It’s no secret that many homeowners who refinanced or purchased homes during the late 2020-2021 period of low interest rates might not want to move now that rates exceed 7 percent. After all, the rate difference can represent additional hundreds or even thousands in monthly payments in interest alone. Add in the fact that any equity accrued in the home will need to cover the now-higher home prices, and, for homeowners who might want to move but don’t have to do it, the math makes staying put pretty compelling financially.

So, instead of moving, many homeowners have turned to maybe the next best thing: upgrading their existing residences into the home of their dreams by making various home improvements: adding square footage, putting in a covered patio, installing a luxury kitchen with high-end appliances, and so on. Most homeowners set aside a budget for upgrades and have to decide between various options that fit within that limit. Part of that decision process involves asking the question, “which improvement will bring the most return on investment when selling”? That’s where Stairtop comes in.

Let’s back up for a second first. When making a decision, most people have an objective and want to pick the choice that maximizes it. For example, if want to get to your destination as fast as possible, you pick the shortest route. If you instead wanted to get to your destination while also enjoying nice views, you might pick a longer, more scenic, route. The first route maximized your efficiency, the second maximized your overall satisfaction. Your decision between those choices reflects your objective.

The same goes for choosing a home upgrade. Think of the choice between maximizing satisfaction vs. maximizing return on investment (without considering the other choice) as two ends of a spectrum. You might want a red bamboo floor, because it brings a smile to your face every time you walk on it. Or, you really might want a built-in espresso machine, because you just love coffee and don’t care if it might not get you a nice return on investment at sale. All of that is what we call use value. People are unique, have different tastes, and, particularly if they’re not planning to move anytime soon, they want to feel comfortable and happy in their homes.

Let’s look at the other end of the spectrum. Others may look to maximize their return on investment when making home improvements (like choosing the shortest route vs. the most scenic one when driving to a destination). They may be buying the home to “flip” it, perhaps they move frequently, or some other reason. 

Most people probably fall somewhere in between these two extremes. They have a limited budget and want to make their money go as far as possible but also feel content with the use they will get from the final product. They want the bang for the buck and the smile. That’s really where Stairtop shines.

Here at Stairtop, we use machine learning, and sophisticated econometric and statistical modeling to help Realtors and their clients make the best financial decisions with regard to their properties. We specifically focus on measuring the effects of the home features that add value (or avoid those that hurt the value) of a home. So, when you make that decision to upgrade your home and ask yourself, “I wonder which improvement will give us the best bang for our buck”, we at Stairtop provide your realtor the information to help you answer that question. 

You like both maple and acacia floors and wonder which one is likely to add more value to your home? We can answer that.

Deciding between cherry and melamine cabinets and want to know which one will improve your home value more? We’ve got you covered.

You’re building that dream kitchen and you’re wondering what luxury brands homes like yours have added? Stairtop is your stop.

Before we show you some examples, note that little phrase, “homes like yours”. That’s very important. Adding home improvements is a fantastic way of increasing the value of your home. But if your home already sits at or above the top of the market for your neighborhood, you’re mostly going to get use value, not investment value from that improvement. We call that “diminishing returns”. Remember, when the time comes to sell your home, the other houses in the area will be your comparables (“comps”). Unless you can justify why you want to price your home say 10-15% higher than those (also where Stairtop can help you), those comps might pull down your appraised value.

Stairtop can help you keep track of those upgrades – which ones you made, the what you paid, and anything else you find important. Then we can tell you the added value that our models predict your improvements had. When it comes time to sell, your realtor will get a report on all of these to provide to the appraiser, to help justify your home’s value. No more struggling to remember how much you paid for that new bathroom upgrade 3 years ago. Stairtop keeps track of that for you.

Also, if that upgrade does not fit with your neighborhood (or your area, in general), you might be a style trailblazer that everyone starts to emulate, or you might be choosing an improvement that makes you happy but won’t bring you that much ROI. And if you don’t care about the ROI, that’s totally fine! Our goal at Stairtop is to help you make the most informed decision possible. 

What does this mean? Adding an open swimming pool in say, Arizona or Southern Utah, means you can enjoy it for a higher percentage of the year than say, Salt Lake City (SLC). That’s why you see more pools in states with warmer weather, like Florida or California, than say, Utah or Montana. So, if you’re adding a pool in SLC, you probably want to know how frequently SLC homes with pools have sold, are any of those in your neighborhood, and do they have similar features to your home? 

If those are the kinds of questions that might interest you, you’ve come to the right place.