Ready to Demo? Make Sure You Know What the Home Renovation ROI Will Be.
CNBC recently put out an article about the top 10 home renovation ROI (return on investment). When deciding to take on a renovation, some homeowners’ mindsets are all about doing it because they love their home, could never see themselves moving and just want to make it better. Other homeowners know this probably isn’t their forever home, and they want to be wise about their home improvement projects. If you fall into the second category, let’s take a deeper dive into this list.
When considering which home renovation to tackle for the sake of getting your money back and then some, you usually hear that kitchens and bathrooms get the most bang for your buck. Not according to this list!
Did you even know this was a thing? According to HVAC specialist Trane, “HVAC electrification is a quieter, more-efficient, and more powerful method in heating and cooling your home. One system for heating and cooling that uses existing heat, instead of generating its own heat, results in less waste and more energy efficiency.”
Not only are you upgrading your traditional furnace system, you’re saving utility costs down the road for and for your new homeowner when you’re ready to sell your house.
Garage Door Replacement
Unless completely dented or unable to operate because of the door or lift system, this is one of those home renovation projects that people will put off for a long time. Even though most people love a nice looking garage door, and definitely need one that works! So according to this top 10 home renovation ROI list, buyers value this upgrade more than you probably knew.
Replace House Siding with Stone Veneer
For many of you who have siding, this upgrade may have been nowhere on your radar. But depending on what kind of climate you live in, this is a renovation to really consider. Siding, mostly made of vinyl these days, can get hail damage, fly off due to high winds, fade in color and more.
According to Sherwood Lumber, “Structurally stable materials like stone veneers can last for over 50 years without you having to make any replacements. This is twice the durability of vinyl sidings which are not too good at resisting damages.” Plus, it just looks classier! It sounds like you won’t regret investing in this option.
Entry Door Replacement
This renovation decision seems so personal. And it’s literally part of the first impression a person sees when coming into your home. So how can it be that one person’s taste in a new front door will help the house sell so well?
This top 10 list is specifically referencing a change to a steel door. Steel doors are actually affordable, they’re much more secure than a fiberglass door, and, “while metal is known to transfer both heat and cold, the insulating core of today’s steel doors puts them on a near-equal footing to fiberglass when it comes to insulation value.” (Thank you, Bob Vila.) So knowing it can increase your home value, and you’ll get your money back on it, this is one to consider for your new home improvement project.
Midrange Basic Kitchen Remodel
Let’s jump down to number seven on the list and talk about everyone’s favorite, a kitchen remodel. This is referring to refacing the cabinets, upgrading countertops, floor, fixtures and appliances.
Depending on the age of the home and the condition of the kitchen, we believe the ROI for this could be higher than 86%. However, this is where it can get tricky. Because everyone has tastes and if it’s a champagne kitchen in a beer house or it’s just too personalized or unique, that ROI could drop quickly.
Vinyl Window Replacement
This is the last of the top 10 home renovation ROI we’ll be discussing, but we have to say, this ROI surprised us a bit. Sadly, it should be higher! Maybe it’s the fact so many older homes have replaced their windows, so it’s to be expected. Either way, we have to remember this is still an attractive renovation for buyers. They know it will create energy efficiencies for their home and help keep their utility bills down.
If you’re wanting to do home renovations because you think it’s necessary to sell your home, please talk to your realtor before doing so! In a seller’s market, few renovations, if any, are necessary. However, if you’re wanting to just enjoy your house more, reno away – just maybe keep this list in mind.