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The Clark Howard Podcast

3.4.20 Home renovations that pay off; Buying used clothing and furniture

The Clark Howard Podcast

Clark Howard

Business, Investing, Entrepreneurship

4.6 • 5.2K Ratings

🗓️ 4 March 2020

⏱️ 35 minutes

🧾️ Download transcript

Summary

We’re moving into the home renovation season. The National Association of Realtors and National Association of the Remodeling Industry | NARI conduct value studies and have found that a homeowner will get back 50 cents on the dollar for a kitchen remodel. So a 10k kitchen redo will increase the value of your home $5900 at best. The return on adding a master bedroom suite also yields around half. What does pay? Hardwood flooring, HVAC updates and insulating come close to recovering costs. Clark’s simple rule: The reason you renovate or add on to a home is enjoyment. Don’t con yourself into thinking you’re investing for a positive return in cash. People are stretching their dollars by taking advantage of how much things depreciate from new to used, particularly in the area of high end women’s clothing. Nordstrom is now actively selling used clothes, joining Macy’s and others. Independents include ThredUp, and TheRealReal. Used furniture is another high depreciation category – not so much for upholstered furniture. If relocating, check Freecycle and Craigslist for furniture.  Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

Glad you're with us here on the Clark Howard Show where it's about your empowerment with

0:10.6

knowledge so you can save more and spend less and don't let you whenever rip you off.

0:16.1

Just say when you talk about you not ripping yourself off.

0:20.9

Clark.com's our main website, ClarkDeals.com is where you can go for us to save you money

0:26.6

around the clock.

0:28.6

Being a saving money, it's really in right now to buy clothing used.

0:34.8

I want to tell you how big that's become and who it's really appealing to.

0:41.4

So we're in moving into home renovation season when people look around and say, you know,

0:49.0

I'd really like a new kitchen.

0:51.6

I'd really like to have new bathroom, whatever.

0:56.1

My son and I were an IKEA last weekend and it was packed beyond belief.

1:06.6

Well, that's IKEA on a weekend.

1:09.2

But what was most crowded with the kitchen redesign areas?

1:14.4

I mean, people were piled in those and looking at ideas, people were taking pictures with

1:20.6

their phones, which I don't know if you need to do because it's probably all on IKEA.com.

1:26.4

But people were looking at these ideas to put in new cabinets, new countertops, new

1:33.0

floors, new appliances, the whole thing.

1:37.7

And I was looking at how much it costs, even at IKEA, to do those kitchen renovations.

1:44.4

It's a lot.

1:46.3

So if somebody does it, according to the industry, the trade association and the national association

1:55.4

of realtors and the nary, the national association of remodeling industry, they both do these

2:02.0

studies about how much your renovations worth.

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