How to increase equity with HVAC upgrades

How to increase equity with HVAC upgrades

Boost Your Home’s Equity with Heating and AC Improvements

As an already unpredictable housing market grows even more uncertain and the return on investment is never assured, someone who wants to sell their home will need to put in the work to set themselves apart. Home renovations are a great way to do this, but you need to be sure that the updates you are implementing are strategically chosen. Luxury, high-end upgrades like recessed lighting or marble countertops are exciting and make an impression, but their absence is not usually a deal breaker for most buyers. A home with a struggling or broken HVAC system, however, is another story entirely – home comfort is something that no buyer is willing to sacrifice.

Getting Started

There are several questions you can ask yourself to get an idea of what may be most beneficial for your situation, including:

  • How well does the existing system function? If your system is over 15 years old and even if it works well, it could be a turnoff to buyers who are concerned about having to deal with system replacement. In this case, it may be beneficial to replace the system. However, a unit that is less than 10 years old and works well does not require replacement and is unlikely to see a reasonable return on investment.
  • What are the comfort needs in my climate? If you have intense summers having a newer, good quality air conditioner is important. Therefore, making sure the AC is in excellent condition is a good way to be strategic with how you are investing in the property. For the same reasons, a property located somewhere very sunny may see significant returns from solar panel installation.
  • Can you reasonably repair instead of replace? If you find that your unit’s performance is not quite up to par, considering reaching out to our skilled HVAC technician who can make the necessary repairs. Reassuring potential buyers that you are being proactive by getting things like that taken care of ahead of time can be a significant selling point!
  • How is your home’s energy efficiency? According to the U.S. Department of Energy, homes that have been updated with energy efficiency in mind can see an increase in sale price of as much as 8% compared to those without the upgrades. Because an energy-efficient home can expect lower utility bills and increased appliance lifespan, this is quickly becoming an extremely important feature to buyers.

What Other Upgrades Can I Make?

Beyond ensuring that the heating and cooling system is in good shape, there are several other upgrades that can help your home to stand out.

Insulation

Anyone with experience in HVAC will tell you that after having properly-working machinery, the most important thing you can do is make sure that your property is well-insulated. A home with good insulation will have an easier time heating and cooling, thereby putting less pressure on the HVAC system and increasing its lifespan. Adding or replacing insulation is generally an easy, low-risk investment that buyers are grateful to have taken care of for them!

Doors, Windows and Weather Stripping

Once the rest of the home is properly insulated, you’ll want to make sure that the various entry points are energy-efficient as well. As the demand for improved insulation in the name of efficiency has increased considerably, the number of options have gone up and prices have gone down. Double-and triple-paned windows in particular, are known for having an excellent return on investment thanks to the long-term energy savings. Doors are also available in increasingly large varieties of energy-efficient materials and designs to help keep the home insulated. As an added benefit, a unique and attractive front door can go a long way toward improving curb appeal and giving buyers something specific to remember. Once the doors and windows are fully updated, take the time to make sure the weather stripping around both are in good condition. All of these updates are excellent selling points for buyers.

Ductwork

If you find yourself in need of an HVAC system replacement, it is probably wise to look into replacing the ductwork at the same time. As ductwork begins to deteriorate, it causes significant efficiency problems due to leaks, meaning even a brand-new system would be substantially less effective. Not only would new ductwork help you get the most out of a new HVAC system, it is also beneficial to the home’s indoor air quality. This may be especially interesting to those buyers with significant respiratory issues or allergies.

When it’s time to get your house on the market, our team at Valley Heating, Cooling, Electrical and Solar can help you get your HVAC system in top shape for sale. Call us at (408) 868-5500 to learn more!