If you are thinking about selling your home, you may be wondering what repairs or improvements you need to make to attract the right buyer. Not all home remodels give you a positive return on investment (ROI) when it comes to selling your home. In fact, the wrong improvements may do the exact opposite. Before you sink money into a home repair, upgrade, or improvement, read on to find out which ones will give you the biggest bang for your buck.
Best Interior Remodels for ROI
According to the National Association of Realtors Remodeling Impact Survey, the interior upgrade that will get you the largest percent of value recovered on a sale is installing new wood flooring. The cost recovery is 106% of the project. The runner up is refinishing an existing wood flooring at 100% of cost recovery. If your flooring is old and outdated, upgrading before you sell may be one way to increase the value of your home.
Considering an entire room upgrade or renovation? Some rooms of your house are much more worth the time, money, and investment than others. According to the survey, the room that gives you the best ROI is actually a basement conversion. However, when it comes to appeal, kitchen upgrades and renovations are still the top recommended rooms to improve with the highest likelihood to help close a sale.
Room Renovation ROI:
- Basement Conversion to Living Area – 64% ROI
- Complete Kitchen Renovation – 59% ROI
- Bathroom Renovation – 57% ROI
- Kitchen Upgrade – 52% ROI
- Master Suite – 50% ROI
- Closet Renovation – 40% ROI
While there are instances in which doing a full renovation may be helpful, it’s important to consider the time and cost involved. It may be wise to pick one aesthetic or improvement that will make a big difference instead of worrying about an entire room of your home. Your Realtor will be able to help guide you through those decisions.
Best Exterior Remodels for ROI
Curb appeal can make or break a home sale. The question is, what part of your home’s exterior should you improve before you put your home on the market? You may not realize it, but your roof is essential to selling your home. It is ranked as both the top appealing feature to buyers and also as the most likely project to help with the value of your home. On average, homeowners see 107% ROI on new roofing and 33% of Realtors say the project helped close a sale.
Top Exterior Project ROI:
- New roofing – 107% ROI
- New garage door – 95% ROI
- New fiber-cement siding – 76% ROI
- New steel front door – 75% ROI
- New fiberglass front door – 74% ROI
- New vinyl windows – 71% ROI
One important repair to always consider is your garage door. A new garage door essentially pays for itself, plus a broken door is likely to be a requested repair by new homeowners. Buyers are also looking for anything that improves energy efficiency, such as new windows and doors. Sometimes, relatively small repairs payoff big in the long run.
Overall Top Remodels for ROI
Now that we’ve looked at remodels, repairs, and renovations for both the interior and exterior of your home, here is a list of the top 8 overall remodels for the best return on investment.
- New roofing 107% ROI
- New hardwood flooring 106% ROI
- Hardwood floor refinish 100% ROI
- New garage door 95% ROI
- HVAC replacement 85% ROI
- Insulation upgrade 83% ROI
- New fiber-cement siding 76% ROI
- New steel front door 75% ROI
Thinking about selling and wondering what buyers are looking for in your neighborhood? Before you spend one penny, send us a message and let’s chat!