8 Factors that Enhance a Home's Value

Looking for the best return on investment on the home you're buying?  Consider these factors, which Realtor.com identified by analyzing millions of sales nationwide.

Small Size:
Over the last five years, homes under 1,200 sq. ft, favorites of retiring boomers and first-time buyers, have appreciated by an average of 7.5% per year, while homes 2,400 sq. ft. or larger have risen just 3.8% per year.

Open Floor Plan:
Having an open floor plan led to an average 7.4% appreciation per year.  Less desirable?  Granite counter tops (2.5% annual appreciation) and stainless steel appliances (3% annual appreciation).

Fewer Bedrooms:
The more bedrooms a home had, the less it appreciated since 2012.  Homes with one bedroom increased by 7.2% per year; those with two bedrooms (6.6%); three (6.3%), and four bedrooms (4.9%).

Homes With A View:
Homes overlooking a park increased 7.9% annually.  Those with mountain views 5.1% and those with lake views 4.9%.

Two-Car Garages:
Homes with space for two cars appreciated by 6.4% annually, vs. those with one-car garages (6%) and those with three-car garages (just 3.8%).

Modern/Contemporary Style:
Newer trumps older in architectural style, with modern/contemporary homes rising in value by 7.7% per year, followed by bungalows (6.5%), traditional (5.6%), ranch (4.5%), Craftsman (3.7%) and Victorian (2.2%).

The Right Amenities:
Homes with patios increased in value by 6.8% annually, while those with hardwood floors grew 5.7% and those with fireplaces 5.3%.

Location:
Homes in urban areas near mass transportation grew 8.4% in value per year.  Those near good schools increased by 7.2%, and those near shopping by 6.5%.