Will Having 4 Bedrooms Increase My Home’s Value?

We often hear questions like: “Will having 4 bedrooms increase my home’s value?” or “Do you think I can get more money for my home if I enclose my loft and make it a bedroom?” These are very interesting questions that are worth further investigation.

Is a 4th bedroom truly more valuable to a buyer than a bonus space? Our initial response to that question is that any type of 4th living space, i.e. bonus room, loft, den or even a 4th bedroom would have similar value to a potential buyer. They may use that extra space as a play room or perhaps an office, but not necessarily as a bedroom. We thought it would be interesting to run the numbers for a neighborhood in San Tan Valley, so we decided to take a look at Pecan Creek.

As of today, if you look at the community of Pecan Creek, you will find that a 2-story home with approximately 2000 square feet of living space that has 3 bedrooms plus a den or loft has an average value of $174,183. However, if you look at homes of a similar size and bump up the number of bedrooms to 4, then the average value actually drops to $171,740!

The numbers are very telling in this case and provide an answer to the question, “Do you think I can get more money for my home when I go to sell if I decide to enclose my loft and make it a 4th bedroom?” Do you think buyers value an open loft or den more than a bedroom? The data shows us that buyers are willing to pay more for a home that has a “flex” space  than they are for a home that has an actual 4th bedroom. If you would like a more thorough analysis of your home’s current market value, then we would be happy to run the numbers specifically for your home and your neighborhood to see how they might differ.