According to the Remodeling 2010–11 Cost vs. Value Report (www.costvsvalue.com) the national average cost to remodel a basement was $64,519 and the resale value was $45,186, a 70% cost recovery.

The basement remodel project consisted of the following work:

Finish the lower level of a house to create a 20-by-30-foot entertaining area with wet bar and a 5-by-8-foot full bathroom; construct 24 linear feet of finished partition to enclose mechanical area. Walls and ceilings are painted drywall throughout; exterior walls are insulated; painted trim throughout. Include five six-panel factory-painted hardboard doors with passage locksets. Electrical wiring to code.

Main room: Include 15 recessed ceiling light fixtures and three surface-mounted light fixtures, and a snap-together laminate flooring system.

Bathroom: Include standard white toilet, vanity with cultured marble top, resilient vinyl flooring, two-piece fiberglass shower unit, a light/fan combination, vanity light fixture, recessed medicine cabinet, towel and paper-holder hardware.

Bar area: Include 10 linear feet of raised-panel oak cabinets with laminate countertops, stainless steel bar sink, single- lever bar faucet, under counter refrigerator, and vinyl floor tile

As a comparison a bathroom remodel job cost on average $16,634 and had an average resale value of $10, 688, a 64.1% cost recovery and a major kitchen remodeling project cost $58, 367 and was worth $40, 126 on resale, 68.7% of the cost recouped.

Looking at the regional basement remodeling numbers, the top regions that beat the national average of 70% cost recovery were West South Central, Pacific, South Atlantic and East South Central.

Top Regions for Basement Remodeling Cost Recovery

• West South Central (AR, LA, OK, TX): 84.3%
• Pacific (AK, CA, HI, OR, WA): 82.6%
• South Atlantic (DC, FL, GA, MD, NC, SC, VA, WV): 79.4%
• East South Central (AL, KY, MS, TN): 76.1%

Summary of Regional Basement Remodeling Job Costs and Resale Values

• West South Central (AR, LA, OK, TX)
• Job Cost: $55,071
• Resale Value: $46,406
• Cost Recouped: 84.3%

Pacific Region (AK, CA, HI, OR, WA)

• Job Cost: $78,828
• Resale Value: $65,101
• Cost Recouped: 82.6%

South Atlantic (DC, FL, GA, MD, NC, SC, VA, WV)

• Job Cost: $57,627
• Resale Value: $45,757
• Cost Recouped: 79.4%

East South Central (AL, KY, MS, TN)

• Job Cost: 57,341
• Resale Value: $43,615
• Cost Recouped: 76.1%

Middle Atlantic (NJ, NY, PA)

• Job Cost: $69,106
• Resale Value: $40,215
• Cost Recouped: 58.2%

East North Central (IL, IN, MI, OH, WI)

• Job Cost: $67,533
• Resale Value: #37,967
• Cost Recouped: 56.2%

West North Central (IA, KS, MN, MO, ND, NE, SD)

• Job Cost: $64,239
• Resale Value: $38,886
• Cost Recouped: 60.5%

Mountain Region (AZ, CO, ID, MT, NM, NV, UT)

• Job Cost: $61,107
• Resale Value: $42,538
• Cost Recouped: 69.6%

Basement Remodeling is one of the best ways to add value to your home

Which home remodeling projects are the best ones for those looking for a solid return on their investment — and higher profits come selling day?

Americans spent more than $114 billion on home remodeling in 2009, according to the National Association of Home Builders (NAHB). Remodeling is expected to outpace new home building in about 10 years.

But all home remodeling projects are not equal. Here are some top ways to add value to your home:

Remodel Your Basement

Look at space you already have. Do you have unused space that serves as a black hole for all things without a home? Try remodeling your basement. Remodeled basements can make excellent game rooms or guest suites, adding value to your home without adding space.

A Basement Home Office Remodel

Home offices are becoming less of a luxury and more of a necessity, with more people telecommuting. The number of Americans that work from home is in the millions, and that number has continued to grow every year. With many companies cutting costs and becoming more aware of their carbon footprints, telecommuting has become a viable solution for many in the working world. Making sure that your home has a state-of-the-art space for potential teleworkers is a surefire way to increase your home's value.

Renovate or Add a Basement Family or Recreation Room

With open floor plans becoming more in demand, a family room is an excellent way to make existing homes more like new construction. Remember, it’s a good idea to keep in mind what homes in your area are like. People like to purchase homes that blend with other homes around them. Chances are you’ll find many of your neighbors are investing in family rooms as well.

Replace the roof

The roof is one of the first impressions people have of a home. Make sure yours passes the test by replacing an old roof. You can also change the character of your home by looking into architecturally styled roofing tiles.

Landsape your yard

Along the same lines of thinking as the roof, landscaping can give a great – or not so great – first impression. Backyard landscaping can transform ordinary spaces into incredible entertaining areas by including elegant water features and lush plants. Consider your area’s climate. If you live in an area that receives temperate weather year-round, you’ll find that your new landscaped yard adds value to your home and increases your living space.

Replace old windows

Thirty percent of a home’s energy is lost through its windows. Replacing old windows with energy-efficient ones signals to home buyers that you really care about the house and it reflects on the quality of the house as a whole. Plus, who doesn’t like to save money on energy bills?

Paint, paint, paint

Enough said. But remember to hire a professional if you need help and keep the colors neutral if you’re looking to sell. Nothing looks worse than a poorly done paint job in bright fuchsia.

Remodel your kitchen

Small changes can result in big value. Upgrading appliances, door handles and painting tired walls can add new life to your kitchen, and add value to your home. The general rule when doing a remodel is not to overdo it… unless it’s the kitchen. Kitchens sell a home, and in this case, size does matter. But a kitchen remodel is a long-term investment; you’ll see payback 10 years down the road. And if you are a DIYer, know your limits. Sometimes doing it yourself can save money, but always bring in a professional for the big jobs.

Remodel or add a bathroom

A bathroom remodel can often mean simply making the most of your current space, by upgrading fixtures, flooring and lighting. Have a little more money in the budget? Adding a bathroom is a great way to increase the value of your home. Is your only bathroom upstairs and not convenient for dinner guests? Often the area under a set of stairs is the perfect place for a powder room.

Basement Suite Remodeling is an Investment by Homeowners in a Softer Economy

A soft economy prompted some homeowners to take a new look at their existing footprint. Even as housing-market conditions turn a little brighter, many homeowners still opt to stay put and update their current quarters instead of selling at lower prices.

In many cases, these decisions are fiscally motivated and reflective of the times, but the following remodeling trends may be here to stay:

Basement Suite Spot of the Market

Builders and remodelers are finding more demand for in-law apartments (typically called mother-in-law suites whether mom is the sole resident or not) as part of new additions or basement makeovers. The first waves of baby boomers have reached their golden years, and families are getting creative with longer-term care solutions. For some families, this is a lower-cost option than assisted-living or nursing-home care.

According to the National Association of Home Builders, 62 percent of builders surveyed were working on a home modification related to aging in 2010. About 1 in 5 builders added an entry-level bedroom.

There's another shift among the generations in some households. A soft job market has occasionally landed grown children (and their families) back at mom and dad's place too. Lengthy stays often lead to a call to a contractor.

Backyard Haven

Booming economic times led to luxury outdoor living — pricey natural stone hardscapes, gourmet grilling kitchens and major electrical upgrades. The recession may have dinged this corner of the remodeling industry, but the concept survives. In fact, investing in outdoor living spaces has been a major part of even budget-minded upgrades within existing home footprints. Consumers may be scaling back their wish list, but they're not cutting back on outdoor entertaining and family time. After all, if families are traveling less, they're playing more at home.

Smarter Kitchens

Smarter doesn't mean the kitchen does the cooking for you, but it can mean you're in and out of there in less time. The peak of the construction surge featured token real estate words like "granite," "high-end appliances," prepackaged cabinet "suites" and more. It's not that people now want low-quality kitchens, they're just moving toward more customization. Some are putting more money in pantries and utility rooms that keep the guts of the operation undercover. They're giving up dedicated food-prep square footage in favor of larger eating and family room areas. Kitchens are and will continue to look less like a work area and more like an extension of the living area.

Source: Chicago Tribune, February 24, 2012

Advantages of Raised-Floor Foundations in Floodplains

Keep in mind that Barricade insulated subflooring is a fast and easy way to insulate raised foundation concrete floors in this article by Rebecca C. in AIA Best Practices Quinn October 2007:

Summary

Coastal regions have seen a dramatic increase in residential development. Many homebuyers are moving to be closer to the water for a better quality of life or more active outdoor lifestyles. Coastal residents are justifiably concerned about resisting flood damage, given the nature and extent of flooding and hurricanes in recent years.

Background on Flood Mitigation Strategies

Many owners of coastal homes rely on flood insurance as one way to mitigate the financial consequences of flood damage. The National Flood Insurance Program (NFIP) has set standards for communities to reduce the risk of major flood damage through building elevation requirements. Communities that participate in the NFIP require homes in mapped floodplains to have the lowest floor at least as high as the base flood elevation (BFE). The BFE is the predicted high-water mark of the 1 percent-annual-chance flood, or "100-year flood." In parts of Mississippi and Louisiana, new advisory BFEs issued after assessments from Hurricanes Katrina and Rita may govern the height requirements.

Methods to Raise Foundations

There are three common methods to raise the height of the first living floor: construct a solid perimeter wall (raised-floor or crawlspace), drive pilings to elevate the building, or haul in fill to create a raised pad on which a concrete slab foundation is poured.

In 2003, 53 percent of all new U.S. homes were built as slab-on-grade, and in the South, an even higher percentage of the homes are built on slabs. The trend seems to be increasing despite the fact that raised-floor foundations are easier on the environment and easier and less expensive to build.

Raised-floor foundations are the best choice for infill and redevelopment, for accommodation of future additions, and for good performance during floods. Using a raised-floor foundation to elevate your home has some significant benefits, as described below.

Grade and Soil

Fill that is used to elevate a home in the floodplain can cause adverse environmental impacts. Most communities specify a maximum 2:1 slope for fill, in part to make lawn maintenance safer. That slope requirement can lead to significant areas of ground disturbance, loss of mature trees, and possible wetland encroachment. Changes in drainage patterns can increase the chance of flood damage on nearby properties, creating liability. Fill that is used to elevate homes on slab foundations may slump when saturated or be eroded by moving floodwaters, leading to structural damage when the slab is left unsupported.

Homes on raised-floor foundations are less likely to experience differential settlement, which is common in many floodplains where expansive clays and soft organic soils are often found. Leveling work common in many parts of the country, even for relatively new homes, is easy to accomplish and less expensive when homes are on raised-floor foundations.

Construction

Construction of a raised-floor foundation is easier to schedule because concrete and masonry work do not have to wait on plumbing installation and inspection, as is the case with slab foundations. In areas with poor soils, the contractor does not have to find a source of good fill.