Money spent on home improvements does not automatically increase the value of a property, say chartered surveyors. In fact, in some cases, unsympathetic extensions and building works can devalue a property or make it more difficult to sell.

Home owners should make sure they are well informed before they call in the builders.

In a survey published today (7 September) by RICS, the most common types of home improvement have been rated in terms of the %age value they are likely to add to a property.

An information leaflet, Extending your home, has also been published advising people what they need to know before embarking on major building works.

According to three-quarters of chartered surveyor estate agents who were questioned, the main reason people are improving their properties is to upgrade, while a third stated that financial gain was important.

Chartered surveyor estate agents believe aesthetic improvements such as putting in a landscape garden can add 3% to the value of a typical semi-detached property, but laying new carpets and wood flooring in most cases has very little impact on value.

An extension such as a conservatory is likely to add 5% whereas building a basement may only add 2%.

Improving services and temperature control are more worthwhile than people might think. Our respondents believe installing central heating could add 5%, and double-glazing up to 4% to a property’s future sale value.

However, the addition to value will not in all cases compensate for costs incurred, as this will depend on the quality of work and other features of the property, such as location and style. 

Improvements which can assist in property saleability are:

• Central heating

• Off-road parking

• Adding a conservatory

• Adding a new bathroom or kitchen

• Reinstating period features

• Double glazing

• Putting in a downstairs loo

In most cases, converting one type of room into another does not seem to add value.

54% of surveyors believe converting a garage to a bedroom will not improve saleability and 88% believe the same is true of converting a garage to a gym.

RICS spokesman Jeremy Leaf, a chartered surveyor estate agent, says:

"There are three things which motivate people to improve their properties – enhancing their home environment, increasing the capital value of their property, or improving its saleability.

"Most properties provide some potential for expansion either up, out or down but we would advise people to think sensibly about how much they are investing and their key motivator before undertaking major projects.

"It is important to think about the style and age of the property before undertaking any works – mock Tudor features do not sit well in modern properties; likewise contemporary alterations may undermine the integrity of a period home.’

"What appeals to some people may not appeal to others and costly disappointments can be avoided with a little prior planning and research."

The basics of where to start planning for a development, understanding planning permission, party wall agreements; building regulations; and how to choose a builder are all subjects covered in the RICS Extending your home leaflet.

"It can feel like there are so many hoops to jump through before you can start your works, but it is essential you get it right in order to ensure the structural safety and integrity of your home.

"Work that has been undertaken without planning permission, is non-compliant with building regulations or is just shoddy workmanship, may throw a spanner in the works when you come to sell or worse still may need to be torn down."

RICS advise that what ever you decide to do with your home you should seek professional advice and ensure all works are carried out by qualified contractors.

Some advice from RICS estate agents about how to get the most out of a property being improved for sale:

• Don’t be tempted to over value an improvement and expect high instant returns irrespective of market conditions

• Know who your target buyers are and improve the house to suit their requirements. Always look for the widest possible appeal

• Most areas have a ceiling price, ie, a maximum sale price you can expect to achieve – bear this in mind. Improving a poor property in a good location is better than improving a good property in a poor location

• When undertaking a loft extension or basement conversion try to keep the style of the new rooms in sympathy with the style of the rest of the property. A modern extension on a traditional property may look odd and lose appeal

• Don’t put in cheap laminate flooring. A cheap refurbishment is worse than not doing anything at all

• Make sure that the accommodation provided (ie property size) is balanced with the size of the plot, bigger is not always better

• Don’t bite off more than you can chew - stick to a budget and ask the experts for advice.
  

View more RICS guides at www.rics.org/usefulguides.