If you’re considering remodeling your home, you’re likely wondering how much return on investment (ROI) you can expect from each project. After all, you want to make sure your money is well-spent and that your home’s value increases accordingly. According to the 2023 Cost vs. Value Report, which compares the average cost of popular remodeling projects with their value at resale, some projects yield a higher ROI than others. Here are some of the top projects based on their percentage of cost recouped.
Blog · March 31 2023
The Cost vs Value of a Remodel: Which Projects Bring the Most Bang for Your Buck?
Midrange Bathroom Remodel | 54.4%
A midrange bathroom remodel can include replacing all fixtures to include a 30x60-inch porcelain-on-steel tub with 4x4-inch ceramic tile surround, a new single-lever temperature and pressure-balanced shower control, a standard toilet, a vanity counter with integral sink, ceramic tile floor, vinyl wallpaper, and more. This project can significantly improve your home’s functionality and aesthetic appeal, making it more attractive to potential buyers down the line. This has a 54.4% ROI.
Minor Kitchen Remodel | 73.2%
A minor kitchen remodel can involve replacing cabinet fronts with new wood panels and drawer fronts, replacing the oven range and slide-in refrigerator with new energy-efficient models, installing a new sink and faucet, adding new resilient flooring, and more. This project can make your kitchen look more modern and efficient, which can add to its appeal and value. This has a 73.2% ROI.
Grand Entrance - Fiberglass | 89.6%
A fiberglass grand entrance can involve removing the existing entry door, cutting and reframing the opening for a new garage entrance door with dual sidelights. This fiberglass door will match the upscale entry, including color and decorative half-glass, with the sidelights matching the door and a PVC-wrapped exterior trim in color to match the existing trim. This is all completed in one day and can make your home more inviting and memorable, which can leave a positive impression on potential buyers. This has an 89.6% ROI.
Siding Replacement - Fiber Cement | 151.3%
A siding replacement can involve replacing 1,250 square feet of existing siding with new-fiber cement siding, including factory trim at all openings and corners. This project can significantly improve your home’s energy efficiency, curb appeal, and value, making it a smart investment in the long run. This has a 151.3% ROI.
HVAC Conversion | 103.4%
An HVAC conversion can involve upgrading your heating and cooling system from a fossil-fuel burning furnace to a more eco-friendly electric heat pump for heating and cooling. This includes the disposal of the existing furnace and existing metal ductwork from the basement, crawlspace, or attic. This project can improve your home’s energy efficiency and lower your utility bills, making it more appealing to buyers who value sustainability and cost savings.
Overall, these projects can add value to your home and enhance its appeal to potential buyers. However, keep in mind that the ROI may vary depending on factors such as your location, the quality of the materials and labor, and the current market conditions.
Looking to remodel your home? Check out our blog post on the Windermere Ready Loan Program to learn about a program that allows Sellers to borrow a portion of the equity in their current home to make improvements prior to selling. These include the remodel projects we just went over and more. Check out our blog post here and reach out to one of our brokers today to schedule an appointment.
Cost Vs. Value Report, ©2023 Zonda Media, a Delaware corporation. Complete data from the 2023 Cost vs. Value Report can be downloaded for free at www.costvsvalue.com