Top Home Renovations Return On Investment For Sellers
Kitchen Renovation
- Estimated ROI: 60% - 80%
- Why it matters: The kitchen is often considered the heart of the home. A modernized, updated kitchen can significantly increase the perceived value of a home. Even smaller upgrades like new countertops, hardware, or appliances can create a huge impact.
Bathroom Remodel
- Estimated ROI: 70% - 80%
- Why it matters: Buyers often want bathrooms that feel luxurious and updated. Small changes like replacing fixtures, installing new vanities, or upgrading tile can offer a high return.
Curb Appeal Enhancements (Exterior Improvements)
- Estimated ROI: 100% - 150%
- Why it matters: First impressions matter! Simple fixes like fresh landscaping, repainting the front door, or pressure washing the exterior can boost curb appeal and attract more potential buyers.
Hardwood Floor Installation or Refinishing
- Estimated ROI: 70% - 80%
- Why it matters: Hardwood floors are highly desirable and can add a lot of value, particularly in living areas, hallways, and bedrooms. Refinishing old floors can give a home an updated, fresh look.
Fresh Paint (Interior)
- Estimated ROI: 100%+
- Why it matters: A fresh coat of neutral paint in key areas (like living rooms, kitchens, and bedrooms) can make a home feel new and inviting, allowing potential buyers to envision themselves in the space.
Landscaping & Outdoor Living Spaces
- Estimated ROI: 80% - 150%
- Why it matters: Landscaping can add significant value to a home, especially with the addition of outdoor spaces like decks, patios, or fire pits. Buyers love having functional outdoor spaces, especially in a warm climate.
Garage Door Replacement
- Estimated ROI: 90% - 95%
- Why it matters: A new garage door can dramatically improve the curb appeal of your home. It’s a relatively inexpensive upgrade that makes a big impact on the home's first impression.
Entry Door Replacement
- Estimated ROI: 75% - 100%
- Why it matters: The entry door is one of the first things buyers notice. A beautiful, sturdy, and secure door can give a home a more inviting and polished look.
**Statistics Provided By:
- Remodeling Magazine's "Cost vs. Value Report":
This annual report is widely regarded as one of the most trusted sources for understanding which home renovations provide the highest return on investment. It is based on a survey of real estate professionals across the U.S. and compares the cost of specific renovation projects to the amount of value they add to a home when it's sold. The report provides national averages, broken down by region, and offers a comprehensive look at ROI for various home improvements. - National Association of Realtors (NAR) and NAR's Remodeling Impact Report:
The NAR conducts detailed surveys of homeowners, agents, and contractors to track how certain home renovations impact the sale process. Their "Remodeling Impact Report" offers insights into the emotional and financial benefits of specific renovations, with ROI data specific to real estate markets across the country. - HGTV and Other Home Improvement Websites:
Websites like HGTV, Zillow, and other home improvement platforms often publish articles, guides, and reports based on expert opinions and real estate trends, which cite ROI data on common home improvement projects. - Cost of Renovation Studies and Market Research Firms:
Many market research firms, including those focused on the real estate and home improvement sectors, release annual or periodic studies to track the cost and effectiveness of various home improvements. These studies often aggregate data from local contractors, real estate agents, and sellers.