Are you a homeowner who is looking to increase the value of your home? You may be wondering which home improvement projects are worth the investment. Well, according to market data from the National Association of Realtors (NAR), we’ve compiled a list of the top 20 home improvement projects that can provide a significant return on investment.
From kitchen and bathroom renovations to adding a deck or energy-efficient windows, we’ll take a closer look at the pros and cons of each project, as well as the average resale value percentage increase and the average resale increase a homeowner could see if the project is done.
Remember, these projects may not be suitable for everyone, so it’s essential to do your research and prioritize based on your personal preferences and budget. Let’s dive into the top 20 home improvement projects that can increase your home’s resale value.
Kitchen Renovation
Pros: A kitchen renovation can significantly improve the functionality and appearance of your home. A modern, well-equipped kitchen is a major selling point for many homebuyers.
Cons: Kitchen renovations can be expensive and time-consuming, with an average cost of around $60,000.
Average Resale Value % Increase: 75%
Average Resale Increase: $45,000
Bathroom Renovation
Pros: A bathroom renovation can also significantly improve the functionality and appearance of your home. Upgrading fixtures, adding storage, and improving lighting can make a big difference.
Cons: Bathroom renovations can be expensive and time-consuming, with an average cost of around $20,000.
Average Resale Value % Increase: 65%
Average Resale Increase: $13,000
Adding a Deck
Pros: A deck can increase your outdoor living space, providing a great place for entertaining and relaxing.
Cons: Decks can be expensive to build and require regular maintenance to keep them looking their best.
Average Resale Value % Increase: 65%
Average Resale Increase: $10,000
Adding Energy-Efficient Windows
Pros: Energy-efficient windows can help reduce energy costs, making your home more attractive to potential buyers.
Cons: Installing new windows can be expensive, with an average cost of around $10,000.
Average Resale Value % Increase: 60%
Average Resale Increase: $8,500
Basement Remodel
Pros: A finished basement can add valuable living space to your home, providing extra bedrooms, a home office, or a media room.
Cons: Remodeling a basement can be expensive and may require extensive plumbing and electrical work.
Average Resale Value % Increase: 60%
Average Resale Increase: $40,000
Adding a Second Bathroom
Pros: Adding a second bathroom can make your home more functional and attractive to potential buyers.
Cons: Adding a bathroom can be expensive, with an average cost of around $25,000.
Average Resale Value % Increase: 55%
Average Resale Increase: $13,000
Adding Curb Appeal
Pros: Improving your home’s curb appeal can make a big difference in how potential buyers perceive your home.
Cons: Landscaping and other improvements can be expensive and require ongoing maintenance.
Average Resale Value % Increase: 50%
Average Resale Increase: $7,500
Attic Conversion
Pros: Converting your attic into livable space can add valuable square footage to your home.
Cons: Attic conversions can be expensive and may require significant structural work.
Average Resale Value % Increase: 50%
Average Resale Increase: $35,000
Adding a Fireplace
Pros: A fireplace can add warmth and charm to your home, making it more attractive to potential buyers.
Cons: Adding a fireplace can be expensive, with an average cost of around $5,000.
Average Resale Value % Increase: 50%
Average Resale Increase: $5,000
Garage Door Replacement
Pros: Replacing your garage door can improve the appearance and functionality of your home, making it more attractive to potential buyers.
Cons: Garage door replacement can be expensive, with an average cost of around $3,500.
Average Resale Value % Increase: 50%
Average Resale Increase
Adding a Home Office
Pros: Adding a dedicated home office can be a major selling point for buyers looking for work-from-home options.
Cons: Adding a home office can be expensive, with an average cost of around $15,000.
Average Resale Value % Increase: 48%
Average Resale Increase: $10,000
Adding a Master Suite
Pros: Adding a master suite can significantly increase your home’s functionality and appeal, providing more space and luxury for homeowners.
Cons: Adding a master suite can be expensive, with an average cost of around $125,000.
Average Resale Value % Increase: 47%
Average Resale Increase: $50,000
Upgrading HVAC System
Pros: Upgrading your HVAC system can improve energy efficiency and reduce utility bills, making your home more attractive to potential buyers.
Cons: HVAC upgrades can be expensive, with an average cost of around $8,000.
Average Resale Value % Increase: 45%
Average Resale Increase: $10,000
Exterior Painting
Pros: A fresh coat of exterior paint can improve your home’s curb appeal and protect it from the elements.
Cons: Exterior painting can be time-consuming and expensive, with an average cost of around $3,000.
Average Resale Value % Increase: 44%
Average Resale Increase: $5,500
Landscaping
Pros: A well-landscaped yard can significantly improve your home’s curb appeal and make it more attractive to buyers.
Cons: Landscaping can be expensive and require ongoing maintenance.
Average Resale Value % Increase: 42%
Average Resale Increase: $7,500
Adding a Patio
Pros: Adding a patio can increase your outdoor living space and provide a great place for entertaining and relaxing.
Cons: Patios can be expensive to build and require regular maintenance to keep them looking their best.
Average Resale Value % Increase: 40%
Average Resale Increase: $6,500
Upgrading the Front Door
Pros: Upgrading your front door can significantly improve your home’s curb appeal and make a great first impression on potential buyers.
Cons: Front door upgrades can be expensive, with an average cost of around $2,500.
Average Resale Value % Increase: 35%
Average Resale Increase: $4,000
Basement Waterproofing
Pros: Waterproofing your basement can protect your home from water damage and make it more attractive to buyers.
Cons: Basement waterproofing can be expensive, with an average cost of around $5,000.
Average Resale Value % Increase: 30%
Average Resale Increase: $15,000
Adding Solar Panels
Pros: Adding solar panels can significantly reduce energy costs and make your home more attractive to buyers interested in sustainable living.
Cons: Solar panel installation can be expensive, with an average cost of around $30,000.
Average Resale Value % Increase: 25%
Average Resale Increase: $15,000
Updating the Fireplace
Pros: Updating your fireplace can improve the appearance and functionality of your home, making it more attractive to potential buyers.
Cons: Fireplace updates can be expensive, with an average cost of around $4,000.
Average Resale Value % Increase: 20%
Average Resale Increase: $3,000
In conclusion, making strategic home improvements can significantly increase your home’s value and appeal to potential buyers. Based on market data and the analysis by the National Association of Realtors (NAR), we have outlined the top 20 home improvement projects that can provide a high return on investment. However, it’s important to note that the costs and benefits of each project may vary based on your location, the size and age of your home, and the current real estate market conditions. We recommend consulting with a professional real estate agent and a licensed contractor to determine which improvements will be most beneficial for your specific situation. With proper planning and budgeting, you can create a beautiful and functional home that will not only meet your family’s needs but also increase your home’s value and attract potential buyers.