Investing in home improvements can increase the value of your property significantly. Here are the top five home improvements that tend to hold or add value:
1. Kitchen Remodel: The kitchen is often seen as the heart of the home. Upgrading
appliances, countertops, cabinets, and fixtures can greatly enhance the aesthetic appeal and functionality. A minor kitchen remodel can yield a high ROI (return on investment), often recouping 70-80% of the cost.
2. Bathroom Renovation: Updating bathrooms, particularly the master and guest baths, can significantly boost your home's value. Improvements might include new tile, fixtures, vanities, and energy-efficient toilets. A mid-range bathroom remodel often sees a 60-70% ROI.
3. Curb Appeal Enhancements: First impressions count! Improvements like landscaping, exterior painting, new siding, or a new front door can enhance curb appeal. Simple changes, such as adding flower beds or improving outdoor lighting, can yield substantial returns, in a range of 85-130%.
4. Energy-Efficient Upgrades: Installing energy-efficient windows, HVAC systems, or insulation can attract eco-conscious buyers and reduce utility costs for homeowners. These upgrades can sometimes offer a payoff that exceeds the installation cost, often increasing the home’s desirability.
5. Outdoor Living Spaces: Adding a deck, patio, or outdoor kitchen can extend your living space and is especially attractive in warmer climates. Features like fire pits, landscaping, and outdoor lighting can also enhance the value significantly, with some studies suggesting that a well-executed deck addition can recoup around 70-80% of its cost.
When considering home improvements, it’s wise to research local trends and consult with a real estate professional to understand what buyers in your market prioritize.
About the Author: Michael Kurowski is with Jameson Sotheby’s (Barrington). Learn more at linktr.ee/kurowski.properties or call 847.804.7350. Please note that ROI projections are derived from the “2024 Cost vs. Value Report” by Zonda Media.
Choose wisely: Improvements that enhance a home's curb appeal typically pay back with the highest return on investment.