Courtesy of CREB. Stefan Strangman
How building a garage can dramatically increase your home value
Driving has always been a way of life for Calgarians, and given the ubiquity of cars in in the city, garages are a must for almost every home.
Whether looking to build a home for the first time or renovating an old one, detached or attached garages are the options most builders choose. However, special builds also exist and can even include underground parking or tunnels, at costs upwards of $35,000 for a triple-detached unit.
According to appraisers, a garage of any kind added to a home will increase its value. With the average garage cost in Calgary sitting around $23,000, adding a garage to a property at any point in a home’s life will increase property value, since the return almost always equals the cost.
“Cost does not always equal the contributory value in the resale market,” said Greg Macdonald, president of Sage Appraisals. “However, garages are an exception.”
“A GARAGE THAT IS PROPERLY BUILT AND PERMITTED CORRECTLY CAN INCREASE YOUR CHANCES OF SELLING A HOME FASTER, AND YOUR HOUSE VALUE SHOULD INCREASE BY THE COST OF THE GARAGE,” – COLIN ERNST, ALLIANCE RENOVATIONS
When building a new home, adding a garage after the fact can increase its overall cost and limit your options, often restricting a homeowner to a detached garage.
“The best time to add a garage is at time of construction, particularly with attached garages, so as to avoid additional costs associated with modifying the existing structure,” said Macdonald.
The birth of the so-called “man cave” has meant that garages can be multi-purpose, and though they can represent an excellent space for hobbies and storage, builds specific to those specifications offer little return on investment, according to Macdonald.
A garage makes such a dramatic impact on the value of a home that not installing one during the build process can adversely affect the resale value of the property.
“A garage that is properly built and permitted correctly can increase your chances of selling a home faster, and your house value should increase by the cost of the garage,” said Colin Ernst of Alliance Renovations.
Whether building a man cave or creating new space for storage and vehicles, adding a garage can be a boon to any home. But before you head down that road, Ernst says it’s important to keep a few key factors in mind.
“Do your research. Make sure that the companies you deal with have all the proper bonds, insurance, etc.,” he said. “The cheapest price is not always the best. Review the items that a company is offering versus others, as there can be a big difference in what you are paying for.”