Thinking about renovations that can add value to your home? Electric renovations are the way to go.
Electrical renovations are one of the smartest home upgrades a homeowner can make.
Home buyers know that electrical wiring and other components need to be safe and up to date.
Old or failing electrical systems are a big red flag to home buyers. Electrical renovations can really help with potential buyers deciding on your home.
Here’s the scoop:
Electrical renovations can be relatively cheap and can also be done quickly. Electrical renovations add value to your home, and they can also improve the safety and usability of your home. Plus working with expert Dynamic Electricians is the first step in increasing your home renovation ROI. In this article, we’ll go over how electrical renovations add value to your home.
Here’s what we’ll cover:
- Why Electrical Renovations Matter More Than You Think
- The Top Electrical Upgrades That Boost Home Value
- Smart Home Integration: The Future Is Now
- Safety Upgrades That Pay Dividends
Why Electrical Renovations Matter More Than You Think
Homeowners typically don’t put as much focus on electrical renovations as other upgrades.
People tend to think about kitchens, baths and cosmetic updates.
Buyers look at homes with an eye toward their future living situation.
They want to know the home is safe and up to date.
Old wiring and outdated electrical panels can be dealbreakers for potential buyers. It makes buyers wonder what other problems the home may have.
Even today, people are starting to use a lot more electrical in their homes than ever before.
Smart TVs, Home offices, EV chargers and all the modern appliances we use today can be very demanding on a home’s electrical system.
If your home has a 60-amp or 100-amp panel, the buyer may consider that a red flag.
Homeowners may not realize though, Electrical renovations are one of the best home improvement investments you can make.
According to recent statistics, 40% of renovating homeowners hired electricians for specialty services.
This makes electrical renovations a high demand home improvement.
The Top Electrical Upgrades That Boost Home Value
Not all electrical renovations are created equal. Some will return more value than others.
Let’s take a look at the home electrical renovations that will give you the highest return.
Panel Upgrades: The Foundation of Modern Living
One of the best electrical renovations you can do is upgrade your home’s electrical panel.
Your electrical panel is the brain of your home’s electrical system. It controls and distributes power to your entire home.
Upgrading to a modern 200-amp panel if your home has an old 60-amp or 100-amp system will do a lot for potential buyers.
The panel houses the breakers that control electrical power to every part of your home.
A modern 200-amp panel will handle:
- Multiple large appliances at once.
- Home office equipment and charging stations.
- HVAC systems and smart home technology.
- Futureproof your home for electric vehicles or pool equipment.
You’ll also recoup about half of the cost of the renovation through increased resale value. Panels have about a 53% return on investment.
Outlet and Wiring Modernization
Two-prong outlets scream outdated to home buyers.
Upgrading two-prong ungrounded outlets to three-prong grounded outlets shows buyers that your home is safe and ready for modern electronics.
This is a relatively inexpensive renovation with a big impact.
Other outlet improvements to consider:
- Add GFCI outlets in bathrooms, kitchens and other wet areas.
- Install USB charging outlets in bedrooms and other common areas.
- Replace aluminum or knob and tube wiring with modern copper wiring.
These wiring renovations also improve safety and convenience.
Don’t expect to recoup all the cost of these renovations in your home value but it will show up during the home inspection.
Lighting Upgrades That Wow
Lighting can make or break the appeal of a home.
Upgrading lighting fixtures, installing dimmer switches, adding outdoor security lighting and under cabinet kitchen lighting is a great move.
Lighting upgrades add ambiance to your home and bring out the best features of each room.
Strategic lighting upgrades also make your home feel bigger and more modern.
Buyers might not even notice but they will feel it.
Smart Home Integration: The Future Is Now
Want to take your home to the next level?
Electrical renovations that include smart home technology are the future.
A few smart electrical upgrades and you’ll be a step ahead of most other homes on the market.
Smart electrical panels allow homeowners to monitor and manage energy consumption from their phones.
It can also identify high energy use circuits and provide early detection of potential electrical problems.
EV charging circuits are going to become very important in the next few years.
Dedicated 240 volt EV charging circuits are a huge selling point in the next decade as more people switch to electric vehicles.
Smart lighting and outlet systems that work with voice assistants like Alexa or Siri can impress buyers.
Smart home integration can set your home apart from the competition.
But don’t go crazy here. Focus on practical smart technology that will actually improve your quality of life. You don’t need gimmicky smart appliances.
Buyers just want technology that makes their life easier.
Safety Upgrades That Pay Dividends
Safety renovations aren’t glamorous but they are necessary for value.
Safety is important when we talk about home value.
Did you know that roughly 10% of residential fires have their origins in the home electrical system? Safety renovations are important for your home.
Here’s what buyers (and inspectors) will look for:
GFCI and AFCI Protection
GFCI outlets prevent electrical shocks in wet areas like bathrooms and kitchens.
AFCI breakers prevent electrical fires caused by damaged or arcing wiring.
Both are now required by the electrical code.
If your home doesn’t have them, you’re losing money on the deal.
Surge Protection and Updated Detectors
Whole house surge protection is a simple and inexpensive way to protect expensive electronics and appliances.
Buyers notice these simple things during a home inspection.
Hardwired smoke detectors with battery backup meet modern safety standards and codes.
Many home inspectors require these when selling your home.
Install them while you are renovating to get the most bang for your buck.
Planning Your Electrical Renovation Strategy
Ready to get started? Wait a minute!
Planning is essential to getting the most out of your investment.
Not all electrical renovations make sense for every home.
Get a home electrical inspection first. Find out what issues you may have.
Have a professional electrician inspect the entire system and point out code violations and recommendations. This will help you decide on renovations.
Look for areas in need of help. If your electrical panel is old or you have aluminum wiring, these should be priority renovations.
Have a timeline. If you are in a rush to sell, you should focus on cosmetic upgrades that are high impact.
Lighting and outlet renovations will go further than upgrading panels or rewiring a home.
If you aren’t in a rush to sell, focus on foundational electrical upgrades.
Budget with care. Electrical work is an expensive home renovation but doesn’t have to cost an arm and a leg.
Get several quotes from electricians and start with the renovations that will give you the most bang for your buck.
Bottom Line
Electrical renovations aren’t the most exciting part of home renovations…
But they are one of the best ways to get a return on your investment in a home renovation.
Updating plumbing and electrical renovations and upgrades can provide a 260% return.
This means you can dramatically increase the value of your home with electrical renovations.
The best way to do electrical renovations is to first inspect your home for any safety issues and code violations.
Take care of the major electrical issues with safety and capacity of your home’s electrical system.
Focus on electrical renovations that have the most impact for your budget.
Remember… most buyers expect homes to be ready for their technology-driven lifestyle.
Electrical systems that were good 20 years ago are inadequate today.
By making electrical renovations to your home you can set your home up for better returns in the future.
You also get to enjoy a safer and more convenient home in the meantime.
Talk to your local electricians about your electrical renovation plans.
