How much value does an extension add?

kingoftherodeo

Hi All

I have a dilema.

We have recently bought a victorian semi that we want to do a side return extension on. We are in the process of having drawings done to start getting quotes from builders. So we are fully committed.

I have the chance to invest some money from company stock that I can sell. I'm interested to know if anyone has experience or knows where I can find any data that shows how much value an extension can add. I'm trying to understand if investing the money in an extension would speculatively give a good return vs gambling leaving it where it is. Trying to find the trade off.

We live in Bedfordshire, Leighton Buzzard.

I heard a stat recently that in London for example adding a sqm of space adds £12k value to a property. Clearly LB won't be the same, but wondered if there is a rule of thumb?

pathtofreedom

There is no specific formula as such. All you can do is some research in your area for similar houses to yours. Are you thinking a 2 storey extension so you could add a bedroom and an en suit or something? If you search for houses with the same amount of bedrooms as what you're planning to go to within a small area of your location how much more do they sell for? There is no guarantee with anything like this, as house prices might also fall even if you do nothing and take value from the house.

How long are you planning on staying in the house once you do the work as well? If it is your forever home, then it doesn't really matter if it adds value or not, just to get the best layout to suit your needs is probably more important. If your thinking of moving in 5 -10 years or something, you'd need to find similar bigger properties and see if it is worth the extra cost or if you'd never make it back.