Putting money out for a home renovation can be a challenging decision, especially when you don’t have a clear idea of how much value it will add to your home in the long run. Some of that uncertainty can be attributed to the labor or material costs, while the most pressing challenges are rooted in renovations or remodeling projects that do not offer a higher return rate on your investment.
With the costs of most goods rising every year, it would be wise to choose projects that can deliver the highest return on your investment in the form of a higher home value. To give you more insight, here are seven of the best remodeling projects that bring you the most ROI.
Garage Door Replacement
Garage door replacement is, across the country, one of the safest remodeling projects that you can undertake. The average ROI on a garage door replacement is 93.3% for an average investment of $4,041. As a result, many defer to garage remodeling as their first choice, especially when on a tight budget.
In addition, when getting a new garage door, it is imperative to ensure that you are not compromising on quality. Make sure to get a door with a lifetime warranty and for the materials to be long-lasting. For example, aim for galvanized steel for the door tracks and one of the multi-layered four square designs for the door itself. A way to save some cash could be to retain the motor from your previous garage door unless it has degraded over the years.
Manufactured Stone Veneer
Many homeowners find manufactured stone veneer attractive due to conventional reasons. On top of being stylistically appealing, it helps maintain heat in winter, cools the home in summer, and is one of the most sturdy of all building materials. Besides that, it also offers one of the best returns on investment out of all remodeling projects.
The current ROI for manufactured stone veneer is 91.4%, which is quite high given the cost that goes into labor and materials. To make that more concrete, the average cost of this renovation is $11,066, out of which you are able to recoup roughly $10,109 post-sale.
It’s worth noting that when installing stone veneers, you will get the best results from dedicated professionals. If not installed properly, moisture can get trapped behind the walls or the walls can even fall apart if not properly caulked and sealed. A professional team will help you avoid this, so when installing a manufactured stone veneer, it’s wise not to cut any corners.
Minor Kitchen Remodel-Midrange
A kitchen remodel offers many opportunities for you to recoup your investment if the current cabinetry has good bones. At 71.2%, the return on investment in most cases is fairly reasonable, given the influence it can have on potential buyers. You can leave the cabinet sections and drawers as it is and replace only the fronts with shaker-style panels. You can also install new hardware to make sure everything looks and feels squeaky clean.
The most pressing components of a kitchen are the cooktop/oven and refrigerator. By replacing these with the latest models, your chances of securing a high bid are increased drastically. To accentuate the aesthetics of your kitchen, replace the countertops and install a mid-tier sink and faucet. For the final touch, repaint the walls, trim, and ceiling, so every element of your kitchen resonates well with the viewer.
Sliding Replacement-Vinyl and Fiber Cement
Redoing your siding is one of the guaranteed remodels that can help you attract potential buyers, so long as your house has sidings. Sidings can be one of the more tricky remodels to work on, because, in the last 50 or so years, many types of siding have been developed, some better than others.
When landing on the right choice of siding replacement, look at the financial costs but also the localized costs in your community. Even though nationally, the siding with the best ROI is Fiber-Cement siding, other types of siding may offer a better ROI for your local community. However, the ROI on Fiber Cement is 68.3%, which is the best out of most materials. Slightly higher than vinyl siding which is sitting at 67.2%.
Replacing windows serves as a great chance to add some extra value to your home but also to staunch out-of-control electric and heating bills. One of the common ways people lose money on their heating and electricity is when old windows leak out air conditioning and heat.
The standard choice for window replacement, wood, and vinyl are within 1% when it comes to their rate of return on investment. Vinyl is slightly higher at 67.5%, while wood sits at 66.3%. Since both replacement options are so close in terms of ROI, you can make your choice based on what works for your budget and fits the style of your home.
Adding a deck to the property creates a focal point for the property but is also one of the best ways to add value to it. The ROI for adding a deck to your property is 64.8% if you use a wood deck, with a composite deck being only slightly less economically friendly with 62.1% However, once again, it is important to consider the overall style of your home and which would be more visually appealing to any future buyers.
When getting a roof replacement, many experts recommend that you go with asphalt shingles over the relatively more modern metal roofing. Asphalt shingles last as long as metal roofing in most cases.
In addition, the average cost for a metal roof is nearly double that of an asphalt roof, with a metal roof averaging about $51,436 compared to the $31,535 for an asphalt roof. All things considered, there are other factors that can sway your decision, such as initial costs, duration of the remodel, and extensive labor costs, so be mindful of those.