Fixtures, flooring, nice furniture, lighting, etc. will add-up costs for you.
I guess depends on what you consider "major".
You could easily spend $3K (or more) extra on fixtures.
For your basement ($18K), that is more than 15% extra.
You realize that you are responding to a thread that hasn't had a post in 6 1/2 years?
I wouldn't expect to get any money back actually. Best case, maybe 25%, maybe....
Mainly because you don't know your comparables until you sell and there are so many other factors that go into home ownership for prospective buyers.
It's part of the cost of maintaining the home - unfortunately.
(Yes, realize this yyz - I had some inspiration to respond!)
Hidden Content - Working on a $1 million portfolio and $30k per year from it.
Edit: Can you not embed images around here?
Last edited by bobsyouruncle; 2017-01-12 at 11:28 AM.
I have also done a renovation on my basement. To determine the additional value it would add to my home I did a little research. What I found is that typically a finished basement will add another $40-60 per square foot. So, a 600 square foot basement would add $30,000 to $40,000 depending on the home's location.
I've done a couple basement improvements in my day, and I would have to agree with some of the responses that a basement renovation will only add about 10% to the value of the home. While adding a extra bedroom with bathroom (2 or 3 piece) can add resale potential, it doesn't necessarily add that much extra value to the home when selling.
A 20 x 30 foot basement area (600 sqft approximately) can be good for a small 10 x15 bedroom (150 sq ft), and a 15 x 20ft living space (300 sq ft) living space area with a 10 x 10 kitchenette/bathrom area (100sq ft), it can be quite an expensive undertaking these days.
Wall insulation, insulated floor, electric baseboard heating , toilet and drain plumbing, the electrical and plumbing modifications will add significant cost along with any permits + reassessments.
The big hurdle is to provide a fire escape egress for the live-in person. Basement windows have to be enlarged in that case and that can add significant costs to the renovation.
Last edited by carverman; 2017-01-12 at 03:38 PM.
I'm not sure where these folks are getting their numbers from....but I create basement apartments for a living. I do this on properties that I OWN and then I have them appraised. Normally I get about 180% return on my investment, and occasionally 200%. So in other words, if I spend 50k, I increase the value of the property buy roughly 100k.
Here's a link to one of my video series that documents the entire process:
Marty what city are you living in. Watched your videos (great by the way). I am in Ottawa. Would like to ask you a few questions about a basement apartment.