
44
 Home office
(50%)
 
Minor Kitchen remodel
It’s amazing what a fresh coat of paint can do to a room. Throw in new cabinets and updated appliances, and that tired old kitchen is ready for its close-up, Mr. DeMille.

Des Moines, Iowa, appraiser Alan Hummel says that from the standpoint of selling the house, the kitchen face-lift is one of the best improvements homeowners can make. Other real estate professionals concur. They say minor kitchen remodels return more value than any other project on our list. To put it in dollar-and-cents terms--estimated construction costs of $8,655 return 81 percent, or $7,041, nationally.

Red-hot markets such as San Francisco and Minneapolis bring returns way above average. Regionally, homeowners in the Midwest can expect to get back the most on their investment--89 percent of costs.

DESIGN TIPS FOR CONSUMERS
  • Forget about adding extra amenities such as trash compactors and fancy hot water dispensers.--Motheral
  • Choose appliances and fixtures consistent with the square-foot value of the house.—Phillips
  • Hold down costs by sticking with the exact configuration of the existing kitchen.—Motheral

    PROJECT DESCRIPTION In a functional but dated 200-square-foot kitchen with 30 lineal feet of cabinetry and countertops, refinish existing cabinets; install new energy-efficient wall oven and cooktop, laminate countertops, midpriced sink and faucet, wall covering, and resilient flooring. Repaint. Job includes new raised-panel wood doors on cabinets.
     
Region or City
Job Cost
Resale Value
Cost Recouped
East Average $9,001 $7,844 87%
Baltimore 7,963 3,725 47
Boston 10,040 9,600 96
Burlington, Vt. 7,270 5,998 83
Garden City, N.Y. 10,559 15,210 144
Hartford, Conn. 8,915 5,591 63
Lancaster, Pa. 8,309 6,765 81
Nashua, N.H. 8,136 7,121 88
New Haven, Conn. 8,915 10,812 121
Passaic, N.J. 9,694 9,387 97
Philadelphia 9,867 7,143 72
Pittsburgh 9,088 6,709 74
Providence, R.I. 8,915 8,822 99
Westchester, N.Y. 10,559 8,773 83
Wilmington, Del. 8,395 4,764 57
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $7,363 $6,004 82%
Atlanta 7,184 5,704 79
Birmingham, Ala. 7,443 6,394 86
Columbia, S.C. 6,318 3,773 60
Dallas-Ft. Worth 7,616 9,283 122
Houston 7,616 7,411 97
Jacksonville, Fla. 7,357 6,098 83
Knoxville, Tenn. 6,924 4,395 63
Louisville, Ky. 8,136 7,535 93
Miami 7,357 4,800 65
New Orleans 7,443 7,445 100
Raleigh-Durham, N.C. 6,751 5,829 86
Richmond, Va. 7,530 5,770 77
Tampa, Fla. 7,184 5,501 77
Tulsa, Okla. 7,443 6,233 84
Washington, D.C. 8,136 3,890 48
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $8,517 $7,581 89%
Chicago 9,694 8,885 92
Cleveland 9,434 3,393 36
Columbus, Ohio 8,309 8,116 98
Des Moines, Iowa 8,222 7,700 94
Detroit 9,088 6,908 76
Fargo, N.D. 6,751 5,575 83
Grand Rapids, Mich. 7,790 6,073 78
Indianapolis 8,395 8,395 100
Kansas City, Mo. 8,828 5,050 57
Madison, Wis. 8,828 8,630 98
Milwaukee 8,828 6,621 75
Minneapolis 9,694 12,967 134
Sioux Falls, S.D. 7,616 6,735 88
St. Louis 8,655 10,455 121
Wichita, Kan. 7,616 8,212 108
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $8,961 $6,734 75%
Albuquerque, N.M. 7,703 7,027 91
Boise, Idaho 8,222 5,441 66
Colorado Springs, Colo. 8,222 5,300 64
Denver 8,482 4,629 55
Honolulu 10,992 7,144 65
Las Vegas 9,088 5,429 60
Los Angeles 9,607 5,604 58
Phoenix 8,049 4,783 59
Portland, Ore. 9,261 6,774 73
Sacramento, Calif. 9,694 5,642 58
Salt Lake City 7,703 5,775 75
San Diego 9,607 8,051 84
San Francisco 10,473 15,393 147
Seattle 8,568 8,355 98
Spokane, Wash. 8,742 5,667 65
 
National Average $8,655 $7,041 81%
 
Bathroom addition
The sound of someone banging on the bathroom door ranks high on the list of life’s little annoyances--especially if you happen to be in there. It’s so irritating that it provokes many homeowners into adding a second or a third bathroom. And those extra bathrooms warm the hearts of prospective buyers.

“If they’ve added a second bathroom, that’s a major selling point,” says real estate professional Robin Burgard, Sioux Falls, S.D. Other real estate pros across the country agree, rating the bathroom addition second in value returned at resale, right behind minor kitchen remodels. Nationwide, sellers recoup 72 percent of a $13,918 investment, or about $10,000.

As is true of many of the projects we looked at, bathroom additions yield a higher return at resale--79 percent--in the East.

DESIGN TIPS FOR CONSUMERS
  • Don’t add a bathroom off the dining room. It just doesn’t work. Bathroom additions should be immediately accessible.--Motheral
  • One of the biggest mistakes is putting glossy tile on the floor. Select a tile with traction, one less likely to be slippery.--Perry
  • Avoid high-end fixtures that will raise the cost per square foot.--Genuario

    PROJECT DESCRIPTION Add a second full bath to a house with one or one and a half baths. The 6-by-8-foot bath should be within the existing floor plan in an inconspicuous spot convenient to the bedrooms. Include cultured marble vanity top, molded sink, standard bathtub with shower, low-profile toilet, lighting, mirrored medicine cabinet, linen storage, vinyl wallpaper, ceramic tile floor, and ceramic tile walls in tub area.

     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $14,475 $11,436 79%
Albany, N.Y. 13,500 10,300 76
Baltimore 12,805 5,333 42
Boston 16,145 13,343 83
Burlington, Vt. 11,691 6,953 59
Garden City, N.Y. 16,980 16,592 98
Hartford, Conn. 14,336 6,657 46
Lancaster, Pa. 13,361 10,022 75
Nashua, N.H. 13,083 9,009 69
New Haven, Conn. 14,336 13,498 94
Passaic, N.J. 15,588 14,568 93
Philadelphia 15,867 14,971 94
Pittsburgh 14,614 11,304 77
Providence, R.I. 14,336 12,691 89
Westchester, N.Y. 16,980 17,326 102
Wilmington, Del. 13,500 8,975 66
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $11,840 $8,462 71%
Atlanta 11,552 10,175 88
Birmingham, Ala. 11,969 9,224 77
Columbia, S.C. 10,160 8,260 81
Dallas-Ft. Worth 12,248 13,227 108
Houston 12,248 8,789 72
Jacksonville, Fla. 11,830 7,565 64
Knoxville, Tenn. 11,134 6,333 57
Louisville, Ky. 13,083 6,067 46
Miami 11,830 6,866 58
New Orleans 11,969 9,160 77
Raleigh-Durham, N.C. 10,856 10,111 93
Richmond, Va. 12,109 9,957 82
Tampa, Fla. 11,552 8,222 71
Tulsa, Okla. 11,969 6,239 52
Washington, D.C. 13,083 6,738 52
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $13,695 $9,795 72%
Chicago 15,588 14,549 93
Cleveland 15,171 4,172 28
Columbus, Ohio 13,361 14,512 109
Des Moines, Iowa 13,222 7,167 54
Detroit 14,614 8,346 57
Fargo, N.D. 10,856 7,895 73
Grand Rapids, Mich. 12,526 7,404 59
Indianapolis 13,500 8,163 60
Kansas City, Mo. 14,196 10,647 75
Madison, Wis. 14,196 11,378 80
Milwaukee 14,196 10,824 76
Minneapolis 15,588 10,865 70
Sioux Falls, S.D. 12,248 9,566 78
St. Louis 13,918 11,306 81
Wichita, Kan. 12,248 10,131 83
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $14,410 $10,305 72%
Albuquerque, N.M. 12,387 10,408 84
Boise, Idaho 13,222 9,601 73
Colorado Springs, Colo. 13,222 9,670 73
Denver 13,640 7,678 56
Honolulu 17,676 12,372 70
Las Vegas 14,614 5,135 35
Los Angeles 15,449 13,388 87
Phoenix 12,944 6,875 53
Portland, Ore. 14,892 8,045 54
Sacramento, Calif. 15,588 7,859 50
Salt Lake City 12,387 6,751 55
San Diego 15,449 11,305 73
San Francisco 16,841 19,333 115
Seattle 13,779 16,820 122
Spokane, Wash. 14,057 9,333 66
 
National Average $13,918 $10,000 72%
 
Bathroom remodel
Clients can love everything about a house until they get to that bathroom where the ancient tub--caulked, recaulked, and caulked again--seems about as attractive as mildew on a wall. The truth is, bathrooms get old fast, like pop songs and people who worry too much.

The solution, of course, is to haul the tub--and the vanity and the toilet, too—to the Dumpster and start over. What would it cost?

R.S. Means, a project cost estimating company, estimates $9,135 for the 5-by-9-foot room in our project description.

Real estate pros rank the bathroom remodel the third most valuable home improvement (tied with adding a family room). They say that from the standpoint of return on investment, it’s one of the smartest remodels a homeowner can undertake because, nationwide, 71 percent of cost--that’s $6,442--will be recouped at resale. In the Eastern states, make that return 84 percent.

DESIGN TIPS FOR CONSUMERS
  • Design with retirement in mind by widening doors and replacing tubs with showers.—Motheral
  • Given the relatively small space, it’s important to keep color schemes simple and tasteful.--Genuario

    PROJECT DESCRIPTION Update an existing 5-by-9-foot bathroom that’s at least 25 years old with a new standard-sized tub, toilet, and solid-surface vanity counter with integral double sink. Install new lighting, faucets, mirrored medicine cabinet, ceramic tile floor, and ceramic tile walls in tub or shower area (vinyl wallpaper elsewhere).
     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $9,500 $8,018 84%
Albany, N.Y. 8,861 7,544 85
Baltimore 8,404 3,250 39
Boston 10,597 8,028 76
Burlington, Vt. 7,673 5,297 69
Garden City, N.Y. 11,145 15,429 138
Hartford, Conn. 9,409 1,658 18
Lancaster, Pa. 8,770 6,097 70
Nashua, N.H. 8,587 5,879 68
New Haven, Conn. 9,409 9,818 104
Passaic, N.J. 10,231 11,177 109
Philadelphia 10,414 10,206 98
Pittsburgh 9,592 6,459 67
Providence, R.I. 9,409 10,621 113
Westchester, N.Y. 11,145 14,215 128
Wilmington, Del. 8,861 4,593 52
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $7,771 $4,955 64%
Atlanta 7,582 6,598 87
Birmingham, Ala. 7,856 5,062 64
Columbia, S.C. 6,669 4,001 60
Dallas-Ft. Worth 8,039 6,023 75
Houston 8,039 2,268 28
Jacksonville, Fla. 7,765 4,941 64
Knoxville, Tenn. 7,308 3,904 53
Louisville, Ky. 8,587 5,155 60
Miami 7,765 5,575 72
New Orleans 7,856 5,745 73
Raleigh-Durham, N.C. 7,125 5,133 72
Richmond, Va. 7,947 5,619 71
Tampa, Fla. 7,582 4,494 59
Tulsa, Okla. 7,856 6,187 79
Washington, D.C. 8,587 3,625 42
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $8,989 $6,391 71%
Chicago 10,231 7,843 77
Cleveland 9,957 1,493 15
Columbus, Ohio 8,770 7,633 87
Des Moines, Iowa 8,678 4,533 52
Detroit 9,592 6,242 65
Fargo, N.D. 7,125 4,017 56
Grand Rapids, Mich. 8,222 5,315 65
Indianapolis 8,861 5,758 65
Kansas City, Mo. 9,318 7,298 78
Madison, Wis. 9,318 7,102 76
Milwaukee 9,318 6,289 67
Minneapolis 10,231 12,327 120
Sioux Falls, S.D. 8,039 4,467 56
St. Louis 9,135 8,333 91
Wichita, Kan. 8,039 7,215 90
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $9,458 $6,405 68%
Albuquerque, N.M. 8,130 6,675 82
Boise, Idaho 8,678 8,109 93
Colorado Springs, Colo. 8,678 5,616 65
Denver 8,952 4,386 49
Honolulu 11,601 7,540 65
Las Vegas 9,592 3,432 36
Los Angeles 10,140 5,407 53
Phoenix 8,496 4,043 48
Portland, Ore. 9,774 6,843 70
Sacramento, Calif. 10,231 4,092 40
Salt Lake City 8,130 4,149 51
San Diego 10,140 7,590 75
San Francisco 11,053 12,610 114
Seattle 9,044 10,082 111
Spokane, Wash. 9,226 5,500 60
 
National Average $9,135 $6,442 71%
 
Family-room addition
Happy families are all alike,” wrote Leo Tolstoy. Granted, when he made that observation, he probably wasn’t thinking about the family room--that space designed for the relaxed and intimate socializing today’s time-starved homeowners crave. But he might as well have been considering the popular remodel.

This year, family-room additions tie with bath remodels as the third most valuable home improvement at resale. According to R.S. Means, a project cost estimating company, the cost of building on a family room
is $30,960, which returns $21,868, or 71 percent of cost, nationally.

Regional variation in recouping the cost of a family addition is slight compared with other remodeling projects, reflecting its wide and growing popularity.

DESIGN TIPS FOR CONSUMERS
  • Family rooms accessible from several directions encourage family activities.--Motheral
  • Integrate the addition to enhance, not interrupt, traffic flow.--Phillips
  • Entertainment centers on a wall can limit flexibility in locating appliances such as TVs and stereos.--Motheral

    PROJECT DESCRIPTION In a style and location appropriate to the existing house, add—on new crawl space foundation—a 16-by-25-foot room with wood joist floor framing, wood siding on exterior walls, and fiberglass shingle roof. Include drywall interior with batt insulation, tongue-and-groove hardwood floor, and 180 square feet of glazing (including windows, atrium-style exterior doors, and two operable skylights). Tie into existing heating and cooling.
     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $32,198 $25,680 80%
Albany, N.Y. 30,031 23,108 77
Baltimore 28,483 17,121 60
Boston 35,914 27,808 77
Burlington, Vt. 26,006 16,969 65
Garden City, N.Y. 37,771 42,554 113
Hartford, Conn. 31,889 17,145 54
Lancaster, Pa. 29,722 21,797 73
Nashua, N.H. 29,102 23,672 81
New Haven, Conn. 31,889 35,305 111
Passaic, N.J. 34,675 31,006 89
Philadelphia 35,294 24,376 69
Pittsburgh 32,508 20,951 64
Providence, R.I. 31,889 30,754 96
Westchester, N.Y. 37,771 35,702 95
Wilmington, Del. 30,031 16,938 56
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $26,337 $17,924 68%
Atlanta 25,697 20,671 80
Birmingham, Ala. 26,626 16,837 63
Columbia, S.C. 22,601 16,750 74
Dallas-Ft. Worth 27,245 20,433 75
Houston 27,245 13,323 49
Jacksonville, Fla. 26,316 22,119 84
Knoxville, Tenn. 24,768 9,620 39
Louisville, Ky. 29,102 22,714 78
Miami 26,316 19,503 74
New Orleans 26,626 16,807 63
Raleigh-Durham, N.C. 24,149 18,489 77
Richmond, Va. 26,935 17,491 65
Tampa, Fla. 25,697 17,484 68
Tulsa, Okla. 26,626 19,636 74
Washington, D.C. 29,102 16,976 58
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $30,465 $21,118 69%
Chicago 34,675 26,584 77
Cleveland 33,746 19,326 57
Columbus, Ohio 29,722 24,611 83
Des Moines, Iowa 29,412 22,000 75
Detroit 32,508 19,627 60
Fargo, N.D. 24,149 18,578 77
Grand Rapids, Mich. 27,864 18,573 67
Indianapolis 30,031 15,015 50
Kansas City, Mo. 31,579 23,158 73
Madison, Wis. 31,579 26,491 84
Milwaukee 31,579 20,605 65
Minneapolis 34,675 20,690 60
Sioux Falls, S.D. 27,245 17,249 63
St. Louis 30,960 21,667 70
Wichita, Kan. 27,245 22,600 83
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $32,054 $22,749 71%
Albuquerque, N.M. 27,554 23,407 85
Boise, Idaho 29,412 21,501 73
Colorado Springs, Colo. 29,412 19,921 68
Denver 30,341 19,902 66
Honolulu 39,319 24,246 62
Las Vegas 32,508 16,251 50
Los Angeles 34,366 27,492 80
Phoenix 28,793 19,918 69
Portland, Ore. 33,127 17,224 52
Sacramento, Calif. 34,675 19,360 56
Salt Lake City 27,554 18,861 68
San Diego 34,366 31,556 92
San Francisco 37,462 28,122 75
Seattle 30,650 32,134 105
Spokane, Wash. 31,270 21,333 68
 
National Average $30,960 $21,868 71%
 
Major Kitchen remodel
Conventional wisdom has it that when it comes to house hunting, one of the first demands is for a kitchen that’s modern, open, and, above all, bright. Small, dark, and old means it’s time to remodel. And in many markets right now, it’s tough to find a contractor to do the work.

All this makes a major kitchen remodel valuable to homesellers. Nationally, homeowners who invest $31,090 on a completely new kitchen will recoup 70 percent of that, or $21,888, at resale. Little regional variation exists, though kitchens in sizzling real estate markets such as Minneapolis, Seattle, and Westchester, N.Y., return nearly all of what was spent or more. And bear in mind that the kitchen becomes even more valuable if it’s designed for the broadest possible market.

DESIGN TIPS FOR CONSUMERS
  • Don’t design spaces that require clients to bend over or reach down too much. We’re all getting older.--Motheral
  • Make sure the kitchen isn’t way beyond the quality of the rest of the house. Homeowners won’t get their money back if they put a huge gourmet kitchen in a $200,000 house.--Phillips

    PROJECT DESCRIPTION Update an outmoded 200-square-foot kitchen with the design and installation of a functional layout of new cabinets, laminate countertops, midpriced sink and faucet, energy-efficient wall oven, cooktop, ventilation system, built-in microwave, dishwasher, garbage disposal unit, and custom lighting. Add new resilient floor. Finish with painted walls, trim, and ceiling. Include 30 lineal feet of semicustom-grade wood cabinets and counter space, including a 3-by-5-foot center island
     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $32,334 $25,515 79%
Albany, N.Y. 30,157 18,539 61
Baltimore 28,603 11,684 41
Boston 36,064 25,261 70
Burlington, Vt. 26,116 19,151 73
Garden City, N.Y. 37,930 47,973 126
Hartford, Conn. 32,023 14,135 44
Lancaster, Pa. 29,846 24,072 81
Nashua, N.H. 29,225 23,021 79
New Haven, Conn. 32,023 26,667 83
Passaic, N.J. 34,821 26,294 76
Philadelphia 35,443 35,272 100
Pittsburgh 32,645 22,540 69
Providence, R.I. 32,023 28,495 89
Westchester, N.Y. 37,930 44,310 117
Wilmington, Del. 30,157 15,309 51
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $26,447 $18,260 69%
Atlanta 25,805 21,266 82
Birmingham, Ala. 26,737 24,309 91
Columbia, S.C. 22,696 10,449 46
Dallas-Ft. Worth 27,359 15,959 58
Houston 27,359 17,013 62
Jacksonville, Fla. 26,427 21,660 82
Knoxville, Tenn. 24,872 15,551 63
Louisville, Ky. 29,225 27,155 93
Miami 26,427 15,359 58
New Orleans 26,737 21,496 80
Raleigh-Durham, N.C. 24,250 15,317 63
Richmond, Va. 27,048 16,143 60
Tampa, Fla. 25,805 16,530 64
Tulsa, Okla. 26,737 20,387 76
Washington, D.C. 29,225 15,304 52
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $30,593 $22,167 72%
Chicago 34,821 22,053 63
Cleveland 33,888 9,870 29
Columbus, Ohio 29,846 27,939 94
Des Moines, Iowa 29,536 24,833 84
Detroit 32,645 17,948 55
Fargo, N.D. 24,250 17,258 71
Grand Rapids, Mich. 27,981 16,394 59
Indianapolis 30,157 26,073 86
Kansas City, Mo. 31,712 20,612 65
Madison, Wis. 31,712 24,636 78
Milwaukee 31,712 24,927 79
Minneapolis 34,821 34,076 98
Sioux Falls, S.D. 27,359 18,093 66
St. Louis 31,090 25,000 80
Wichita, Kan. 27,359 22,793 83
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $32,189 $21,609 67%
Albuquerque, N.M. 27,670 20,585 74
Boise, Idaho 29,536 28,042 95
Colorado Springs, Colo. 29,536 21,624 73
Denver 30,468 18,031 59
Honolulu 39,484 17,774 45
Las Vegas 32,645 13,593 42
Los Angeles 34,510 22,431 65
Phoenix 28,914 15,728 54
Portland, Ore. 33,266 20,806 63
Sacramento, Calif. 34,821 15,669 45
Salt Lake City 27,670 15,455 56
San Diego 34,510 19,224 56
San Francisco 37,619 36,745 98
Seattle 30,779 37,432 122
Spokane, Wash. 31,401 21,000 67
 
National Average $31,090 $21,888 70%
 
Master suite
Privacy drives the desire for this Shangri-La. Who wants a master suite? Parents with young kids. Parents with teenagers. Parents whose kids have grown up and left. And parents whose parents are coming to live with them. In other words, parents seeking a comfortable retreat as well as a showcase to display to friends.

Master suites don’t come cheap. Project cost estimating company R.S. Means sets the cost of the bedroom, bathroom, and walk-in closet in our project description at $42,826 nationwide. Homesellers can expect to get back an average of 68 percent of that if they sell within the year.

But all is relative. If you start with a two-bedroom, one-bath house and add a master suite, the value of the house goes up “astronomically,” according to Florida remodeler Todd Perry, who specializes in additions. Real estate pros in the hottest markets--Seattle, San Diego, and Atlanta—see returns of more than 90 percent.

DESIGN TIPS FOR CONSUMERS
  • Don’t add a room you have to go through another room to get to.--Phillips
  • Place HVAC equipment where it won’t disturb sleepers.--Perry
  • Make door openings too small.--Motheral

    PROJECT DESCRIPTION In a house with two or three bedrooms, add a 24-by-16-foot master bedroom suite over a crawl space. Bedroom will include a walk-in closet. Master bath will have a dressing area, whirlpool tub, separate ceramic tile shower, and double-bowl vanity. Bedroom floor will be carpeted; floor in bath will be ceramic tile.
     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $44,539 $32,769 74%
Albany, N.Y. 41,541 19,616 47
Baltimore 39,400 25,000 63
Boston 49,678 35,086 71
Burlington, Vt. 35,974 15,329 43
Garden City, N.Y. 52,248 63,062 121
Hartford, Conn. 44,111 22,904 52
Lancaster, Pa. 41,113 28,798 70
Nashua, N.H. 40,256 29,704 74
New Haven, Conn. 44,111 44,352 101
Passaic, N.J. 47,965 35,853 75
Philadelphia 48,822 45,734 94
Pittsburgh 44,967 28,293 63
Providence, R.I. 44,111 35,271 80
Westchester, N.Y. 52,248 43,015 82
Wilmington, Del. 41,541 19,519 47
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $36,431 $25,264 69%
Atlanta 35,546 32,847 92
Birmingham, Ala. 36,830 22,837 62
Columbia, S.C. 31,263 28,569 91
Dallas-Ft. Worth 37,687 26,381 70
Houston 37,687 23,814 63
Jacksonville, Fla. 36,402 24,101 66
Knoxville, Tenn. 34,261 18,345 54
Louisville, Ky. 40,256 27,879 69
Miami 36,402 23,219 64
New Orleans 36,830 23,316 63
Raleigh-Durham, N.C. 33,404 26,152 78
Richmond, Va. 37,259 31,129 84
Tampa, Fla. 35,546 24,248 68
Tulsa, Okla. 36,830 25,321 69
Washington, D.C. 40,256 20,799 52
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $42,141 $28,590 68%
Chicago 47,965 36,773 77
Cleveland 46,680 22,777 49
Columbus, Ohio 41,113 32,813 80
Des Moines, Iowa 40,685 26,200 64
Detroit 44,967 29,153 65
Fargo, N.D. 33,404 26,801 80
Grand Rapids, Mich. 38,543 23,392 61
Indianapolis 41,541 28,001 67
Kansas City, Mo. 43,683 24,025 55
Madison, Wis. 43,683 34,687 79
Milwaukee 43,683 28,393 65
Minneapolis 47,965 30,007 63
Sioux Falls, S.D. 37,687 24,504 65
St. Louis 42,826 36,667 86
Wichita, Kan. 37,687 24,660 65
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $44,339 $29,911 67%
Albuquerque, N.M. 38,115 27,595 72
Boise, Idaho 40,685 24,013 59
Colorado Springs, Colo. 40,685 21,216 52
Denver 41,969 22,854 54
Honolulu 54,389 34,446 63
Las Vegas 44,967 23,161 52
Los Angeles 47,537 35,652 75
Phoenix 39,828 26,778 67
Portland, Ore. 45,824 27,706 60
Sacramento, Calif. 47,965 28,078 59
Salt Lake City 38,115 23,849 63
San Diego 47,537 43,332 91
San Francisco 51,819 41,864 81
Seattle 42,398 41,788 99
Spokane, Wash. 43,254 26,333 61
 
National Average $42,826 $29,134 68%
 
Attic bedroom
Attics used to be the place to store unwanted furniture, old love letters, and crazy relatives. But as bedrooms, they provide a perfect solution for parents of small children or teenagers who want their own digs. The kids get their space--literally--and Mom and Dad get theirs, psychologically.

Making the attic bedroom functional can be tricky because of ventilation and heat. R.S. Means, a project cost estimating company, calculates the cost of building one at $28,654 nationwide. The national average for return on that investment is 65 percent, or $18,753.

But the attic bedroom is a regional improvement, yielding highest return--73 percent--in the East. It’s not something remodelers in California, Arizona, or New Mexico are called on to do that often. After all, you have to have an attic--and a fairly steep one--to turn it into a bedroom.

DESIGN TIPS FOR CONSUMERS
  • Make sure floor joists can support the weight of a bathroom up there.--Perry
  • Place new plumbing over the existing plumbing on the floor below.--Phillips
  • Be certain that ceiling heights meet minimum requirements.--Perry

    PROJECT DESCRIPTION In a house with two or three bedrooms, convert unfinished space in the attic to a 15-by-15-foot bedroom and a 5-by-7-foot shower or bath. Add a 15-foot shed dormer and four new windows. Insulate and finish ceiling and walls. Carpet unfinished floor. Extend existing heating and central air-conditioning to new space. Retain existing stairs.
     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $29,800 $21,789 73%
Albany, N.Y. 27,794 18,838 68
Baltimore 26,362 19,696 75
Boston 33,239 30,619 92
Burlington, Vt. 24,069 7,746 32
Garden City, N.Y. 34,958 28,750 82
Hartford, Conn. 29,514 11,193 38
Lancaster, Pa. 27,508 19,669 72
Nashua, N.H. 26,935 25,456 95
New Haven, Conn. 29,514 28,212 96
Passaic, N.J. 32,092 26,170 82
Philadelphia 32,666 27,979 86
Pittsburgh 30,087 16,408 55
Providence, R.I. 29,514 19,376 66
Westchester, N.Y. 34,958 35,907 103
Wilmington, Del. 27,794 10,812 39
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $24,375 $15,207 62%
Atlanta 23,783 21,480 90
Birmingham, Ala. 24,642 17,228 70
Columbia, S.C. 20,917 16,036 77
Dallas-Ft. Worth 25,216 19,332 77
Houston 25,216 10,071 40
Jacksonville, Fla. 24,356 18,508 76
Knoxville, Tenn. 22,923 13,284 58
Louisville, Ky. 26,935 15,892 59
Miami 24,356 4,237 17
New Orleans 24,642 19,733 80
Raleigh-Durham, N.C. 22,350 19,194 86
Richmond, Va. 24,929 13,721 55
Tampa, Fla. 23,783 12,142 51
Tulsa, Okla. 24,642 16,017 65
Washington, D.C. 26,935 11,223 42
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $28,196 $18,288 65%
Chicago 32,092 19,790 62
Cleveland 31,233 11,789 38
Columbus, Ohio 27,508 25,597 93
Des Moines, Iowa 27,221 13,167 48
Detroit 30,087 17,643 59
Fargo, N.D. 22,350 9,188 41
Grand Rapids, Mich. 25,789 14,668 57
Indianapolis 27,794 22,513 81
Kansas City, Mo. 29,227 17,049 58
Madison, Wis. 29,227 24,254 83
Milwaukee 29,227 21,920 75
Minneapolis 32,092 24,267 76
Sioux Falls, S.D. 25,216 15,502 61
St. Louis 28,654 20,000 70
Wichita, Kan. 25,216 16,969 67
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $29,666 $19,729 67%
Albuquerque, N.M. 25,502 20,720 81
Boise, Idaho 27,221 22,490 83
Colorado Springs, Colo. 27,221 14,333 53
Denver 28,081 8,202 29
Honolulu 36,391 23,047 63
Las Vegas 30,087 12,336 41
Los Angeles 31,806 24,384 77
Phoenix 26,648 16,454 62
Portland, Ore. 30,660 16,081 52
Sacramento, Calif. 32,092 14,441 45
Salt Lake City 25,502 15,763 62
San Diego 31,806 23,266 73
San Francisco 34,671 32,335 93
Seattle 28,367 29,745 105
Spokane, Wash. 28,941 22,333 77
 
National Average $28,654 $18,753 65%
 
Two-story addition
Who plunks down big bucks for a project like this? Growing families, that’s who. They like the neighborhood they’re in and the schools their kids go to. They want to stay put but need more room.

Project cost estimating company R.S. Means estimates construction costs of this project at $73,553, far and away the most expensive item on our shopping list. Nationwide, homeowners can expect to recoup 62 percent of that--$45,910--in a resale. Real estate pros in the East estimate resale value at a substantially larger 70 percent, or $53,290.

Remember, though, a project this big and complicated needs extra attention to ensure that it doesn’t look like one building stacked on top of another, a resale white elephant. “To get your money back, a project like this is going to have to be seamless,” says Florida builder and remodeler George Phillips.

DESIGN TIPS FOR CONSUMERS
  • Always insulate between floors to reduce noise and save energy.--Perry
  • Duplicate the materials from the original house in your addition.--Motheral
  • Putting floor joists 16 inches on center, as opposed to 24 inches, adds strength and stability.--Perry

    PROJECT DESCRIPTION Add a 24-by-16-foot two-story wing over a crawl space, with a first-floor family room and a second-floor bedroom with full bath. Include a prefabricated fireplace in the family room, 11 windows, and an atrium-style exterior door. Floors are carpeted, and walls are of painted drywall. The 5-by-8-foot bathroom has a fiberglass bath-shower, standard-grade toilet, wood vanity with ceramic tile sinktop, ceramic tile flooring, and mirrored medicine cabinet with light strip above. Bathroom walls are papered. Add new heating and cooling system to handle the addition.
     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $76,495 $53,290 70%
Albany, N.Y. 71,346 37,269 52
Baltimore 67,669 33,867 50
Boston 85,321 52,752 62
Burlington, Vt. 61,785 24,660 40
Garden City, N.Y. 89,735 104,934 117
Hartford, Conn. 75,760 29,391 39
Lancaster, Pa. 70,611 50,613 72
Nashua, N.H. 69,140 42,604 62
New Haven, Conn. 75,760 83,627 110
Passaic, N.J. 82,379 64,324 78
Philadelphia 83,850 52,780 63
Pittsburgh 77,231 64,324 83
Providence, R.I. 75,760 49,425 65
Westchester, N.Y. 89,735 72,433 81
Wilmington, Del. 71,346 36,354 51
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $62,569 $36,587 58%
Atlanta 61,049 53,772 88
Birmingham, Ala. 63,256 40,579 64
Columbia, S.C. 53,694 45,303 84
Dallas-Ft. Worth 64,727 43,151 67
Houston 64,727 21,672 33
Jacksonville, Fla. 62,520 39,505 63
Knoxville, Tenn. 58,842 28,314 48
Louisville, Ky. 69,140 35,332 51
Miami 62,520 33,160 53
New Orleans 63,256 37,246 59
Raleigh-Durham, N.C. 57,371 37,554 65
Richmond, Va. 63,991 23,899 37
Tampa, Fla. 61,049 41,639 68
Tulsa, Okla. 63,256 43,487 69
Washington, D.C. 69,140 24,198 35
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $72,376 $43,328 60%
Chicago 82,379 48,054 58
Cleveland 80,173 28,728 36
Columbus, Ohio 70,611 56,066 79
Des Moines, Iowa 69,875 30,000 43
Detroit 77,231 45,023 58
Fargo, N.D. 57,371 41,676 73
Grand Rapids, Mich. 66,198 29,280 44
Indianapolis 71,346 47,583 67
Kansas City, Mo. 75,024 40,013 53
Madison, Wis. 75,024 57,930 77
Milwaukee 75,024 45,014 60
Minneapolis 82,379 54,064 66
Sioux Falls, S.D. 64,727 34,321 53
St. Louis 73,553 53,333 73
Wichita, Kan. 64,727 38,840 60
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $76,152 $50,433 66%
Albuquerque, N.M. 65,462 36,900 56
Boise, Idaho 69,875 34,988 50
Colorado Springs, Colo. 69,875 26,966 39
Denver 72,082 39,127 54
Honolulu 93,412 57,604 62
Las Vegas 77,231 39,631 51
Los Angeles 81,644 65,314 80
Phoenix 68,404 42,066 61
Portland, Ore. 78,702 38,273 49
Sacramento, Calif. 82,379 51,487 62
Salt Lake City 65,462 40,547 62
San Diego 81,644 72,609 89
San Francisco 88,999 90,666 102
Seattle 72,817 67,655 93
Spokane, Wash. 74,289 52,667 71
 
National Average $73,553 $45,910 62%
 
Window replacement
People don’t think much about their windows until they forget to close them before a thunderstorm hits. Suddenly windows become uppermost in their minds. Almost a century after Prairie School architects such as Frank Lloyd Wright showed the world that windows--the point where light and air enter a building--can be used to eliminate the formal distance between inside and out, people still take them for granted. But that attitude vanishes quickly when windows break or wear out. When heat or air-conditioned air—in other words, money--starts flowing out, windows suddenly demand attention.

Removing those old windows and putting in new ones is a relatively inexpensive home improvement. R.S. Means, a project cost estimating company, calculates a cost of $7,531 for the 10 window replacements described below. Nationwide, that investment would return 56 percent, or $4,226. Return in some markets can be far higher. Regional preferences run strong: In the East, with its older homes and cold winter weather, return averages 61 percent. In the South, with less weather-related wear and tear, homeowners recoup 48 percent.

DESIGN TIPS FOR CONSUMERS
  • Install a product consistent with the house and the neighborhood it’s in.--Phillips
  • Avoid future service problems by replacing rotten sills or casings even if it adds costs to the job.--Zisman
  • Adequate or more-than-adequate insulation ensures the energy efficiency of the window.--Genuario

    PROJECT DESCRIPTION Replace 10 existing 3-by-5-foot windows with aluminum-clad windows, including new trim. Replace sash, frames, and casings. Option: Replace sashes only; existing frames remain in place.
     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $7,832 $4,758 61%
Albany, N.Y. 7,305 5,007 69
Baltimore 6,929 3,417 49
Boston 8,736 6,454 74
Burlington, Vt. 6,326 4,285 68
Garden City, N.Y. 9,188 7,567 82
Hartford, Conn. 7,757 1,943 25
Lancaster, Pa. 7,230 3,974 55
Nashua, N.H. 7,079 3,778 53
New Haven, Conn. 7,757 8,043 104
Passaic, N.J. 8,435 4,628 55
Philadelphia 8,585 2,174 25
Pittsburgh 7,908 6,703 85
Providence, R.I. 7,757 3,614 47
Westchester, N.Y. 9,188 6,427 70
Wilmington, Del. 7,305 3,359 46
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $6,406 $3,093 48%
Atlanta 6,251 4,128 66
Birmingham, Ala. 6,477 3,502 54
Columbia, S.C. 5,498 2,532 46
Dallas-Ft. Worth 6,627 3,314 50
Houston 6,627 1,325 20
Jacksonville, Fla. 6,401 5,403 84
Knoxville, Tenn. 6,025 3,669 61
Louisville, Ky. 7,079 1,830 26
Miami 6,401 3,303 52
New Orleans 6,477 3,148 49
Raleigh-Durham, N.C. 5,874 2,595 44
Richmond, Va. 6,552 4,745 72
Tampa, Fla. 6,251 2,277 36
Tulsa, Okla. 6,477 3,319 51
Washington, D.C. 7,079 1,298 18
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $7,411 $4,493 61%
Chicago 8,435 5,904 70
Cleveland 8,209 2,350 29
Columbus, Ohio 7,230 5,196 72
Des Moines, Iowa 7,154 4,200 59
Detroit 7,908 4,655 59
Fargo, N.D. 5,874 3,012 51
Grand Rapids, Mich. 6,778 3,456 51
Indianapolis 7,305 4,626 63
Kansas City, Mo. 7,682 5,249 68
Madison, Wis. 7,682 5,891 77
Milwaukee 7,682 3,840 50
Minneapolis 8,435 6,474 77
Sioux Falls, S.D. 6,627 3,538 53
St. Louis 7,531 4,000 53
Wichita, Kan. 6,627 4,997 75
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $7,797 $4,560 58%
Albuquerque, N.M. 6,703 5,026 75
Boise, Idaho 7,154 6,178 86
Colorado Springs, Colo. 7,154 3,579 50
Denver 7,380 4,166 56
Honolulu 9,564 5,100 53
Las Vegas 7,908 2,194 28
Los Angeles 8,359 1,393 17
Phoenix 7,004 2,450 35
Portland, Ore. 8,058 3,257 40
Sacramento, Calif. 8,435 5,236 62
Salt Lake City 6,703 3,759 56
San Diego 8,359 6,683 80
San Francisco 9,113 7,667 84
Seattle 7,456 7,139 96
Spokane, Wash. 7,606 4,567 60
 
National Average $7,531 $4,226 56%
 
Deck addition
Sunlight, fresh air, and vegetation exert a subtle, subconscious pull that makes a deck the next best thing to a walk in the woods. Decks extend the house outdoors, providing a comfortable place off the den, kitchen, or family room to relax and entertain.

Denver real estate salesperson Jeanne Gschwend calls decks a “bells and whistles” item that helps persuade fence-sitting homebuyers. “It doesn’t even have to be elaborate,” she says.

R.S. Means, a project cost estimating company, estimates the cost of building the pressure-treated pine deck in our project description at $8,022 nationwide. The project recoups $4,346, or 54 percent, at resale.

Decks get more use in warm climates. But they’re popular everywhere, and the value returned at resale varies little from region to region.

DESIGN TIPS FOR CONSUMERS
  • Locate piers on solid ground, not fill.--Genuario
  • Don’t make decks too cozy or small.--Motheral
  • Make sure you’re adequately bolting the deck to the house.--Genuario

    PROJECT DESCRIPTION Add a 16-by-20-foot deck of pressure-treated pine supported by 4-by-4-foot posts set into concrete footings. Include a built-in bench, railings, and planter, also of pressure-treated pine. Option: Same as above but built from cedar.

     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $8,343 $4,749 57%
Albany, N.Y. 7,781 4,850 62
Baltimore 7,380 3,167 43
Boston 9,306 5,022 54
Burlington, Vt. 6,738 2,344 35
Garden City, N.Y 9,787 8,122 83
Hartford, Conn. 8,263 2,248 27
Lancaster, Pa. 7,701 4,620 60
Nashua, N.H. 7,541 4,411 58
New Haven, Conn. 8,263 7,826 95
Passaic, N.J. 8,985 5,709 64
Philadelphia 9,145 4,369 48
Pittsburgh 8,423 5,405 64
Providence, R.I. 8,263 3,374 41
Westchester, N.Y. 9,787 6,326 65
Wilmington, Del. 7,781 3,442 44
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $6,824 $3,586 53%
Atlanta 6,658 4,825 72
Birmingham, Ala. 6,899 3,914 57
Columbia, S.C. 5,856 3,147 54
Dallas-Ft. Worth 7,059 3,529 50
Houston 7,059 2,313 33
Jacksonville, Fla. 6,819 3,080 45
Knoxville, Tenn. 6,418 2,665 42
Louisville, Ky. 7,541 3,831 51
Miami 6,819 3,228 47
New Orleans 6,899 4,545 66
Raleigh-Durham, N.C. 6,257 5,071 81
Richmond, Va. 6,979 3,371 48
Tampa, Fla. 6,658 3,964 60
Tulsa, Okla. 6,899 3,535 51
Washington, D.C. 7,541 2,765 37
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $7,894 $4,671 59%
Chicago 8,985 4,791 53
Cleveland 8,744 2,545 29
Columbus, Ohio 7,701 3,734 48
Des Moines, Iowa 7,621 4,367 57
Detroit 8,423 5,882 70
Fargo, N.D. 6,257 3,898 62
Grand Rapids, Mich. 7,220 4,603 64
Indianapolis 7,781 6,095 78
Kansas City, Mo. 8,182 2,612 32
Madison, Wis. 8,182 5,818 71
Milwaukee 8,182 3,580 44
Minneapolis 8,985 8,623 96
Sioux Falls, S.D. 7,059 4,283 61
St. Louis 8,022 5,500 69
Wichita, Kan. 7,059 3,733 53
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $8,305 $4,380 53%
Albuquerque, N.M. 7,140 1,874 26
Boise, Idaho 7,621 3,624 48
Colorado Springs, Colo. 7,621 3,445 45
Denver 7,862 2,986 38
Honolulu 10,188 3,735 37
Las Vegas 8,423 2,281 27
Los Angeles 8,904 4,452 50
Phoenix 7,460 3,609 48
Portland, Ore. 8,584 2,466 29
Sacramento, Calif. 8,985 4,492 50
Salt Lake City 7,140 3,570 50
San Diego 8,904 5,034 57
San Francisco 9,707 13,873 143
Seattle 7,942 6,595 83
Spokane, Wash. 8,102 3,667 45
 
National Average $8,022 $4,346 54%
 
Home office
Lancaster, Pa., real estate pro Betty Holmes recently showed a house to a husband and wife. They both worked outside the home and needed to be in touch with their businesses by computer. The current homeowners had converted a den to an office, complete with extra phone lines. The home office landed that sale. “That’s what they were looking for,” Holmes says. “They wanted that extra room.”

Home offices appeal to the growing number of telecommuters and self-employed business owners. But they’re still not for everyone. Again this year, this remodel ranks lowest of any of the projects on our list in terms of return on investment at resale. Nationally, real estate pros estimate a 50 percent return on a job that R.S. Means, a project cost estimating company, calculates to cost $8,356. That figure jumps to 65 percent in the East and far higher in metropolitan markets such as San Francisco and suburban New York, where work-at-homers are abundant and space is at a premium.

DESIGN TIPS FOR CONSUMERS
  • Allow enough room for both computers and peripherals. Home offices now come equipped with scanners, digital cameras, everything you can imagine.--Motheral
  • Plan on separate circuits for different types of equipment and install dedicated lines where needed.--Genuario

    PROJECT DESCRIPTION Convert an existing 12-by-12-foot room into a home office. Install custom cabinets to include desk area, computer workstation, overhead storage, and 20 feet of laminate desktop. Rewire room for computer, fax machine, and other electronic equipment, as well as cable and telephone lines. Include drywall interior and commercial-grade level-loop carpeting.
     
Region or City
 Job Cost
Resale Value
Cost Recouped
East Average $8,690 $5,610 65%
Albany, N.Y. 8,105 4,610 57
Baltimore 7,688 3,500 46
Boston 9,693 6,603 68
Burlington, Vt. 7,019 1,602 23
Garden City, N.Y. 10,194 11,044 108
Hartford, Conn. 8,607 2,861 33
Lancaster, Pa. 8,022 4,605 57
Nashua, N.H. 7,855 5,207 66
New Haven, Conn. 8,607 7,133 83
Passaic, N.J. 9,359 10,566 113
Philadelphia 9,526 6,113 64
Pittsburgh 8,774 6,624 75
Providence, R.I. 8,607 3,270 38
Westchester, N.Y. 10,194 6,914 68
Wilmington, Del. 8,105 3,505 43
 
Region or City
 Job Cost
Resale Value
Cost Recouped
South Average $7,108 $3,184 45%
Atlanta 6,935 6,123 88
Birmingham, Ala. 7,186 4,446 62
Columbia, S.C. 6,100 1,756 29
Dallas-Ft. Worth 7,353 4,412 60
Houston 7,353 2,014 27
Jacksonville, Fla. 7,103 2,335 33
Knoxville, Tenn. 6,685 3,593 54
Louisville, Ky. 7,855 4,460 57
Miami 7,103 2,454 35
New Orleans 7,186 3,507 49
Raleigh-Durham, N.C. 6,518 2,203 34
Richmond, Va. 7,270 1,375 19
Tampa, Fla. 6,935 3,868 56
Tulsa, Okla. 7,186 2,730 38
Washington, D.C. 7,855 2,487 32
 
Region or City
 Job Cost
Resale Value
Cost Recouped
Midwest Average $8,222 $3,775 46%
Chicago 9,359 2,651 28
Cleveland 9,108 3,188 35
Columbus, Ohio 8,022 4,003 50
Des Moines, Iowa 7,938 3,833 48
Detroit 8,774 3,145 36
Fargo, N.D. 6,518 4,296 66
Grand Rapids, Mich. 7,520 3,402 45
Indianapolis 8,105 5,403 67
Kansas City, Mo. 8,523 2,841 33
Madison, Wis. 8,523 3,841 45
Milwaukee 8,523 3,196 37
Minneapolis 9,359 6,296 67
Sioux Falls, S.D. 7,353 3,425 47
St. Louis 8,356 2,833 34
Wichita, Kan. 7,353 4,266 58
 
Region or City
 Job Cost
Resale Value
Cost Recouped
West Average $8,651 $4,308 50%
Albuquerque, N.M. 7,437 3,160 42
Boise, Idaho 7,938 2,654 33
Colorado Springs, Colo. 7,938 3,518 44
Denver 8,189 2,438 30
Honolulu 10,612 6,340 60
Las Vegas 8,774 2,789 32
Los Angeles 9,275 4,019 43
Phoenix 7,771 2,721 35
Portland, Ore. 8,941 4,235 47
Sacramento, Calif. 9,359 3,860 41
Salt Lake City 7,437 3,615 49
San Diego 9,275 5,137 55
San Francisco 10,111 12,040 119
Seattle 8,272 5,597 68
Spokane, Wash. 8,440 2,500 30
 
National Average $8,356 $4,219 50%
 
CONTRIBUTORS . . .
Resale values for the “1999 Cost vs. Value Report” were estimated by the following real estate professionals. REALTOR® Magazine is grateful for their assistance.

EAST
Albany, N.Y.
Michael A. Jackson Jr., Blackman & DeStefano; Bob Sandberg, Coldwell Banker Prime Property; Alan Shurek, Shurek Real Estate; Dean Taylor, RE/MAX Property Professionals

Baltimore
Chris Hane, ERA Eagle Realty; Barry Nabazny, AAA Appraisers; Walter McGuire O'Conner, Piper & Flynn

Boston
Tom Barnes, Century 21; Shaun Fitzgerald, Fitzgerald Appraisals, Brockton, Mass.; Marc Gallant, The Boston Company; Jim O'Reilly, Greater Boston Real Estate; Robert A. Stallard, RE/MAX Advantage Real Estate, Beverly, Mass.

Burlington, Vt.
Carol Audette, Lang Associates, South Burlington, Vt.; Bruce Hewett, South Burlington, Vt.

Garden City, N.Y.
Sandra Engelke, Jaenichen Realty; Dougall Fraser, Dougall C. Fraser Real Estate; Jill Mayer, Fred Stutzmann Realty; John McMahan, McMahan Realty; Mary Weille, Fred Stutzmann Realty

Hartford, Conn.
Frank V. Eddy, Century 21 Eddy, Newington, Conn.; Frank Jacobs, Frank A. Jacobs Real Estate Co.; Keith Tinker, Tinker Real Estate; Dennis Veleas, Realty Executives Capitol Region, Newington, Conn.; Tony Wasilefsky, Prudential, Glastonbury, Conn.

Lancaster, Pa.
Betty Holmes, Coldwell Banker Homesale Services; Bill Rothermel, RE/MAX Associates of Lancaster

Nashua, N.H.
Denise Barry, Top Sell Realty; Tom McPherson, RE/MAX Properties; Brian Moses, Coldwell Banker; Bob Winkler, Advanced Realty Group

New Haven, Conn.
Paul Danehy, Benjamin Danehy & Associates; Carol Ann Falasca, Coldwell Banker, Norwalk, Conn.; Mike Hallahan, Appraisal Associates; Fred Ohrn, Ohrn & Co.; Chris West, West Construction Corp., New Canaan, Conn.

Passaic, N.J.
David Finale, Century 21 Evdana Realty; Robert Spiegel, Synchris Realty; Maryann Taormina, Century 21 Gold Key Realty

Philadelphia
Ted Gay, Solo Real Estate; Basil Reinhardt, Reinhardt Real Estate; Pat Shea, Monitor Ag; Deborah Solo, Solo Real Estate

Pittsburgh
Wallace Czekalski, Czekalski Real Estate, Natrona Heights, Pa.;
Anthony Maola, Coldwell Banker Real Estate, Monroeville, Pa.;
Cristine Popko, Coldwell Banker; Benedict Serratore, South Pittsburgh Realty Co.; Alexandra Slavkovic, Coldwell Banker

Providence, R.I.
Erin Dilsaver, Andolto Appraisal Co.; Stephen Doyle, Stephen F. Doyle Real Estate; Anne Giardina, Bayside Realty Group; Lois Lans, Chaney Richmond & Viking; Gloria Vincent, Century 21 Hughes & Carey; Michael Young, Coleman, REALTORS®

Westchester, N.Y.
Mary Ellen Bickler, Brown-Bickler & Co., White Plains, N.Y.; J.P. Endres, David Endres Realty Group, Scarsdale, N.Y.; Florence Rehders, Claire Leone Associates, Scarsdale, N.Y.


Wilmington, Del.
George Allen, Allen Appraisal Associates; Sally and Lou Bachman, Patterson Schwartz, Hockessin, Del.; Sean McClafferty, White Robbins Property Management; Ruth Vella, Weichert, REALTORS®; Buck White, Realty Executives; Steven P. Witsil,
Witsil, REALTORS®

SOUTH
Atlanta
George Chase, Chase Realty; Shenita Jones, Q.V. Williamsons & Co.; Joyce Lyn King, RE/MAX Cascade; Lori Strickland, Northside Realty

Birmingham, Ala.
Adrianne Lee, Avenue of Homes; Malcom McLeod, Alabama Home Mortgage; Bill Templin, Ray & Co. Real Estate; Tommy Young, Young & Son Real Estate

Columbia, S.C.
Naomi Scipio, Central City Realty; Dana Wolfe, Wolfe Co.

Dallas-Ft. Worth
Ken Channell, HomeVestors of America; Jana Greening, Perry & Allen; Pat Haines, Adleta & Poston, REALTORS®

Durham, N.C.
Bennie Glenn, Signet Group Realty Associates; John Hamrick, Howard Perry & Walston; Shelli Plasser, Howard Perry & Walston; David Smith, Charles Smith & Assoc.

Houston
Brian Banks, First Houston Appraisal; Mary Compton, Re/Max Real Estate Group 1; Ron Helton, Helton & Megarity, REALTORS®

Jacksonville, Fla.
Barbara Freeland, Freeland Realty; Barry Goldstein, Goldstein Realty Group; Lee B. Norville, Norville Realty; Stewart Steeg, Steeg & Associates; Mel G. Ward, Mel G. Ward & Associates

Knoxville, Tenn.
Susan Lewis, Cumberland Appraisal Group; Pete Norris, H.P. Norris; Sandra Tuck, Donald White & Associates; Gregg Williams, Station West Realty Services

Louisville, Ky.
Wayne Lanham, Allgeier Co.; Tom Rohan, Chapman & Bell; Rita Spalding, English Appraisal

Miami
Ted Kowalski, Florida Appraisal Service Team; Stephen Maltheliati, Appraisal Works

New Orleans
John Clancy, John Clancy Appraisal; Al Claude, TLC Realty; Walter Marschner, Jefferson Parish Appraisal Svc.;
Margaret Stewart, Latter & Bloom

Richmond, Va.
Bill Kiniry, Jupiter Realty; Chris Quidort, Service Mark Appraisal Co.; Jamie Ronning, Jupiter Realty; Bill Stele, Proctor Realty Co.

Tampa, Fla.
Bob Gradson, Bob Gradson Realty; Rosemary Hand, Hand Realty Services; Patrick Keefe, Keefe Appraisal Svc.; Barbara Lewis, River City Realty

Tulsa, Okla.
Becky Hotson, Southwest Properties; Rich Howse, Rich Howse Inc.; Warren Morris, Warren Morris & Co.; Dick Ruprecht, McGraw, Davisson & Stewart, REALTORS®

Washington, D.C.
Spurgeon Burruss, Edward W. Jones Realty Co.; Braxton Young, Glenmont Corp.

MIDWEST
Chicago
George Arko, Century 21 Investors; Kevin Walsh, Accu-Comp Appraisals

Cleveland
Joe Callari, Century 21 Beyond 2000 Realty Co.; Robert Ruckstuhl,
Ruckstuhl Appraisal; Leon Stewart, Brec-Consultants

Columbus, Ohio
Jeff Lieberman, Drexel Real Estate Services; Omar Lindner, Lindner Realty Co.; Ned Merkle, Ned Merkle & Co., REALTORS®; Beth Snyder, Spark's Realty Co.

Des Moines, Iowa
Linda Busick, CAA Appraisal Services; Jeff Lewis, ERA Universal Realty; Bunny Southard, RE/MAX Action Realty

Detroit
Tracy Tilmon Johnson, ERA New Center Realty; Mary Lain, United Trust Real Estate; Alonzo “Al” Young, RE/MAX City

Fargo, N.D.
Dick Arman, RE/MAX Realty; Wallace Melhus, Melhus Real Estate Appraisals; Al Schierman, Advantage, REALTORS®

Grand Rapids, Mich.
Charles Jakems, Jakems Realty Co.; Michael Oakes, Blandford Appraisal Co.; Betsy Westman, Westman Realty; Dan Wiersma, Oxford Partners

Indianapolis
Charles Efroymson, Charles F. Efroymson Realty

Kansas City, Mo.
John Garret, Garret Real Estate Appraisal Co.; Don Gossman, Gossman & Associates

Madison, Wis.
Nancy Benzschawel, Restaino Bunbury & Associates; Jim Espeseth, United Real Estate; Michael Hershberger, The Hersh Group

Milwaukee
Trudy Brown, Deer Realty Co.; Tom Dwyer,
Dwyer Klose, REALTORS®; Chris Kratcheck, Americorp Wisconsin; Don Pittelman, Sentinel Realty; Becky Voros, First Realty

Minneapolis
Zoe Drookwimyternngbeh, Zoe Realty; Steven
Smith, Proforce Real Estate

Sioux Falls, S.D.
Robin Burgard, Century 21 Advantage; Steve Johnson, Century 21 First Real Estate

St. Louis
Bob Mitchell, ValueList Real Estate Svc.; Clark Rowley, Clark Rowley Real Estate; Bill Schrimph, Appraisal Direct

Wichita, Kan.
Arthur Anderson, Arthur Anderson Real Estate; Mark Freitag, Freitag Appraisals & Consulting; Edd Harms, RE/MAX Realty; Mary Lou Schmidt, Mary Lou Schmidt Realty; Dawn Wade, Crown lll Realty

WEST
Albuquerque, N.M.
David Baird, Baird & Baird Real Estate; Harvey Grasty, Douglas Vaughn; Sandra Henderson, Nob Realty; Sherry Schultz, Key Realty-Residential

Boise, Idaho
Dan Flanagan, Century 21; Clare Gaylord, Prudential Idaho Properties; David Jensen, RE/MAX; Adelaide McLeod, McLeod Realty

Colorado Springs, Colo.
Frank E. Howard, Heri-
tage, REALTORs®; Arlene Meyers, Mesa Valley Realty; Jim Tiedemann, Washington Mutual

Denver
Arthur Alarcon, Associates Value Consultants; Marc Berk, Express Appraisals; Daniel Weingast, DMW Realty & Development, Boulder, Colo.

Honolulu
George Hao, George Hao & Associates; Norman Noguchi, Marcus & Associates; Andrew Rothstein, Nathan Dement, The Appraisal Co.; Edwin Yost, Midpac International Realty

Las Vegas
Scott Randall, Randall Co.; Ronald J. Rush, Desert Appraisal Svc.; Wayne Savage, Share Realty

Los Angeles
Michael Camras, Camdan & Associates; Jay Griffey, Benjamin Tunnel Inc.; Ron Losch,
Coldwell Banker Westwood; Antonio Villanueva, Nino's Realty

Phoenix
Robert Bagley, Appraisal Professionals; Bill Goodheart, Goodheart Realty; Thom andJulia Jeffries, Realty Executives

Portland, Ore.
Steve Anderson, Prudential Northwest Properties; Mathew Meyer, Meyer Appraisal; Pat Prendergast, Realty Trust Associates; A. Rao, John L. Scott

Sacramento, Calif.
Frank Durant, RE/MAX Antelope; Dave Karavas, Central Valley Appraisal Group; Dave Labela,
Frank Labella Inc.; Marie Risley, Appraisal Group

Salt Lake City
Eric Christianson, Cook Group; Glen Lee, Spectra Real Estate;Cathy Mooney, Cathy Mooney Real Estate; Allen Payne, Payne Appraisal Co.

San Diego
Saylor Crayk, Century 21; Tom Neely, Neely & Co.

San Francisco
Chris Banis, Soval Realty; Stephanie Draper, Frank Howard Allen, San Rafael, Calif.; Bruce McKleroy, Ritchie Hallanan Real Estate; Don Nasser, Bay Properties; Curt Shaw, Curt Shaw & Associates

Seattle
Ray Alczas, Gerrard Beatte Knapp; Jim Feely, Allan Dennis Inc., Mercer Island, Wash.; Darryl Smith, Windermere Real Estate; Nick Upshaw, Windermere Real Estate

Spokane, Wash.
Mike Crowley, Spokane Home Buyers; Shirley Foien, Cheney Realty, Cheney, Wash.; Bill Slater, Klein-Hansen, REALTORS®
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