Can home-improvements increase the value of your house?

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One of the most common reasons people give when asked why they are improving their home is that home improvements increase house value. While this can often be true, it is by no means as universal as some people assume it is. When youre about to pay out lots of money for a home improvement, its worth checking whether the value of your house will increase by enough to pay for it or, worse, whether it might actually force your house value down.

Lets start with bathrooms and kitchens. While well-maintained and nice-looking kitchens and bathrooms do add value to a home, theres nothing to say that they have to be the very latest thing. An older room that is well looked-after and wasnt a complete abomination to begin with can often help the value just as much as a newly-installed one.

Extensions, on the other hand, almost always increase the value of your home, as they make it bigger. A four-bedroom home can be significantly more valuable on the market than a three-bedroom one, as a bigger family can live in it. However, you need to watch out for building too far out into your garden if you only have a small one: get rid of too much of your garden, and you could knock...

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