Home Additions and Renovations in the Long Beach Island NJ Real Estate Market
There is no question that a home in the Long Beach Island real estate market is a considerable investment. With home prices trending higher, both buyers and sellers are paying close attention to market trends and home prices. I am often asked how to improve the value of a home on Long Beach Island and this question usually leads to discussing the pros and cons of home additions in the LBI real estate market.
Pros and Cons of Home Additions in the LBI Real Estate Market
Additions to a home can have many positive and many negative effects. It is important to consider the overall cost of the project, and how this cost will relate to the long-term value of a home in the LBI real estate market. This is where it gets tricky! In almost every situation, land is the principal valuation for price in the LBI real estate market. Therefore, making a considerable addition may not net more money or increase the value of your home if the highest and best use of your real estate is a new construction home. I see many cases where there is a lovely home which is torn down due to its location and proximity to the beach. When discussing the pros and cons of home additions in the LBI real estate market it is best to first decide if building a new home is truly the best investment. In short, an addition to a home can increase:
- The value of your home, assuming it is in the right location
- The enjoyment of your home by adding additional bedrooms and living space
- An improvement in the overall design and curb appeal of a home
Before making any considerable investment to a home in the LBI real estate market you should sit down and look at the current market trends to determine whether or not the investment can be recouped in the event you sell your home at a later date. Very often, it cannot be.
The exceptions to this are:
- The traditional Cape Cod homes which can be renovated, assuming they are not in very close proximity to the beach
- Older contemporary homes in good locations with good layouts that need cosmetic updates
- Homes that may be eligible for legal ground floor living space
Overall, discussing the pros and cons of home additions in the LBI real estate market is a key first step to any investment on Long Beach Island. It is important to understand the unique dynamics that exist in the LBI real estate market. They can have a significant impact on your home’s value. I am happy to discuss the best options for your home from a market perspective so you can have all the information needed to make an informed decision.
By : Nathan Colmer | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | firstname.lastname@example.org
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