Does Accessible design add to value of home

[MSWIFE1]

Just wondering...since David got MS 4 years ago I have completely remodeled our home (mostly by myself). 36 in. doorways, solid hardwood floors, ceramic tile floors, 5x5 roll in tile shower with a vertical spa, automatic door openers, etc. etc. Anyway, with all of this and his meds, etc. I have accumulated a great deal of debt so we are in the process of refinancing our home to group all of our bills together, lower interest rates and be able to survive thru the trying time. Well, the bank sent out an appraiser and he appraised the inside (at my request) and the outside. While he was here, I was explaining all that I had done to make the house accessible and he basically just snarled up his nose and said "that doesn't really matter, I'll put it in the report, but its not going to add to the value" Has anyone else ever dealt with this? I worked my a** off to get the house perfect for David and I truly believe every house should be accessible but...it doesn't make it worth anymore??? Just wondering.

[dan_nc]

That's true in my area : buyers worship the almighty price per square foot, and so you really get a marginal (if any) bump for accessibility (that goes for higher-end finishes as well). The problem is that accessibility a feature that only matters to a relatively small segment of the population.

Real-estate dollar-wise, the improvements with the biggest value are the ones that appeal to the broadest range of buyers.

[madmaddmother]

sorry to say he was right...I passed my state exam a couple months before my sons injury. it is sad, but true, and often times homeowner diy's will create less value unless done up to par with a professional. When you sell you would think people would be interested in those features, often they are not because "heck, they are never, ever gonna need that roll end shower or huge doors" so they don't even look...enjoy your home, I hope it appraised well and you can now breathe!

[Eileen]

It seems with the aging baby boomer generation things like accessibility should become more and more valued. There is an entire generation who will be giving up their two story townhouses and their third floor walk-ups. In my neighborhood they have already changed all the street signs. Not because there was anything really wrong with them, but the increased the size of the lettering quite dramatically so that aging folks could read them easier.

[madmaddmother]

Eileen, what you say is so true... market value is based on what people are willing to pay ...the mess in CA is a great example, especially in the bay area where people would list their homes for x number of dollars...a buyer would come in and pay x plus more$$$$$...guess what...the neighbor's house is now worth that More$$$$...and people kept buying... then pop went the bubble...

[dan_nc]

Some features that would be considered "accessible" are actually turnoffs for many buyers. For instance, for some, a downstairs master-bedroom would be considered less safe than a bedroom on the second floor. Handrails and grab-bars are considered unsightly. People often prefer a tub/shower to a roll-in shower. Even stuff like higher-end finishes like hardwood and tile floors don't always bring much an increase in value when compared to costs.

[MSWIFE1]

I see what you are all saying, but it is just so frustrating. I don't know what the house appraised at yet. My fingers are crossed it did well enough to suit our needs with the refinancing. Not to brag, but I am my dads little boy so to speak (he had no boys, just us three girls) and have done a near professional job with the remodeling. Saved ALOT doing it myself. I have tried to make everything look "normal" and not like a handicap person lived here. I am still sure it will appraise at more than what I got into it doing it all myself, its just those words were so hurtful. Like accessible? So what, that dont mean anything, youre the only one that needs that, you just ruined this house for everyone else.

[gcblarsen]

Really anything you do to your house these days doesn't add value to the house, it just helps getting it sold. We sold our house a couple of years ago when the market was going bad quick. Each offer we got was lower than the one before. We did a lot to the house, but the value was based off the foreclosures in the area and square ft., and number of bedrooms. Nothing else mattered. It was a terrible experience.

[arndog]

Another issue that I just went through with the friendly IRS is the issue of tax deductions of the cost of remodeling for accessibility. You can deduct it by the amount that does NOT increase the value of the home. So we built an elevator. We had to get a 2 appraisals. One before the remodel and one afterwards to prove that the elevator did not increase the value of the home in our neighborhood. Then we could include the cost as a deduction.

[Foolish Old]

As disappointing as it may be that all your hard work may not have added as much as you hoped to the appraised value of your home, take satisfaction in knowing that it has added real value in a most important way. While a home may be our biggest expenditure, its primary value is as a residence, not as an investment vehicle. You have made your home more useful to the people who live there. No greater reward can be accomplished through renovation. I am sure you are getting a fantastic return on every penny spent, and every second of your hard work. I also believe that "universal access" will appeal to more buyers as the population continues to get older.

It's great that you are able to do your home remodeling. A skilled and careful DIYer will almost always produce an equal or superior product to a professional trades-person who must work against the clock to turn a profit. I bet I'm not the only one here who would enjoy seeing pictures of your work.

Hopefully, the appraisal will get you where you need to go. Shop hard for a deal you like, and ask if there are any government backed programs for people in your situation. Good Luck!

I see what you are all saying, but it is just so frustrating. I don't know what the house appraised at yet. My fingers are crossed it did well enough to suit our needs with the refinancing. Not to brag, but I am my dads little boy so to speak (he had no boys, just us three girls) and have done a near professional job with the remodeling. Saved ALOT doing it myself. I have tried to make everything look "normal" and not like a handicap person lived here. I am still sure it will appraise at more than what I got into it doing it all myself, its just those words were so hurtful. Like accessible? So what, that dont mean anything, youre the only one that needs that, you just ruined this house for everyone else.

[Hunker]

It seems with the aging baby boomer generation things like accessibility should become more and more valued. There is an entire generation who will be giving up their two story townhouses and their third floor walk-ups. In my neighborhood they have already changed all the street signs. Not because there was anything really wrong with them, but the increased the size of the lettering quite dramatically so that aging folks could read them easier.
I agree, If you make a group home for people in wheelchairs, put a business into the house like "whatever you like to do" and all the aging baby boomer generation would have a place. I am looking for a job and find it funny that so may houses are NOT accessible. So how can I move to another state and work? I feel old and would not want the hassel of finding a built in ADA standard house right now. Until they cure SCI there will be more people and less place to live. I really hate having to be carried over someones shoulder (unless I like her) :) My Mom was in real estate, she would have the type of answer for this question. I really just don't know. :thinking:

[Oldtimer]

We (wife & I) designed and built our house 11 years ago. We did it to suit us rather than for resale. This is a small town but it is the only house that is completely wheelchair accessable. Everything on one level with 1&1/2 baths. The outside looks like any other house and everyone that sees the inside comments on how easy it is to get around and easy to get at. I agree 100% that with the aging population, houses like this will be in a greater demand than du/tri plex or condos. I believe you did the right thing and will never regret it. Be proud of it!

[MSWIFE1]

Oldtimer - I have no regrets. I love our home. We are in a small town too, population about 500, similar layout it seems, 3 bedroom, 2 bath all on one level. We do have a partial basement that is finished with an elevator. (well actually I bought a 8 ft. porch lift and completely enclosed it to resemble an elevator) Our home is normal looking on the outside but as you said it the only home in our area that is completely accessible. A realtor friend of ours says when the list a home thats accessible they use that as a selling plus but thats about it, we could as more and hope someone needing a accessible home would pay for it. We aren't trying nor do we have any plans to sell, but when I remodeled I wanted it to be comfy, stylish and accessible but not look like it was a nursing home so to speak. I feel I accomplished that very well. We should find out about the appraisal in the next few days, I'll keep you posted.

[madmaddmother]

you built an elevator out of a porch lift...awsome! you go girl!

[Oldtimer]

I guess I'm not sure why you want an appraisal because if everything you did is going to add value to the house (which it should) then your tax base will go up. In reality, anything is only worth as much or as little as one is willing to give. I, for my personal self would rather want to see lower appraisal.

[dan_nc]

I guess I'm not sure why you want an appraisal because if everything you did is going to add value to the house (which it should) then your tax base will go up. In reality, anything is only worth as much or as little as one is willing to give. I, for my personal self would rather want to see lower appraisal.

The appraisal is probably necessary for the refi. I hope the OP was able to get a high enough value for the loan to move forward. It's disheartening to not have enough equity to refinance mortgage debt and take advantage of lower interest rates.

In my area, appraisals are not linked to property tax assessments. And tax assessments, which are performed every 8 years, are only loosely coupled to any semblance of actual value.

[Oldtimer]

The appraisal is probably necessary for the refi. I hope the OP was able to get a high enough value for the loan to move forward. It's disheartening to not have enough equity to refinance mortgage debt and take advantage of lower interest rates.

In my area, appraisals are not linked to property tax assessments. And tax assessments, which are performed every 8 years, are only loosely coupled to any semblance of actual value.

Yes, that would make sense. Assessments are done here on an annual basis and any investment over $100. could be considered an improvment which raises the tax base. The assessments are suppose to be within 95% of actual value at all times.

[MSWIFE1]

We got the house appraised to refinance. Since David got MS I have basically ran up two credit cards rather high due to the remodeling, and also got a second mortgage and bought a handicap van, etc. etc. Anyway, when we purchased our home 16 years ago we bought it for 69K David and I have done several things to it and the taxes had it valued at 176K....the appraisal came back at 158K so...yes, that's more than enough to cover all of the debt and lump it in to the new mortgage at a much lower rate (4.125%) plus I dropped the loan to a 15 yr. instead of our 30 yr. loan, needless to say I can breath now. End up saving over $1000 a month and don't have to eat peanut butter or hotdogs every night. For the record, the appraisal did not mention one thing about it being accessible, no picture of the elevator, nothing. I guess I was just panicing when the appraiser was here but I still strongly believe accessible design should be a major plus! --Lisa

[ancientgimp]

Sometimes I search real estate at realtor.com and you can extend the search from just price and location to lots of other amenities one of which is "disability features" - certainly, if you need these features the house will be way more appealing to you and you may be willing to pay more. If you live in an area considered desirable by chair users I would think you could try to market your house 1st to the disability population before perhaps putting it on the general market where you would get less. We, for example, have dropped our cabinets and countertops - a big plus to some chair users but a negative to the able bodied population.

[gpbullock]

There is a major push for "Universal" design for accessibility in Schools of Architecture, probably as a response to the baby boomer generation reaching the age when accessibility issues become more important. IMO homes without barriers will become more desirable to a wider range of people in the future.

[madmaddmother]

Lisa, what great news!

[maryonwheels46]

My old house is perfect for AB's and wc people. It is all about space. AB's and wc people like space. All the doors are large and lg bathroom. I took down the living room wall to the kitchen so when you come into the front door everyone says WOW I love the open space. The kitchen was very large that I put in a long and low island with a stove top because a regular stove was to high for me. I have a regular stove so now I have 8 burners which is great for people that love to cook and have big Thanksgiving and Christmas dinners. One bedroom was made into a washroom with washing machine and drier and a regular table for folding and a nice space to hang cloths. I still have three bedrooms. The middle bedroom is smaller but has patio doors that opens out into a 16 by 30 foot deck.
So, like you found out, your house works for a variety of people.
Mary

[Thesimplycarlo]

Thanks for the info!!!

[Tim C.]

Just wondering...since David got MS 4 years ago I have completely remodeled our home (mostly by myself). 36 in. doorways, solid hardwood floors, ceramic tile floors, 5x5 roll in tile shower with a vertical spa, automatic door openers, etc. etc. Anyway, with all of this and his meds, etc. I have accumulated a great deal of debt so we are in the process of refinancing our home to group all of our bills together, lower interest rates and be able to survive thru the trying time. Well, the bank sent out an appraiser and he appraised the inside (at my request) and the outside. While he was here, I was explaining all that I had done to make the house accessible and he basically just snarled up his nose and said "that doesn't really matter, I'll put it in the report, but its not going to add to the value" Has anyone else ever dealt with this? I worked my a** off to get the house perfect for David and I truly believe every house should be accessible but...it doesn't make it worth anymore??? Just wondering.

Sorry, but despite your investment, it does not always result in dollar for dollar return.
It may however, raise the basis.

[Chris Chappell]

Price is only an issue in absence of value. In other words, yes, a standard real-estate appraisal may not yield you the number (price) that you would like to sell your home for but the value of it (what someone is willing to pay) is not something objective but subjective. If you found one buyer who did recognize all of the work you put into it then you'd probably get an asking price closer to your sale price. The trick is finding the right buyer not worrying what the appraiser, realtor or tax assessor says your home is worth. It's worth what someone is willing to pay. :)

Good luck, onward and upward!

Chris