Do's and Don'ts of New Construction Upgrades | New Home Upgrades that Add Value

Summary

In this video, Erica Parker, a real estate expert, shares valuable insights on where to invest in upgrades for a new construction home. She highlights key areas like structural upgrades (9-foot ceilings, third-car garage, walk-in showers), kitchen enhancements (granite countertops, gourmet kitchen), and master bath improvements (freestanding tubs, dual sinks). Erica also advises on where not to spend money, such as on paint, fixtures, flooring, appliances, and crown molding, recommending more cost-effective solutions for those areas. Her tips are designed to help homeowners maximize return on investment while enjoying their new spaces.

Takeaways

• 😀 Structural upgrades should be a priority in new construction homes, including things like walk-in showers, islands, and extra electrical outlets.
• 😀 Spending on a third-car garage can add significant value, especially in Texas where they tend to sell better than a two-car garage.
• 😀 It's important to plan for plumbing and electrical needs in advance, especially for things like floor outlets and additional bathrooms.
• 😀 Energy-saving upgrades, such as better insulation or green energy features, can lower future utility costs and add value to your home.
• 😀 In the kitchen, focus on upgrading cabinetry, granite or quartz countertops, and ensuring a functional and aesthetically appealing layout.
• 😀 A gourmet kitchen, featuring double ovens, a cooktop, and a farm sink, is a great investment, especially if you plan to live in the home for a while.
• 😀 The master bath is a great place for high-ROI upgrades like a walk-in shower, freestanding tub, double sinks, and adult-height countertops.
• 😀 Avoid splurging on paint and instead save money by repainting rooms after closing to get the exact colors you want.
• 😀 Skip upgrading light fixtures, faucets, and doorknobs during construction. You can get better deals on these items after closing by shopping online or at retail stores.
• 😀 Flooring should be a focus on the padding underneath carpets for comfort, but high-end flooring like wood or tile can often be more affordable if done post-build.
• 😀 Appliances, especially high-end ones like refrigerators or ranges, should be purchased after closing unless they are included in the builder’s package to avoid paying an unnecessary markup.

Q & A

Why is it important to spend money on structural upgrades in a new home build?

Structural upgrades, like walk-in showers, islands, and extra electrical outlets, enhance the functionality and livability of a home. These upgrades are also easier and cheaper to complete during construction, saving future costs and effort.

What are some examples of structural upgrades that should be prioritized?

Some key structural upgrades include adding a third-car garage (especially in Texas), installing a kitchen island, and planning for floor outlets and additional plumbing, which can be difficult to add after the home is built.

Why are 9-foot ceilings considered a good investment in a new home?

Nine-foot ceilings provide a more spacious feel and are a desirable feature for many buyers. They create an open and airy atmosphere, adding value to the home without a huge cost.

Should you invest in energy-saving upgrades during construction?

Yes, upgrading insulation and incorporating green energy initiatives during construction can lower long-term utility costs. It’s an investment that provides savings on monthly electrical and gas bills.

What upgrades should be made in the kitchen to improve the resale value?

Upgrades in the kitchen should focus on cabinetry (such as 42-inch upper cabinets or cabinets extending to the ceiling), granite or quartz countertops, and a gourmet kitchen with double ovens and a cooktop. Adding an island also increases the kitchen's appeal.

Is it worth upgrading the backsplash in the kitchen?

Upgrading the backsplash adds aesthetic value but doesn’t contribute much to the resale value. If the chosen backsplash is important for personal style, it’s worth the upgrade, but it’s not a necessity for investment returns.

What features should be included in a master bathroom upgrade?

In the master bathroom, upgrades like a walk-in shower with drop flooring, a freestanding tub, double sinks, and adult-height countertops are valuable. These features enhance the luxury feel and can offer a great return on investment.

Should you upgrade the flooring during construction?

It’s recommended to upgrade flooring like tile in areas such as bathrooms and kitchens, as replacing tile after construction can be costly. However, it’s better to wait on carpet or wood floors until after closing to save money.

Is it a good idea to invest in appliances through the builder?

If appliances are included in the builder's package, upgrading them may be worth it, as it avoids purchasing and installing appliances separately. However, for items like refrigerators, it's usually cheaper to buy them outside the builder's package.

Why should you avoid spending money on crown molding during construction?

Crown molding can be expensive when installed through the builder, and it generally doesn’t significantly impact the home’s resale value. It's a feature that can be added later for a lower cost and doesn’t offer a high return on investment.