Home Improvement Return on Investments

Many people consider home improvement projects aimed at improving their enjoyment of the home. However, some people do so with an eye toward the eventual reselling of the home in mind.

If this is the case, it’s important to explore which home improvements offer a better return on investment. These are some worth considering, according to This Old House, for a positive improvement in resale value one year later.

Minor Kitchen Remodel
Spending $15,000 or less on a kitchen remodel can yield up to an 87 percent return on investment within one year while a major renovation, costing up to $40,000 delivers only an 80 percent ROI by comparison. Surprisingly enough, This Old House indicates that the addition of a home office offers one of the poorest ROIs at only 54 percent after one year.

Garage Door Replacement
Bankrate reports that a garage door replacement is another popular home improvement for offering an impressive ROI. This one exceeds all others mentioned so far with 98.3 percent of the costs recovered. Not only does it provide important curb appeal, but it also offers an opportunity to make your home even more energy efficient and your garage a safer place. Especially if you take the opportunity to install a garage exhaust fan while replacing your garage door.

Whole House Fan
Of course, not all investments in your home are things you can see. At least not without looking really hard for them. One such investment is the whole house fan. This is one investment that can be fully recouped within one to three years. Why is this so impressive? A whole house fan is an investment that helps pay for itself by offering greatly reduced utility rates. Of all the “green” investments you can make in your home, this one offers the greatest ROI, beating out the following:

— Solar, which takes 10 – 15 years to pay for itself.
— Low – E windows, which take 20 or more years to pay for themselves.
— High R-value insulation, which takes up to 15 years to pay for itself.
— Energy efficient air conditioning, which can take 10 to 15 years to pay for itself.


Other High Return Additions and Renovations
These include:

— Bathroom additions at 81 percent.
— Two-story addition at 83 percent.
— Family room addition at 78 percent.
— A deck at 75 percent.

Other additions in the lower 70’s include attic bedroom additions and master suite renovations or add-ons.

As you consider home renovation projects, weigh all the pros and cons and choose the one that offers you the greatest ROI and personal satisfaction alike.