National Home Remodeling Month: 5 Unexpected Renovation Projects with High ROI

May’s National Home Remodeling Month is the perfect time for homeowners to reinvent their residences with a renovation project. A home revamp has many benefits: it can make living quarters more comfortable, decrease clutter, enhance entertaining spaces, and of course, increase the overall value of your home.

Kitchens and bathrooms are obvious choices for most homeowners who want to update their home while also adding value. It’s true – renovating kitchens and bathrooms yields a high return on investment because these two areas are typically what buyers evaluate first when determining whether a home fits their requirements. Kitchens and baths are also the most expensive and labor-intensive areas to update, and buyers are willing to pay more knowing that they won’t have to renovate these spaces after moving in.

But what about unexpected renovation projects that result in a high return on investment?

For National Home Remodeling Month, the team at Renovation Realty evaluated data as compiled in the Remodeling 2015 Cost vs. Value Report to provide homeowners with five unexpected renovations in the national market that are smart investments, add value to the home and put money back in the homeowner’s pocket:

1. Wood deck addition– One of the more obvious choices, especially with San Diego’s unbeatable weather, a wood deck addition yields an 80.5 percent return on investment nationally. Outdoor living space is consistently a huge value addition. As home prices continue to rise, and manicured outdoor space becomes an extension of the home, offering additional area for living and entertaining without having to add actual square footage. The spaces are enticing to buyers who want more room without having to purchase a larger house.

2. Vinyl siding replacement– Improving the exterior of the home is always a smart move because it adds to curb appeal for people viewing it for the first time. In order to sell your home, you need to get people inside, and the view from the street is the start in every buyer’s search for the perfect home. Vinyl siding has an 80.7 percent return on investment. It’s easy to install, cheaper than other alternatives like aluminum and wood and requires little maintenance. Replacing the siding offers a number of benefits, with aesthetic appeal topping the list for prospective buyers. 

3. Steel entry door replacement– Another cosmetic change, the front door is typically one of the first things a buyer sees from the street. A steel entry door replacement, which yields an average of 101.8 percent return, is an easy and inexpensive way to spruce up the entry and tempt buyers to tour inside.

4. Garage door replacement– Similar to changing the entry door, a garage door replacement is a quicker fix to enhance the visual appeal of the exterior and will allure buyers inside. Garage doors are customizable, allowing you to tailor the look to your taste while you continue living in the home and also adding value for when you decide to sell. Recouping a 88 percent return on investment in the national market, replacing an old garage door with a more modern garage door will lessen the need for future maintenance, and help increase insulation and security, all of which are important traits that buyers look for during their search.

5. Basement remodel– With home prices increasing throughout the country, any usable space is a welcome feature for buyers. Typically, basement space is not included in square footage records, but serves as highly valuable extra space for people on the hunt for their new home (and has a 72.8 percent return on investment!) A basement remodel is a smart investment because prospective buyers will view it as a bonus space that can be transformed to function as whatever they need at that time – office, game room, kids play area, man cave – you name it.

Take on one of these less traditional renovation projects for National Home Remodeling Month, and you’re sure to add significant value, revamp the aesthetic appeal and boost future sales price.