Which home improvement projects offer the best return on investment (ROI) when you’re planning to sell? Let's dive into the data from the 2024 Remodeling Cost vs. Value Report* to find out.

The ROI Champions:

Here are some of the projects that give you the best return on your investment.

• Garage Door Replacement:

• In the 2024 report, garage door replacement showed a very high return on investment. This is likely due to the relatively low cost of the project and its significant impact on curb appeal.

• Entry Door Replacement:

• Replacing an entry door with a steel model is another high-ROI project. Don’t have the budget for a whole new door? Even fresh paint is well worth the investment, especially if it’s black or red.

• Improvements to Siding:

  • Making a low cost cosmetic improvement to the exterior of your home is universally a good investment. Think: power washing, replacement of worn areas of siding, or painting exterior trim.

The ROI Challengers:

Conversely, some renovation projects might not be worth doing. Here are a few to maybe avoid:

• Bathroom Additions:

• While adding a bathroom can enhance convenience, the high cost of plumbing, electrical work, and materials (especially tile) can eat into the potential return. According to the report, bathroom additions, especially upscale ones, have an ROI of less than 38%. 

• Major Kitchen Remodels (Upscale):

• This one surprises people. While an upscale kitchen is a big selling point in real estate, it may not be the most financially sound investment. The high cost of premium appliances, custom cabinetry, high-end finishes, plumbing, and electrical typically only brings about half of its value in resale.

• Primary Suite Additions:

• This project comes in at the bottom of the list at 30% ROI. One would think an additional bedroom, especially a suite, would be a big selling point, and it can be. But don’t expect it to pay for itself at resale.

Small Projects, Big Impact:

• Floors: Home buyers respond well to floors that are continuous material throughout, and are in good repair. At the very minimum, floors should be sparkling clean for a home sale.

• Interior Paint: Walls that are odd colors or are in disrepair, ceiling stains, and dated stained wood trim are value-killers in a home sale. Painting all of these can deliver a 200% ROI.

• Landscaping: To impress a buyer, trim your hedges, weed, edge and mulch garden beds, and keep your lawn mowed. Our team has seen investments in lawn care deliver a 4x return!

One thing our clients really appreciate about The Cape House Properties is that our remodeling team can do these pre-sale home improvement projects, and in many cases carry the costs for you until closing! This keeps more money in your pocket and almost guarantees a higher selling price. By understanding the ROI of different renovation projects, Cape Cod homeowners can make informed decisions that maximize their property's value.

*©2024 Zonda Media, a Delaware corporation. Complete data from the 2024 Cost vs. Value Report can be downloaded free at www.costvsvalue.com.

Katie Clancy, Sales Vice President at William Raveis RE, leaads the top-producing Cape House real estate team on Cape Cod, MA