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Building an extension is one of the most popular methods of creating extra space in your home.

Whether it is a single storey or a double storey extension, creating that additional living space can massively improve your property.

However, one of the main questions we get asked is whether an extension will add value to a house? When you factor in the costs for planning, building, and furnishing an extension, it can be pretty expensive and while it will create extra space, will it allow you to sell your home for more money in the future?

So, let’s have a look at home extensions and whether they will add value onto your property.

 

Home extensions and property value

As a general rule, extending your home with a quality extension will add some value to your home. This will vary depending on the type of extension you build, but research has found that your property value can rise by:

  • 20% for a double storey extension
  • 10% - 20% for a single storey extension
  • 5% for a conservatory

These are average figures and the actual increase in value to your property will depend on certain things. 

Also, remember to take into consideration the potential ceiling price of a property in your area. 

Generally the area you live in will have a ceiling price that buyers would pay for a home, so adding an extension that will potentially take you over this ceiling value won’t be a sound investment.

Alternatives to an extension

If you don’t think an extension is right for your home, there are other ways to create more living space.

Loft conversion

A loft conversion can be a fairly straightforward way to add extra living space, and it won’t require the same kind of work as a full extension. You often won’t require any planning permission either.

These conversions can add a lot of value to your home. While they will remove extra storage space in your house, the extra room can significantly increase your property value in areas where houses with more than two or three bedrooms are rare.

Garage conversion

Investing in a garage conversion is another way to quickly add additional space, although be wary that removing a place to securely store a vehicle can put some people off buying your property in the future.

Typically a garage conversion will increase the value of your home by 10% if you still have space to park your car on a driveway.

Garden rooms

There has been a big increase in self-contained garden rooms, as more people are working at home since the COVID-19 pandemic. 

This can be an ideal way to create a home office or workspace, and usually don’t require planning permission as they are classed as an outbuilding. They can add value to your property, especially if a potential buyer is looking for a home office without sacrificing an internal room.

 

Getting help with your home extension

Building a home extension can add value to your home (anywhere between 5%-20% in most cases), although do be careful about how much you spend and the typical prices a property will sell for in your area.

If you aren’t sure how to start designing and planning for home extension, we can help.

Read our guide on how to use Extension Hub and how we can take some of the stress away from the process.

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