With the popularity of HGTV and the DiY network on cable television many people have decided to renovate their homes. What many people don’t realize is that not all renovations are created equal when it comes to return on your dollar. Some renovations will bring you almost 100% of the cost of the renovation in increased home value while others return just a fraction. Knowing which renovations have the biggest positive impact on your home’s value can help guide you to which upgrades to your home you should consider. There are six renovations that will return almost 80 % or more in added home value.
Replacing your siding has the biggest impact on resale value. Homeowners that replace their siding with fiber-cement siding recoup 88 % of their investment and those who use vinyl siding replacement see an 83 % return.
Adding a deck to your home is another great investment. A wood deck will typically return 85 % of your investment and a deck made from composite material (which costs more) can expect to see 78 % of the cost added to their home value.
Benefits of Kitchen Renovations
Kitchen renovations are a popular project and many homeowners opt to totally redo their kitchen as a renovation project. However, that complete gut job won’t bring you the biggest return on your investment. Doing a minor renovation has a greater return on investment. Minor renovations include replacing countertops, repainting and installing new pulls for cabinets and drawers.
Installing energy-efficient windows is another way to get a high return on your investment. With people more concerned than ever about the costs of heating and cooling their homes, having energy-efficient windows will not only lower your monthly bill, but help your home standout should you be looking to sell it. New energy-efficient windows will add 80 % of their cost to the value of your home.
A minor upgrade to your bathroom will also add value to your home. A minor upgrade would be painting, installing new fixtures or even just cleaning and maintaining your bathroom. A minor bathroom remodel brings back 78 % of cost in added value to your home.
Something that seems small, but has a significant positive effect is installing crown molding. Crown molding is relative inexpensive to buy and install, but has a big impact. People almost always notice crown molding in a room and it gives rooms a high-end look. Someone who installs crown molding on their own can do it for around $100. Paying someone to install it for you will raise the price slightly.