Invest In
Your Nest
Okay, so the housing
bubble burst, home values are plummeting, and the money mavens say it's gonna
get worse before it gets better. What to do? Invest, of course, in the place
you call home.
By:
Lawrence Lanahan Published September 24, 2008 at 02:58
PM
Let's get the bad news
out of the way: Sales of single-family homes in Westchester decreased 26.7
percent between the second quarter of 2007 and the second quarter of 2008,
according to the Westchester-Putnam Multiple Listing Service (WPMLS). As if
that's not disheartening enough, the median price (that is, the mid-point of
all reported sales) of a single-family home also dropped in the same period,
from $700,000 to $674,900. And inventory is up 10.6 percent--that's 443 houses
on the market that weren't there a year earlier.
If you were hoping to sell but decided to wait for a
rebound, you might be staying put for a while. Even the rosiest
prognostications say we've got a long way to go; there are simply too many
factors at work, all tunneling into market stability like termites. The
Westchester County Board of Realtors in a recent newsletter proclaimed that
"foreclosures, mortgage interest rates, credit availability, unemployment, the
Manhattan real estate market...are not radiating wellness."
Well, "not radiating wellness" is one way to put it. Might
as well come right out and say it: real estate-wise, life is giving you lemons.
And when that happens, you renovate the kitchen in which you make your lemonade.
The fact is, whether you're planning to sell or stay, experts say it makes
sense to invest in your abode. "When things get tough, instead of selling and
buying a different house, homeowners do upgrades," declares Mark LePage,
president of residential architecture firm Fivecat Studio in Pleasantville. "It
is great for resale."
And take heart, not all upgrades are costly. "It's the
simple things that get the highest return on investment," says Mark Boyland,
president of WPMLS. "New carpeting and new paint are fairly low-cost
improvements that can get you two dollars for every dollar you spend."
This article will help you figure out which upgrades will
give you the biggest bang for your buck and make you and your family
happier--more comfortable, more proud, and even more virtuous (yeah, we're gonna
get into the "green" thing)--in your home for as long as you care to stay. As
you consider renovations--we'd rather call them investments--don't worry so much
about the market. Because when the market picks up, a house with a brand-new
kitchen and an expanded master bedroom suite will sell for more than a home
with
a dinky kitchen and an uninviting bedroom. So put away those local real estate
listings. And pick up some blueprints.
Kitchens
The heart
of your home.
THE HEART OF YOUR HOME
"A new kitchen will
return about eighty-five cents on a dollar," declares WPMLS's Mark Boyland. "It
may mean the difference between selling and not selling." Sam Owen, owner of
Garth Custom Kitchens in Scarsdale, is even more positive. "In my experience,
in a good economy, you always get your money back on a kitchen renovation. It's
the most important room in the house."
In September of last year, the National Kitchen & Bath
Association predicted that Americans would spend more than $96 billion
renovating approximately 7.6 million kitchens by the end of 2007, even though
the housing market continued to decline.
To increase the value and enjoyment of your kitchen, think
beyond cabinets and sinks. Think lifestyle. "The best improvement you can make
is to improve the space," says Jason Landau of Amazing Spaces, LLC, an interior
design firm in Briarcliff Manor. And improve the lighting. Large windows and
skylights can make a kitchen a brighter and more welcoming social space, as can
islands (peninsulas are out) and vaulted ceilings.
5 cool
options for today's kitchen
The possibilities are endless and they depend on your taste
and budget, but here are some favorite kitchen options from local home
remodelers and kitchen designers.
1 A Separate
Refrigerator and Freezer
"If you have the space, a separate refrigerator and freezer are nice," says
Owen of Garth Custom Kitchens. "So is a small beverage refrigerator for the
kids."
What It'll Cost: The stainless-steel Sub-Zero 36" All
Refrigerator goes for around $6,000 at Prisco's Video TV & Appliance in
White Plains, and it's another $6,000 for a stainless-steel Sub-Zero 36" All
Freezer.
To Save a Little: At Prisco's, the General Electric Monogram 36" Built-In All
Refrigerator costs about $5,600, as does the Monogram 36" Built-In All Freezer.
To Save a Lot: Reconsider the built-ins. Cabinet-depth refrigerators can look
virtually built-in and are much less expensive. For $1,900, Sears offers the
32" Kenmore PRO Professional Size Refrigerator. It's another $1,900 to add the
32" Kenmore PRO Professional Size Freezer.
2 Dovetail
Drawer Boxes
If you've ever had the front of a drawer fall off, you probably were not
pulling on a drawer with dovetail joints. Dovetail joinery, an indicator of
good craftsmanship, makes cabinetry stronger and sturdier. "I've seen articles
forever recommending this," says Chuck Conti, owner of Westchester Kitchen
& Bath in Peekskill. Fortunately, in most mid-level and higher-quality
kitchen drawers, dovetail joinery "is almost standard now," says Owen.
To Save: You can knock off a third of the price by going
from custom to semi-custom. Additionally, since late summer, Owen reports,
"almost all of the cabinet manufacturers are offering incentives, such as
reducing the premiums on better woods by fifty percent, so you can now get
cherry, for instance, for the price of a lesser-quality wood."
To Save More: By going from semi-custom to stock, you can save another 33
percent.
3 48-Inch Range
Two ovens, six burners, a grill, and a griddle all in one spot? Who doesn't want
that? Viking and Wolf are the big names in pro ranges. But, says Laura
Sperandio of Bilotta Kitchens in Mamaroneck, "All the lines are making pro-type
ranges."
What It'll Cost: Nick Prisco, CEO of Prisco's Video TV &
Appliance, recommends Wolf over Viking and says a 48" Wolf range costs around
$7,500.
To Save: GE's Monogram 48" pro range runs around $5,000, which certainly isn't
as costly as Wolf or Viking.
4 Radiant Floor
Heating
Radiant floor heating, which uses tubes or cables to send heat up from under
the floor, is efficient, comfortable, quiet, invisible, and distributes heat
evenly unlike other types of heating--baseboard or forced air (ductwork)--which
can take up valuable cabinet space and heat the kitchen unevenly. "We try to do
it in every kitchen," says LePage of Fivecat Studio.
What It'll Cost: For hydronic (water-based) radiant floor
heating, LePage says to expect to pay $20 per square foot. After it's in, turn
your thermostat down when you're in the kitchen to save on energy bills.
To Save: Electric radiant floor heating is less expensive to install but more
expensive to use. Still, it can be
an inexpensive complement to your main heating source if used occasionally.
5 An Island
"Island kitchens are far and away popular beyond any other design," says Kelly
Stewart, director of sales and development for Kitchens by Deane in Stamford
and New Canaan, Connecticut. You get better work flow--and traffic flow--more
counter space, and a central gathering point for family and friends.
To Save Even More: Go with a smaller island that functions more like a table with little or no cabinetry.
To Save a Ton: Just pick up a small mobile island. Home Depot offers the 38" by 44" Catskill Craftsmen Super Island Plus for $859. It includes raised-panel doors and a drop leaf. If you are on a tight budget, a mobile cart will give you some counter space, a little storage, and some flexibility in your kitchen's flow.