Doing work that won't increase the value of your home

[blazingchairs]

We are in our 'forever' home. Whilst it is our forever home there is always a risk that something changes in life and requires a move (though nothing on the horizon).

We would like to do some work which would hopefully give us extra living space, a utility etc. We'll also likely do some work putting in underfloor heating, putting in some beams to open up areas, new kitchen etc.

This will obviously cost (and we are midway through saving). Looking at cost and likely value I do wonder if it will add value / ever pay for itself. That's not our drive (and changes would greatly improve our liveability) but it does feel odd to spend money when it may not increase value.

Part of the challenge is that our house isn't like many in the area (which may help with value) so it's hard to compare.

Has anyone done anything similar ?

@blazingchairs

We have done exactly what you describe...a large extension at the back with huge new kitchen, utility, living area with significant structural work to support the house and knock walls out. It is utterly delightful but cost £80k.

I estimate if we sold we might get £50k of it back but I didn't care. We won't ever move for years and it has improved our whole family living area brilliantly well, especially during lockdowns.

You just need to be clear you are not going to move anytime soon and then spending the money is worth it

We're in our forever home too. We spent about 30k doing what we wanted to do to make it right for us, but all around us homes built in the same time period have been modernised (opened rooms, expanded entrances, loft conversions). When they go on the market they fetch quite a high price. I know if we ever needed to sell we would not get as much, but that's ok. I hope to be living here for another 30 years so I want it to be right for me!

I spent about £80k on my house and garden over eight years. When I bought the house it was very grubby with old kitchen and knackered carpets. Think more neglected student house than probate house. I probably got max half of the spend back when I sold, in addition to house price growth. But that spend needs to be off-set against the gains of living in a much nicer environment over the years I lived there. Also, to he honest the whole house was due a repaint by the time it went on the market and the kitchen was by then five years old.

I do have friends who bought over a similar timeframe, did barely anything to their house or flat and banked the savings. But personally I wasn't prepared to live in my house in the condition it was in for eight years - different priorities.

Do what suits you. I'm planning on commiting one of MN cardinal sins by having my bath removed and a lovely big shower put in. I know an argument against it is putting buyers off but I don't care. I'm not planning on moving. I hate baths and for health reasons a walk in shower suits me better. I'm making a change that suits my day to day living in my house, not to suit a future occupant

It didn't put me off. I just saved up and shoved a bath in the downstairs loo. So now the house has 2 bathrooms. Took 3 years but I appreciate the bath so much more!

We’ve been in our house over two years now (crappy corner bath ) and I’ve never used it yet .

I think its worth thinking about what else you'd use that money for.

Would it be 'investment' money? Would it go in your pension, or the stock market? Or would it go on holidays/meals out/etc.

I'm fairly boring, covid has made me think about what I spend my money on vs what gives me most pleasure. Little things in our house I've put off because they seem unnecessarily expensive - things like getting a room professionally painted or a picture properly framed rather than sticking it in an IKEA frame that doesn't quite fit - give me pleasure every single day. Much moreso than if I spent the same money on a weekend away/a meal out/etc etc.

I think thats the first way you should value it. Would spending that money on the house now give you more pleasure over the next ten years than having spent it on a holiday/having it as a bit extra in a pension fund/whatever else you'll do with the money?

@DespairingHomeowner capping depends on specific situations. Here for example, you couldn't extend 3 bed houses out the back without losing at least 50% of the already small gardens, which would reduce saleable when there's a 4 bed down the terrace with the same size garden but that extra bedroom for £20k more than the 3 beds. Capping might not be relevant to you, but it is to many of us.