When evaluating which home renovations increase property value, several factors must be considered. If you own a fixer-upper with both aesthetic and functional issues, a remodel can significantly boost the home’s value. However, an already immaculate home may have reached its highest potential. The information in this article is based on insights from the 2024 Cost vs. Value Report by the Journal of Light Construction, which provides a detailed look at home renovation costs and their return on investment.

The practicality of the renovation also plays a key role in determining its return on investment. For example, replacing outdated siding may attract potential buyers, while installing a new swimming pool may have little impact on their decision. To maximize resale value, aim for home improvements that are practical and universally appealing. Let’s go over the top five smartest home investments for increasing resale value.

  1. Garage Door Replacement

A garage door replacement has the most potential for increasing your home’s value while paying for itself. The cost of the garage door replacement comes out to approximately $4,500 with a resale value of $8,750. With a nationwide average ROI (return on investment) of 193.9%, you can nearly double your money with a new garage door.

While investing in a garage door replacement is a smart choice, it’s important to approach the project thoughtfully. Consult with a local expert to ensure you choose a visually appealing product that complements your home’s style. For example, selecting a modern garage door for a rustic cabin may not resonate with potential buyers and could detract from the home’s overall aesthetic.

   2. Steel Entry Door Replacement

Coming in second for high ROI home improvement projects is a new steel entry door. Replacing your existing entry door with a steel door may cost about $2,350, but it can bring in $4,430 when you sell your home. With an ROI of 188.1%, a steel door replacement may be one of the easiest and most profitable home improvement projects to choose.

Upgrading to a steel entry door provides much more than curb appeal. Home buyers can appreciate higher energy efficiency, greater home safety, and maximum weather protection with a new steel door. This is considered a successful home improvement because it’s a practical investment that any home buyer would make themselves. Capitalize on your investment opportunity by choosing an upgrade that provides both aesthetic and functional benefits.

  3. Manufactured Stone Veneer Siding

Manufactured stone veneer is a home improvement that provides more aesthetic value than practical value. However, this shouldn’t deter homeowners from investing in the home remodeling upgrade. With an ROI of 153.2%, stone veneer costs about $11,300 and returns $18,000.

With a sophisticated, rustic aesthetic, stone veneer can make your home more visually appealing to potential buyers, influencing their decision to view or purchase it. It creates a high-end look without the hefty price tag of natural stone, which can be much more expensive and labor-intensive to install. Stone veneer is also lighter than full natural stone, making it easier to handle and quicker to install, which can result in a faster return on investment.

When choosing a stone veneer, make sure you do your research to see if home buyers in the area would prefer a modern or traditional aesthetic. The great news is that in as little as just a few days, you can raise your home’s resale value by a few thousand dollars by investing in stone veneer siding. This quick and relatively low-cost improvement can provide a significant visual upgrade to your home, making it stand out in the competitive housing market.

  4. Fiberglass Grand Entrance Overhaul

A fiberglass grande entrance upgrade costs about $11,350 with a resale value of $11,050, resulting in an ROI of 97.4%. While this ROI is somewhat lower than what we would typically hope for in a home remodeling project, it’s important to consider the broader picture. Home remodeling is not just about immediate returns—it’s about long-term value and the potential to increase your home’s curb appeal.

Installing a grand fiberglass entrance on your home can look something like replacing your existing wood door with a higher quality fiberglass door, adding glass sidelights, and installing exterior lighting. A beautifully designed fiberglass door brings elegance and charm to your home, boosting curb appeal while creating a welcoming aesthetic that helps your property stand out in any housing market.

  5. Midrange Minor Kitchen Remodel

Not all kitchen remodels provide the same benefits when improving your home. While a full luxury kitchen renovation offers an ROI of 49.5%, a midrange minor kitchen renovation boasts an impressive ROI of 96.1% with costs averaging $27,500 and returns averaging $26,400. A more cost-effective minor kitchen renovation includes the following improvements:

• Refacing the Cabinets: Rather than replacing your cabinets, investing in new veneer cabinet faces can dramatically improve the aesthetic of the kitchen.
• New Cabinet Hardware: Along with the upgraded cabinet faces, have new cabinet hardware installed to make the kitchen look more modern and sophisticated.
• Energy-Efficient Appliances: Replacing an outdated refrigerator and stove with stainless steel, energy-efficient appliances can make your home more desirable.
• Sink and Faucet Upgrade: While there are various options for a luxury sink and faucet upgrade, be mindful that a cost-effective alternative can make your kitchen both beautiful and functional.
• Resilient Flooring Replacement: Your kitchen flooring is a big deal to buyers when selling your home. Upgrade to a durable kitchen flooring material that will last a lifetime for greater home buyer approval.

Many industry professionals believe that the correlation between the cost and return of a kitchen remodel has to do with the level of customization that goes into the project. The more practical and universal the kitchen is, the more appealing it will be when selling the home. On the other hand, a complete luxury new kitchen is not typically something home buyers are willing to pay for.

Evaluating Home Renovations for Maximum Resale Value

When looking to boost your home’s resale value, focusing on aesthetic renovations can provide you with a greater return on investment. If you’re planning to sell, it’s a good idea to start with exterior upgrades. After all, the exterior is the first thing buyers notice, so making a great first impression is key. Take the time to ensure your garage door, entry door, siding, entryway, and kitchen are all in great shape.

These renovations can make a big difference in how your home is perceived by potential buyers. Also, remember that not all home improvements have to immediately increase the resale value of your home. Renovating certain parts of your home’s interior and exterior can draw attention and show buyers that the property was well taken care of, resulting in more interest when you go to sell.

Find a Home Contractor Motivated to Increase Your Home’s Resale Value

When investing in home improvements for higher resale value, it’s important to consider the aesthetic and functional value for future buyers. A home buyer isn’t going to be easily fooled by new paint or a deep cleaning of the home. First impressions are everything when trying to increase interest in your property. To truly stand out, focus on upgrades that offer long-lasting appeal and practical benefits.

Get started on your home renovation right away with a qualified home remodeler near you. Using our professional network of highly skilled remodelers, you can find the right home contractor for the job. Whether you’re searching for assistance with a door replacement or a kitchen renovation, there’s a team standing by to get started on your project with enthusiasm. Don’t wait for the perfect moment to pass you by, take action now to make your home more appealing to potential buyers and ensure a successful sale!