A lot depends on why you are buying the house. Are you buying it mostly as a home or mostly as an investment? There is a difference.
For the most part, upgrades are high-profit items for builders. They aren’t designed to enhance the value of the house, but make you happier with the house you do buy.
If you are looking at your home as an investment, then you buy from the smaller to medium size in the tract and spend only a minimal amount on upgrades. If you are looking at your purchase as a home, then you select upgrades that will enhance your quality of living.
One rule of thumb is to always upgrade the carpet and paint. Another, of course, is to spend on the kitchen and bathroom as this is very often the deciding factor when you decide to sell at a later stage.
As for square footage and number of rooms etc, you should look at the local supply and demand to decide. In London we have so often seen people squeeze extra bedrooms in, only to have the new buyer change a 4 or 5 bed back to a three or even two bed property to improve the quality of life.
Charles would be the best person to advise on this as he has spent a lot of time altering properties for the better. By all means give us a call.