A highly regarded authority, the Appraisal Institute Canada, says you can’t add value beyond the cost of the renovation to a house. But I have personally done profitable renovations to buy and flip, and have helped clients do profitable renovations. I can advise you on how you can do the same.

The Appraisal Institute releases a list of renovations items annually, and consistently reports that homeowners can expect a 0-100% increase in home values from their renovation. The Appraisal Institute evaluates items such as bathroom renovations or the addition of skylights on an item by item basis.

On one hand, I agree with the Appraisal Institute. If you have a dated home and you do just one or two items, you can’t sufficiently change the look and feel of the home. You have improved it, but by leaving most of the house in its original state you have a dated house. People coming in to view the home can only see all the work that still needs to be done in order to bring the house up to modern standards.

Doing one or two things will not create value beyond the cost.