09 Mar How Upgrading Your HVAC System Improves Your Home Equity in West Chicago; Insights from a West Chicago Heating and Air Conditioning Company
Did you know that between 2017 and 2018, homeowners across the US spent $340 billion on remodeling? Although this was an increase of 7.5%, what’s surprising is that the average ROI for a home improvement project actually decreased by 12%, to 56%. This means that homeowners should start to re-think what a home renovation actually entails in order to achieve the highest ROI for these projects. While we already know some of the most cost effective home improvement projects (kitchen/bathroom), you should also consider one that’s often overlooked: the HVAC upgrade. In this article, we’re going to explain why upgrading your heating and air conditioning system in West Chicago is one of the safest investments you can make in today’s market.
Why You Should Invest in Your West Chicago Heating and Air Conditioning System
Traditional investments are great, and while they can increase the value of the property, they may not lead to a sale if the HVAC system is old or broken. Prospective homebuyers are very likely to walk away if the home does not meet basic heating and cooling requirements. Conversely, a new, state-of-the-art HVAC system might go unnoticed, and may not add much to the final price.
So, the key here is to make sure that your HVAC system is at least adequate, first and foremost. This might seem like a less exciting investment when compared to new flooring, kitchen cabinets, or a fresh coat of paint, but according to the National Association of Realtors, HVAC replacements have a return of investment of up to 71%, which is above average for remodeling projects.
Finding the Right Investment
The key to a high ROI on your HVAC upgrade is to understand the problems that you are trying to address, and the preferences of the people that will buy your home. Some factors that will come into consideration include the size, layout, and age of your home, along with your budget. You’ll then want to take a look at how your HVAC system is currently operating. If it is less than 10 years old, the system is likely to stay operational for a few more years, so investing in a replacement is not likely to yield a high return. However, if the system is more than 15 years old, or if you have issues with some of its components, buyers would likely ask for a lower price.
You should also consider whether repairing, rather than replacing, is the better financial option. Some systems will only have components that are broken down, and these components can either be repaired or replaced individually, while leaving the rest of the system intact. However, if you are faced with a hefty price tag for repairs after assessing your HVAC, it might actually be more cost effective to replace the entire system.
Finally, you want to take into account the energy efficiency of the system. Older systems will naturally be less energy-efficient than newer ones, and an efficiency-label on your home will make it much more attractive to prospective buyers. In fact, according to energy.gov, homes that are equipped with energy-efficient HVAC systems have a selling value that is 5% to 8% higher than the market average.
Are You Ready to Upgrade Your Heating and Air Conditioning System in West Chicago?
With a relatively small investment, you can get a large return in the right circumstances. If you are currently looking to sell your home, and if you suspect that your HVAC system is not up to par, now is the right time to upgrade. We are a premier heating and air conditioning contractor in West Chicago, and we are ready to help you out with all of your HVAC-related needs. Contact us today for more information.