My home is valued at about 235,000 in a market where the other homes are averaging about 300,000. The appraiser said that the below market appraisal was attributed to the lack of a modern heating/central air unit in my home. I want to upgrade the home so that I can sell it in about a year. Will central air help the value to rise.
I dont know, i’d ask a real estate agent but i’d say about 300,000 as well. And yes i believe it will help raise your value.
Not $65,000
CH/A is expected by the homeowner or prospective buyer. Make sure it’s energy efficient.
Also, there is some reason the homes are worth $65K more than your.
Find out, it’s really simple ask questions. Or just look at your house and those around you. What’s different?
That is a question for the appraiser.
Of course A/C companies will tell you that it greatly increases your home value. But the value really depends on where you live.
Definitely, but don’t expect to get dollar-for-dollar on your investment. Depending on where you live, central air may be considered a minimum requirement.
The added value will vary depending on location, climate, size of unit and energy efficiency rating. You should get at least 75-85% of your investment back in you install now and sell next year – and that’s a good return. More importantly? A lot of home-shoppers will not even take a glance at your property if they see it doesn’t have central air. Myself, I pass those ‘un-modernized’ listings by in favor of others. I don’t want to hassle with installing it after I purchase a home, either.
You may be surprised (as I was, once) that installing a new HVAC system is cheaper than I presumed. The key is to get 3-5 estimates. You’ll discover that prices and quality vary, it’s confusing, but it’s worth doing your homework. Another thought: as we are in a recession, many installers are cutting their prices and are hungry for work. Good luck!
The value of air conditioning is relative to your market, with some support based in cost. If you live in Alaska, it probably won’t add much value regardless of cost. If you live in the southern U.S., it is almost mandatory. Installing central air varies, depending upon the system. If you already have a Forced Warm Air system, the ductwork is in place and average costs are $1,500 to $2,500, depending upon the system (size of your home). If ductwork is necessary, costs increase. Ductless units (similar to heat pumps) have become very popular recently. The bottom line is that the market will rarely, if ever, pay more for something than they can get themselves for less. (i.e. if the appraiser expected you to believe an HVAC system in your market would add $65,000 to your appraised value, you better get a “real” appraiser). You’re likely looking at a $2,500+/- difference in value.