Loan News Property Profitability Driven By Lofty Concerns
04 June 2007
Converting a loft adds proportionally more value to your home than more minor adjustments such as a new kitchen or bathroom, GE Home Money Lending has revealed.
While homeowners tend to focus on freshening up their home with a new chrome bathroom or open-plan kitchen, estate agents put the accent on loft conversions and extensions, GE Money’s head of unsecured loans sales Giacomo Gigantiello explained.
The increase in value on a home which has all three of homeowners’ favourite conversion tactics applied, namely a new kitchen, bathroom and full house redecoration, is less than the value added with a single loft conversion, he stressed.
Homeowners in London or the south-east can add £44,500 in equity to their property just by converting the loft.
Meanwhile, garden decking or new flooring are the DIY projects which factor out worst in terms of the ratio of capital input to improved value.
But large-scale alterations do require substantial capital input, the recent Haynes Home Extension Manual emphasised, so homeowners should make sure they make realistic budget projections before getting the builders in.
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