Home Renovations with the Best Return on Investment

Home renovations can be expensive, which is why homeowners want to know that their money is well spent. Some upgrades can cost a pretty penny, but they won’t add value to your home. On the other hand, there are some minor renovations that can increase the price of your house. Before you grab the sledgehammer and start knocking down the walls, it is helpful to know what kind of return on investment (ROI) you can expect. In other words, which projects will add to your home’s value and boost the asking price once you decide to put it back on the market. When it comes to cost vs. value, here are the top renovation projects that offer the highest ROI.

Opt for an electric pump

Not all projects with the best ROI are glamorous. In fact, the number one on this list couldn’t be further from it. However, this is a very trendy upgrade since nowadays the interest in energy-efficient HVAC systems has skyrocketed. Instead of using an old, fossil-burning furnace opt for a HVAC conversion and install a HVAC system with an electric heat pump. These new lines and units can be a pricey investment, but your ROI will be over 100 percent. 

Invest in insulation

Projects that will reduce your energy costs are always a smart investment, and adding insulation is one of them. Roof insulation is particularly recommended since the attic is the area of your home most susceptible to heat transfer. An insulated attic can not only help maintain comfortable temperatures throughout your home but can lower energy bills. Moreover, this project can provide one of the highest ROI opportunities. 

Replace your old garage door

Getting a new garage door will definitely pay off in the long run, since you can get back more money once you sell your home than you have spent on this renovation. However, be sure to invest in a high-quality door, with heavy-duty galvanised steel tracks and a motorised door opener. A new door will not only make your life easier but will boost your home’s curb appeal.

Add stone to the siding

Stone is timeless, and will instantly make your home look more classy, glamorous, and expensive. Therefore, rip off that vinyl siding and cover your home with stone veneer. If this project costs too much, consider placing the stone on just a part of your home. Stone veneer on your entryway can boost the curb appeal and add coins to your pocket once you decide to put your home on the market.

Replace your entry door

Speaking of door replacement, replacing your front door with a new one (especially a steel one) is a project with a very high ROI. Steel doors will not only enhance curb appeal, but they are also very energy efficient, so they will reduce drafts and help save on electric bills.

Invest in a minor kitchen remodel

One of the first things buyers want to see in a home is the kitchen. A new, modern kitchen is always a strong selling point, so consider investing in this area of your house. However, if you are expecting a high ROI, keep your project modest. Tearing down the entire kitchen and building it from the floor up again will cost a fortune, and won’t pay off in the long run. Therefore, instead of changing the layout of the room or buying new cabinets, go small. Opt for new countertops, replace cabinet doors with shaker-style panels, or get new, energy-efficient appliances. 

Window replacement

Replacing your old, drafty windows with new ones is always a wise investment. Here you have a couple of options – you can opt for vinyl windows or wooden ones. Keep in mind that those made of vinyl have a higher ROI, which is not a surprise since those made of wood cost much more. 

Bathroom remodel

Just like with the kitchen, go small. With large-scale bathroom renovations, you can expect your ROI to drop by several percentage points. Therefore, do not change the layout or use lux materials, and instead simply modernise the fixtures.

Investing in a home remodel project is much easier knowing that your money is well spent and that it will boost your home’s value.