We all want to make our homes a realistic interpretation of a dream home and one where its worth has risen against the cost to buy it or upgrade it. It could be a new kitchen, new bathroom, or new windows. It could be new carpets, upgraded gardens or an extension. Each item can significantly improve the appearance and feel of your home, making it come closer to your vision of perfection. However, these upgrades serve to assist you when you no longer want their benefit too. When it comes to selling, a decent upgrade can add significant value to your home.
In this edition of our blog, we look at how much an extension can add to the value of your home. It’s been said that you can see anything from 5% to a huge 23% increase in the price your home could sell for. This largely depends on the type of extension you go for though. An extension that may consist of an additional bedroom or bathroom is likely to add more than an extension that serves its purpose as a storage area or games room.
Let’s dive in and take a look so you can get your home looking as you like and selling for more.
What kind of extension can add value to my home?
You may have been weighing up the options for an extension or found a practical need for one but are unsure how best to incorporate it into the existing house design. Sometimes, you may only be able to extend up and not out, other times, you can’t go any further upwards so must go wider or deeper. The most common types of extensions people look to add to their homes include:
- Single story rear extension: One of the most popular forms of extension, this type reaches out into your garden so you may need a decent amount of green space to intrude onto. Used for increasing kitchen space or possibly to convert an area into a downstairs bedroom, you could see up to 10% added to the value of your home.
- Double story extension: A double story is much more of a multi-purpose feature and allows you to add additional bedrooms, bathrooms, or other room types by building out and up. Quite often, these extensions serve to enlarge the kitchen or dining area on the lower level and then add a bedroom or bathroom above. You could expect a 10-12% increase in your property value with an extension like this.
- Loft conversion: Another popular choice for those looking to extend the flexibility of their home. The loft conversion adds new features without having to add to the space the property fills. Costs are purely spent on converting the room, although in some cases, you may need to factor in roofing work to make the space more habitable. With the addition of an extra bedroom in a loft you could see as much as 15-20% added to your house value.
- Conservatory: Perhaps the smallest and most affordable extension, but one that can certainly add a little more character to a home. Ideal as a room for rest and relaxation away from the noise of the kids, or perhaps it can be the kids’ area to watch movies and play? Either way, this quaint addition can see an additional 5% added to your house price as buyers envisage the benefits they may get from it.
- Garage conversion: Just like the loft, the garage conversion allows you to remove the need for lots of additional building work and instead just change the purpose of the room. This can involve lots of work, especially if you need to add windows, heating, and doors. You could see approximately 15% added to your house price, not out of reach for many, especially when buyers know this could provide an additional bedroom, games room, nursery or man cave!
How much does a house extension cost? Is it worth the investment?
Depending on the purpose of your extension and the type of extension you choose, you’ll see differing results in terms of how much value it can bring you. As a result, it’s important to factor in the costs before committing. You wouldn’t want to spend £50,000 on an extension that only delivers a 5% increase in the value of a £500,000 house. Although, if you plan to make it your forever home, there is no reason you shouldn’t!
You can easily spend anything from £20,000-£100,000 on an extension so you should definitely consider if the investment is likely to deliver a return if you could be looking to sell your house in Epsom within the coming months or years.
The team at Check a Trade estimate the average prices for an extension could be worked out at a rough price of £1,200-£3,000 per m², but each extension type could factor in additional costs depending on the facilities required within it.
They tell us that you could expect to spend:
- £25,000-£50,000 for an extension measuring 20m²
- £37,500-£67,500 for an extension measuring 30m²
- £62,500-£112,500 for an extension measuring 50m²
Two story extensions are the more expensive build and based on filling a space of 60m² could cost more than £150,000.
Will I need planning permission for an extension?
In most cases, any extension that adds value to your home will not need planning permission as long as it falls within the permitted development rights. It would always be advised you check with your local authority first though. Listed buildings, for example, have particular rules that may not apply to more traditional buildings.
Key things to consider before building an extension
If you aim to see your house value increase when you build an extension, you should consider a few things before hatching your grand plan. Even if this is your forever home, it would be wise to assess and research the project before hiring builders and other experts.
If your aim is to see an extension increase your house value, look at what is known as the ceiling price for your road. This is the most people are willing to pay for a property in your area. If your extension pushes the price above that, you may have spent a lot of money with no chance to ever recoup it.
You should then also factor in the cost. As we touched upon earlier, if your extension is going to cost more than the potential added value to your home, you may need to reconsider. Costs can be further exacerbated by the ground you plan to build on too. Slopes or deep foundations can see you need to spend more so this should also be accounted for.
If you have recently added an extension to your home but have decided it is time to move on, Speak to Cairds, we are the premium Epsom estate agents who can get your house seen by a huge audience across Kent and Surrey. What’s more, if you are looking at houses to buy in Epsom and the surrounding areas, get in touch. Our extensive portfolio of properties is sure to have something that suits your needs.