How to Get the Best Return (ROI) on Remodeling Projects
If you’re a homeowner, you may feel like the work around your house is never done. Trust me, we’ve all been there. In fact, chances are there are a long list of remodeling projects you would like to tackle at some point.
Unfortunately, most of us don’t have unlimited resources that allow us to get to them all at once. So how do you know which to choose? The projects that are in your eyesight every day? Or do you consider other factors?
Gleaming Granite counters in your New Dunedin Home
While return on your investment (ROI) may not be the biggest factor on your mind when you’re trying to decide which projects should come first, it can be helpful during the decision-making process.
Projects with the Greatest ROI
So which project gets you the most bang for your buck?
That would be attic insulation! It may not be as fun as a bathroom remodel or overhauling your kitchen, but it will recoup 116% of your costs and is the only home renovation that will redeem more than you put into it.
“Why?” you may be wondering. Well if you have any air leaks in your attic, they’re likely affecting your cooling and (during a few weeks in the Florida winter) heating bills. Not only can a fully insulated attic pay off when you’re trying to sell your home, your house may start to use energy more efficiently once the leaks are plugged, resulting in lower electric bills. So while you may enjoy the look of new living room carpet or new countertops, a well-insulated attic will start paying itself off immediately.
Also topping the list for best ROI is manufactured stone veneer, which will give you a 92.9% return on your investment. Since stone veneer has a major impact on curb appeal, this isn’t any real surprise.
Other Worthy Investments? Garage door replacements, which will provide you with a 91.5% return, or steel entry door replacements, which offer a 91.1% return.
Projects with the Lowest ROI
Which projects are you better off avoiding? Composite deck additions, which only offer a 56.2% return, and bathroom additions, which provide only 56.2% return. And if you’re dreaming of that luxury tub, keep in mind that the bathroom remodel didn’t fare much better with 65.7%.
Take a look at the infographic below for a full run down of the ROI for other remodeling projects around the house.
Remodeling Projects
The lesson we should be walking away with? Less is more. Lower cost projects typically provider a greater return than the high priced renovations. For example, you’ll get back only 64.9% of your money from a major kitchen remodel, which you can anticipate costing approximately $60,000, as opposed to 83.1% of a minor kitchen remodel, which should only cost $20,000. In this situation, you’re better off spending less and getting back more of your investment in the long run.
We highly encourage you to start small and take the ROI of your next remodel into consideration before you begin. It could have an impact in where you decide to spend your money!