Best-bet home improvements

This article is reprinted from Wine Country Real Estate, a special advertising section of The Press Democrat.

When it comes to adding improvements to your home, the choices are almost endless. Should I treat my home to new exterior paint? Put in new flooring? Expand the deck? Make a large investment and redo the kitchen? Or should I put in the hot tub and gazebo I've always dreamed of?

Most homeowners want to know the return they will see on the improvements they add to their homes. Unfortunately, you can't always expect to recoup your costs when it's time to sell. Just because you put $25,000 worth of improvements into your home doesn't mean that your house will be worth $25,000 more. It's the kind of improvements you make that will determine the returns you will see.

The good news for our current market is that if you choose upgrades carefully, they could add more value to your home than they cost to complete. Spending a little time evaluating your individual situation can make all the difference. When it's time to upgrade, there are three questions to ask yourself before you get started:

Should I Paint?Should I Upgrade the Kitchen?Should I Add an Extra Bathroom?Should I Add a Deck?Should I Install New Windows?Should I put in a Swimming Pool?Should I add a Picture-Perfect Garden?All Cost vs. Value data © 2014 Hanley Wood, LLC. Complete data from the Remodeling 2014 Cost vs. Value Report can be downloaded free at www.costvsvalue.com.

- How long am I planning on staying in my current home?

- What upgrades would increase my enjoyment of my current home?

- What upgrades will increase the value of my home for resale?

If you are planning on staying in your home for a long time, complete the projects that will make you happiest. You are investing in your own enjoyment, and you will reap the rewards every time you appreciate that new enhancement! Don't be afraid to customize to your own style if you are doing it for your personal pleasure, and plan to enjoy it for years to come.

If you are planning on reselling in the near future, however, consider the improvements that will add value to your home in the eyes of a potential buyer. Buyers want to easily imagine themselves living in their new home, and a home with too many unique additions can distract them instead of delight them.

Though it may not sound very exciting, it's the basic improvements you make to your home that will have the greatest return on value. Be sure that all parts of your home are in good working order before starting cosmetic changes—a new custom mural won't make up for a leaky roof. It's a good idea to start with a home inspection and a pest inspection completed by a reputable company. They will help you identify any structural problems that need to be resolved. A well maintained home is highly desirable.

Below are some examples of some of the improvements that usually pay off, and some that rarely make a difference (no matter how much you paid for them) when it comes time to sell your home.

If you're planning to sell your home in a year or two, a fresh coat of a neutral-toned paint could make the sale easier. A professional exterior paint job will usually recoup all of its cost. Let's face it: we all like things to look fresh.

With just a few basic improvements, your kitchen can practically pay you back with interest! New paint, counters, and flooring are always appreciated. You might even consider sanding, staining or painting well used cabinets. Replacing old cabinet hardware is a low-cost improvement that makes a big difference in appearance.

According to Remodeling's 2014 Cost vs. Value Report, the average cost of a major kitchen remodel in the Bay Area is around $68,000, while a minor one averaged $24,000. The average full kitchen remodeling recouped 111% of its cost and the minor remodel was valued at 146%.

If you are remodeling to add value to your home, remember to choose finishes that should appeal to a wide variety of buyers. A brand new, but highly specific kitchen, will narrow the number of potential buyers.

At an average cost of $50,000, a new bathroom addition can recoup about 111% of its total cost, according to the Cost vs. Value Report. This is especially true if your home currently has only one bathroom. Adding that second bath, even if it's a half-bath, will add tremendous selling value.

Adding a deck is a very cost-efficient way to add living space to your house. The Cost vs. Value Report estimates that wood decks cost around $12,000 and generally recoup 177% of their value. That's an excellent return. If you are considering an outdoor improvement, a deck is generally the way to go.

Adding new windows is a terrific improvement. The Cost vs. Value Report estimates that installing vinyl windows averages $12,000 and they generally recoup 120% of their value. And, you will get to enjoy utility bill savings until you are ready to sell! One caveat: try not to get too fancy with custom shapes and sizes. The return on these is not usually as great as the return on standard windows.

In a word: don't! Unless you're putting it in for you and your family to enjoy, it's commonly agreed that a swimming pool does not add to (or take away from) the resale value. The value for pools in the luxury market can vary, so luxury homes should be evaluated on a case-by-case basis.

It is very important to have your yards and gardens neat and tidy. Adding a garden full of rare roses, however, is not a cost that you are likely to recoup. If the potential buyer is not horticulturally inclined, chances are your floral handiwork won't add to the offering price. The same can be said for expensive fences and stone walls—they look nice, but buyers don't pay up for them.

If you are staying put, make your house into a home. You want to enjoy it in the ways that best suit your individual lifestyle. If you are getting ready to sell, you will want to convert your home back into a house—a clean, neat, fresh place for a new owner to call their home.