Monday, September 16, 2024 / by Richard Eimers
THE HIDDEN GOLDMINE: DISCOVER THE RENOVATION PROJECTS THAT BOOST PROPERTY VALUE ON THE EMERALD COAST!
As a local real estate agent specializing in the beautiful coastal communities of Destin, Miramar Beach, Santa Rosa Beach, 30A, and Inlet Beach, I'm excited to share insights on renovations that offer strong returns on investment (ROI) for second homes and income-producing properties in our area. The unique characteristics of our market, with its focus on vacation rentals and luxury second homes, mean that certain renovations can significantly boost your property's value and appeal. Let's dive into some of the most impactful renovations, with a special focus on new garage doors and minor kitchen remodels.
Richard Eimers Broker/Owners September 16, 2024
The Emerald Coast Advantage
Before we explore specific renovations, it's important to understand what makes our market unique:
New Garage Doors: A Surprising ROI ChampionOne of the most surprising renovations with an exceptionally high ROI is replacing garage doors. According to the latest Cost vs. Value Report, garage door replacement offers a national average ROI of 93.8%. In our coastal market, this number can be even higher. Here's why:
Minor Kitchen Remodels: High Impact, Strong ROIIn the world of home renovations, kitchen remodels are often seen as the gold standard for improving a home's value. However, in our market, minor kitchen remodels often offer a better ROI than major overhauls. Here's why:
Other High-ROI Renovations for Our MarketWhile garage doors and minor kitchen remodels offer exceptional returns, several other renovations are worth considering in our unique market:
Maximizing ROI: Tips for SuccessTo ensure the best possible return on your renovation investment, keep these tips in mind:
ConclusionIn the vibrant real estate market of Destin, Miramar Beach, Santa Rosa Beach, 30A, and Inlet Beach, strategic renovations can significantly boost the value and appeal of your property. While new garage doors and minor kitchen remodels offer particularly strong ROIs, a range of thoughtful improvements can enhance your property's performance, whether as a vacation rental or a cherished second home.Remember, the key to successful renovations in our market is understanding the unique needs and preferences of coastal property owners and visitors. By focusing on durable, low-maintenance improvements that enhance both aesthetics and functionality, you can ensure that your renovation investment pays off both in the short term through increased rental income or personal enjoyment, and in the long term when it's time to sell.As your local real estate expert, I'm always here to offer advice on which renovations might offer the best return for your specific property. Whether you're looking to update your vacation rental, enhance your second home, or prepare your property for sale, I can help you navigate the exciting world of coastal real estate in our beautiful Emerald Coast communities.
The Emerald Coast Advantage
Before we explore specific renovations, it's important to understand what makes our market unique:
- High-end vacation rental market: Many properties in our area serve as short-term rentals, catering to discerning tourists.
- Luxury second home market: Our beaches attract affluent buyers looking for their perfect coastal getaway.
- Year-round appeal: While summer is peak season, our area attracts visitors and part-time residents throughout the year.
New Garage Doors: A Surprising ROI ChampionOne of the most surprising renovations with an exceptionally high ROI is replacing garage doors. According to the latest Cost vs. Value Report, garage door replacement offers a national average ROI of 93.8%. In our coastal market, this number can be even higher. Here's why:
- Curb Appeal: In our picturesque communities, aesthetics matter. A new garage door can dramatically improve a home's exterior appearance.
- Hurricane Protection: With our location on the Gulf Coast, hurricane-rated garage doors are a significant selling point. They offer peace of mind to buyers and can potentially lower insurance costs.
- Energy Efficiency: Modern garage doors offer better insulation, which is crucial in our warm climate for keeping cooling costs down.
- Low Maintenance: New garage doors often require less maintenance, a key selling point for second homes and rental properties.
Minor Kitchen Remodels: High Impact, Strong ROIIn the world of home renovations, kitchen remodels are often seen as the gold standard for improving a home's value. However, in our market, minor kitchen remodels often offer a better ROI than major overhauls. Here's why:
- Vacation Rental Appeal: For properties used as vacation rentals, a fresh, modern kitchen can significantly boost booking rates and reviews.
- Second Home Comfort: For second homeowners, a updated kitchen enhances their enjoyment without the hassle and expense of a major renovation.
- Cost-Effective Updates: Minor remodels allow you to update the look and functionality without moving plumbing or changing the layout, keeping costs down.
- Quick Turnaround: Minor remodels can often be completed quickly, minimizing disruption to rental schedules.
- Refacing or painting existing cabinets
- Installing new hardware on cabinets and drawers
- Updating countertops (quartz and granite remain popular choices)
- Replacing outdated appliances with energy-efficient models
- Installing a new backsplash (consider coastal-inspired designs)
- Updating lighting fixtures
- Refinishing or replacing flooring with durable, beach-friendly options
Other High-ROI Renovations for Our MarketWhile garage doors and minor kitchen remodels offer exceptional returns, several other renovations are worth considering in our unique market:
- Deck Additions or Upgrades
In our beach communities, outdoor living space is at a premium. Adding or upgrading a deck can offer an ROI of up to 90% in our market. Consider durable, low-maintenance materials like composite decking, and don't forget to incorporate features like built-in seating or an outdoor kitchen. - Exterior Painting
A fresh coat of paint can work wonders for a property's curb appeal. In our sunny climate, exterior paint can fade quickly, so this is a renovation that may need to be repeated every few years. Stick to light, coastal colors that reflect heat and complement our beautiful surroundings. - Impact-Resistant Windows and Doors
Like hurricane-rated garage doors, impact-resistant windows and doors offer both protection and peace of mind. They can also help lower insurance costs and improve energy efficiency. - Smart Home Technology
For both vacation rentals and second homes, smart home features can be a significant draw. Consider installing smart thermostats, keyless entry systems, and smart lighting. These features can improve energy efficiency and make managing a property from afar much easier. - Bathroom Updates
While full bathroom remodels can be expensive, minor updates can offer a strong ROI. Consider replacing outdated fixtures, re-grouting tile, and installing new lighting. For vacation rentals, dual showerheads and handheld shower options can be appealing features. - Flooring Updates
Durable, easy-to-clean flooring is crucial in our beach communities. Consider options like luxury vinyl plank (LVP) or tile that can withstand sand and water. These materials offer a high-end look without the maintenance concerns of hardwood in our humid climate.
Maximizing ROI: Tips for SuccessTo ensure the best possible return on your renovation investment, keep these tips in mind:
- Focus on Durability: Our coastal environment can be tough on buildings. Choose materials and finishes that can withstand salt air, humidity, and frequent use.
- Consider Your Target Market: Are you primarily catering to vacationers, second homeowners, or long-term renters? Tailor your renovations to appeal to your target market.
- Don't Over-Improve: While it's tempting to create the most luxurious property on the block, be careful not to over-improve for your neighborhood. Aim to be slightly above average to maximize your ROI.
- Timing is Key: Try to schedule major renovations during the off-season to minimize disruption to rental income.
- Work with Local Professionals: Local contractors and designers understand the unique challenges and opportunities of our market. Their expertise can be invaluable in making smart renovation choices.
- Keep Good Records: Document all improvements and keep receipts. This information can be valuable for tax purposes and when it's time to sell.
ConclusionIn the vibrant real estate market of Destin, Miramar Beach, Santa Rosa Beach, 30A, and Inlet Beach, strategic renovations can significantly boost the value and appeal of your property. While new garage doors and minor kitchen remodels offer particularly strong ROIs, a range of thoughtful improvements can enhance your property's performance, whether as a vacation rental or a cherished second home.Remember, the key to successful renovations in our market is understanding the unique needs and preferences of coastal property owners and visitors. By focusing on durable, low-maintenance improvements that enhance both aesthetics and functionality, you can ensure that your renovation investment pays off both in the short term through increased rental income or personal enjoyment, and in the long term when it's time to sell.As your local real estate expert, I'm always here to offer advice on which renovations might offer the best return for your specific property. Whether you're looking to update your vacation rental, enhance your second home, or prepare your property for sale, I can help you navigate the exciting world of coastal real estate in our beautiful Emerald Coast communities.