How Much Value Does a Garage Add to a Home?

March 15, 2019

Over 5 million homes are sold in the United States every year. More than 60% of those houses include a garage or at least a carport.

So what should you do if your house is garage-less?

If you’re getting ready to sell, you should consider adding a garage to your home. But then you might ask the question, “How much value does a garage add to a home?”

We’ve put together this guide to help you answer that question.

So let’s dive in.

Does a Garage Add Value to a Home?

The short answer is yes. Building a new garage on your property will add value to your home.

The bigger question is this: how much value does a garage add to a home?

That one is a little harder to answer.

There’s no set amount of money a garage will add to your home when you sell. It depends on what part of the country you live in and what type of neighborhood you have.

But adding a garage to your home is never a bad investment. No matter where you live, you’ll get a good chunk of the money you spent on the garage back when you sell.

Exactly how much are we talking here?

We’ve laid it out below.

How Much Does Adding a Garage Cost?

Again, there is no exact price tag that comes with installing a new garage. The cost will vary based on where you live and even what company you choose to work with.

However, most garage additions cost an average of $27,000. But this price can go about $10,000 up or down depending on your personal circumstances.

Is this price worth the investment?

For most people, it is. But let’s keep reading to learn how much money homeowners get back from their garage additions when they sell.

How Much Money Will You Get Back?

Remember, the exact cost of a garage addition depends on where you live, and so does the amount of money you get back.

But the return on investment is usually high.

For example, most garage additions will give you a return on investment of anywhere from 76% to 85%.

Does that seem low? Compare it to a bathroom remodel. Renovating your bathroom is one of the best ways to add value to your home, but most bathroom projects will only give you a return on investment of about 65%.

So a garage addition is much more profitable than many other home renovations. In some cases, homeowners can get a 100% return on investment for a new garage.

Why You Should Always Add a Garage to Your Home

Whether you’re planning to sell your home now or live in it for several more years, you should always add a garage to your home.

Why?

Aside from adding value to your home, garage addition brings several benefits you won’t get anywhere else. Make sure you keep reading below to see what we mean.

When You Sell

Trying to sell your home if it doesn’t have a garage can be a difficult job.

Most buyers are looking for a home with a garage, and if they don’t see one, they might turn away before even stepping foot inside your home. This is especially true if you live in the suburbs.

But that doesn’t mean you shouldn’t add a garage to your urban home. A garage on an urban home can make the property more attractive to buyers because it allows them to stop parking their car on busy and often crowded streets.

In other words, adding a garage to your home makes it more marketable. You’ll have a much harder time selling your home if you don’t have a garage.

Before You Sell

If you still plan to live in your home for a few years, you have the opportunity to take advantage of your garage benefits.

What do those include?

We’ve put together a quick list of reasons your home should always have a garage below.

1. Protects Your Car

First and foremost, a garage addition gives you somewhere safe to park your car. Things like rain, snow, hail, UV rays, bird droppings, dirt, fallen leaves, and other debris can all damage your car.

Putting it under a roof protects it from the elements, but it also protects it from other cars. Parking your car on the street puts it at risk of getting chipped, scratched, or dented by other vehicles as they drive by.

Even a driveway isn’t always safe. Thieves have more access to your car when you leave it outside.

A garage is the best place to leave your car, no matter where you live.

2. Gives You More Space

Most garages have enough space for your car and then some. This gives you a place to store those holiday decorations or extra boxes that don’t fit in the attic.

And you don’t have to use your garage for your car.

While a garage is the best place for your car, you can also turn your garage into an extra room if your home is short on space. It can become another bedroom, an office, a playroom, or a home gym.

3. Easier Accessibility

A garage makes getting to your car easier.

You don’t have to walk through the rain if it’s storming outside. Instead, you just step into your garage.

This also makes it easier for people who struggle with their mobility. Driveways can be bumpy and uneven. Getting in and out of the car is easier for these people if they can do it in a garage.