Chicago & Miami Make the Report
The Candy GPS Report highlights cities around the globe that don’t quite have world-city status, but rather are second-tier cities on their way to becoming real estate stars. The global cities that made the list are Melbourne, Australia; Dublin, Ireland; Beirut, Lebanon; Istanbul, Turkey; Jakarta, Indonesia; Cape Town, South Africa; Tel Aviv, Israel; lagos, Nigeria; Panama City, Panama; and Chennai, India.
In the U.S., the top two contenders for residential property price growth are Miami, Florida, and Chicago, Illinois, according to the report.
Chicago made the list in part due to the city’s affluent suburban areas, as well as the notable number of people with ultra-high net worth. The Candy GPS Report shows that the residential market is improving but still offers some properties with potential high yields. CoreLogic Case-Shiller analytics parallel these findings, estimating a 5.1 percent increase in single-family home values in 2014 alone.
Whether you live in Chicago, Miami or another U.S. city altogether, you can take advantage of this upward trend, add value to your property and generate the best ROI.
Renovations That Pay
Home improvements and renovations can seem overwhelming at times, and the ROI varies from project to project, region to region and even house to house.
The first thing to do is check out Remodeling Magazine’s Cost vs. Value 2014 report. It compares the average cost of 35 popular remodeling projects to the resale value those projects retain when it comes time to sell in 101 U.S. cities. Two projects that fared well, no matter the geographical region: Replacing old vinyl siding with more contemporary siding and transforming an attic into a bedroom.
Not all renovations require such drastic metamorphosis. Replacing old, drafty windows is also a good bet, especially in Chicago, where drafty windows spell doom for winter energy bills. Window replacements on a mid-range home in the Chicago area in 2014 are estimated to yield an 82-83 percent return, depending on whether vinyl or wood-frame replacements, according to the Remodeling report.
Additional suggestions for improving the ROI on a home are adding a wooden deck to the property, replacing the garage door and updating the kitchen.
Though many home improvement projects can be handled on a DIY level, with any significant scale project aimed to increase ROI, hire a professional to perform the work.
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