What exactly does adding value to a property entail?

[Joseph Kim]

BP Community, 

I've recently seen a bunch of SF homes and I cant help but think there are tons of untapped potential in some older properties. For example, a 1600 sqft house that has two living rooms...my immediate thought was "why not break down that wall and create an open concept living area or convert the second living space into another bedroom?" 

I seek advise because I want to know if I'm understanding the concept of "adding value" to a property, beyond cosmetic repairs, correctly. Please share your thoughts, experiences, or expertise on the subject matter. Thank you! 

Respectfully, 

Joseph Kim 

[Cody Barna]

@Joseph Kim you have the right idea, adding value to a property could be the addition of a bedroom or bathroom, updating the electrical and plumbing. It could also be cosmetic such as improving the exterior appearance or updating the kitchen. Not all upgrades will effect the value determined by an appraisal but it can help to increase the value in the eyes of a potential buyer.