
Top Remodeling Projects That Give You The Most Bang For Your Buck
Ever wonder what remodeling projects will add the most value to your house? The 2025 Remodeling Impact Report provided by National Association of the Remodeling Industry (NARI) just came out and here are the top remodeling projects that will give you the best return on your money and add the most value to your home.
In 2024, Americans spent about $603 billion in remodeling their homes. That is a lot of projects! That means as a homeowner, it most likely means that you are planning or may have already done some remodeling in your home. Many homeowners decide to remodel to upgrade worn-out surfaces and materials, to improve energy efficiency, to add features and improve livability, or just to change something they don’t like.
Most homeowners (54%) paid for the projects using a home equity loan or line of credit. The rest tapped into their savings (29%), some used a credit card (10%), and the rest used another type of loan, or gift, or financed through a remodeler/store.
Most homeowners, 29%, hired a professional, 24% hired the labor but purchased the materials themselves and 24% did the work themselves. The rest did a mixture of hiring some labor and doing some of the projects themselves.
Here are the top remodeling projects with their estimated return on investment. According to this report the return on investment is an estimate of the likely dollar value each project would add to the house at resale.
Remodeling Projects With The Highest Return On Investment
- New Steel Front Door – 100%
Yup! Adding a new steel front door will return your investment 100%. The money you spend on the door you will get back in the resale. It goes to show how important curb appeal is to a home. And by using a steel door it will make your home more secure. - Closet Renovation – 83%
This is something I don’t hear too much about when working with buyers. But when I do show a home with a closet that is renovated, the buyers like that very much. This is a great project that can be done on a weekend that will add lots of storage in any sized closet, and will give you back 83% on the resale. - New Fiberglass Front Door – 80%
Again, a good strong front door will help make the home more secure, not as secure as a steel door, but a fiberglass door is durable and low maintenance. Also, a new door will add curb appeal to any home. And a fiberglass door will give you back 80% of the resale value. - New Vinyl Windows – 74%
Vinyl windows are low-maintenance and attractive. New windows look good in any home. In addition, a good quality vinyl window will also help you with energy costs. You won’t feel a draft on those windy days and will keep the heat in the house during the winter. With vinyl windows you will make 74% of the cost on resale value and if they are double glazed, they will add about 2% to the property value. - New Wood Windows – 71%
Wood windows are slightly more energy efficient than vinyl windows but more expensive. They also last longer and are slightly more attractive to buyers than vinyl windows. With wood windows you get 71% of the cost at resale. Additionally, double glazed windows add about 2% to the property value. - Basement Conversion to Living Area – 71%
This is a very popular remodeling project. Finished basements make great offices, kids playroom, game room, “man cave”, spare bedroom – there are many uses! You make back 71% of the cost in a resale. It also adds 2% to your property value. However, keep in mind that you will be adding additional living square footage to your home which will raise your property taxes. - Attic Conversion to Living Area – 67%
Attic can make great bedroom(s). This is very popular with homeowners that have growing families. Also, it is popular as an office or kids playroom. With an attic conversion, you will make back 67% of the cost in a resale. Also, keep in mind, as in a basement conversion, you are adding livable square footage to your home which will slightly increase your property taxes. - Complete Kitchen Renovation – 60%
Okay, I think this is the most popular renovation. It is the one that is mostly discussed when I am showing houses to buyers. This is the one that you see a lot on HGTV and other renovation tv shows. With a major kitchen renovation, you will make back 60% of the costs in a resale. This renovation is very attractive to buyers. As a homeowner you will have many options and can truly make your kitchen renovation with your own creative style. - Minor Kitchen Upgrade – 60%
This renovation is what I highly recommend to sellers that have lived in their home for awhile and have not made any updates. A kitchen “refresh” typically includes painting or refinishing existing kitchen cabinets, changing the hardware, adding a new backsplash and countertop, painting and new lighting. These items can be done by the homeowner and on a small budget. It can make a world of difference. With this type of renovation, you make back 60% of the costs in a resale.
- Add New Bathroom – 56%
This is a common renovation done by homeowners, especially in older homes that do not have a bathroom on a 2nd floor or basement. With this renovation you will make back 56% of the costs in a resale. Also, by adding a full bath the value of the home will increase by about 2% of the value of your home. And note that adding a bathroom will slightly increase your property taxes. - New Master Bedroom (or Primary Suite) – 54%
You can never go wrong by adding a master bedroom (primary suite) in your home. I see this typically done in older homes. This can be done by changing the existing layout in the home or making a new addition. I’ve seen this done for elderly parents, giving them some privacy, yet still being close to family. With this renovation 54% of the costs will be made back in a resale. Keep in mind, if you construct an addition to your existing home, then additional property taxes will be assessed. - Bathroom Renovation – 50%
This is one of the easiest renovations that a homeowner can do. With so many options out there, you can do a lot on a small budget yet have a big impact. Changing the bath fixtures, hardware, vanities, mirrors, backsplash, flooring, light fixtures and painting will do wonders to any bathroom. With this renovation, you will make back 50% of the costs in a resale.
There you have it! These are the top renovations that are currently being made by homeowners today. You may already have done one or more of them or are thinking of doing some of them. At least now you have a better understanding of which ones will bring you the most bang for your buck. If you are thinking of doing any of them and need contractor recommendation, reach out to me at ccr@ccrsellsrealestate.com.
Also, if you know of anyone that is thinking of selling and want to know which remodeling projects to tackle in the near future, feel free to forward this article to them.
As always, I am your go to resource for all things real estate! 😊
Hi, there!
I'm Carmen and I love helping first time home buyers, including Spanish speakers, buyer their first home. I also love helping sellers looking to move up or downsize to their next home. Let me know how I can help you make your real estate goals come true.
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