You are a real property investor, and you know it is important to choose home remodelling carefully. You will not have the funds to pay for the next upgrade if you spend money on one. It is important to choose the best projects to maximize your return on investment. This is true regardless of whether you are in the house flipping business or looking to improve an income property for sale.
Here are 10 home renovation projects that will give you an idea of where to invest your renovation money.
Garage door replacement
A new garage door can improve the appearance and functionality of a home. Garage doors can be replaced at an average cost of $3,907. You can expect an increase in value of $3,663 when you sell your home. You’ll get 94% back on your investment.
Manufactured Stone Veneer
Ask any real estate agent, and curb appeal can be the key to securing top dollar for your property. It’s why it’s a smart idea to invest in manufactured stone veneer (fake natural stone). Installing manufactured stone veneer costs an average of $10,386, with an additional $9,571 in resale. This means that you will recoup 92%.
Minor kitchen remodel
A kitchen is a great selling point for a home. Consider a minor remodel instead of spending a lot on an expensive upgrade. You can add $18,927 to your property’s resale value at an average cost of $26,214 — 72% more than your original cost.
Fibre cement siding replacement
Fibre cement has the appearance of wood but without the need for extensive maintenance. It is not wood and won’t rot, warp or crack over time. Fibre cement siding costs an average of $19,626. You can expect to increase your home’s value by $13,618. This means that you will be able to recover 69% of your investment.
Vinyl window replacement
Your home’s windows will not only improve its aesthetic appeal. You may also be able to get better insulation. This could be a selling point. Vinyl windows can be replaced at an average cost of $19,385, which should increase resale values by $13,297. This is 69% of the investment.
Vinyl siding replacement
Vinyl siding can be durable and is easy to maintain. It’s popular for homes that live in extreme climates. Vinyl siding replacement costs an average of $16,576. You can expect to increase your resale value by $11,315, which will allow you to recover 68% of your costs.
Wooden window replacement
Wood windows can add a timeless look to any home. They are expensive at $23,219 per house. However, they will increase your home’s value by $15,644 and help you recover 67% of the cost.
Wood deck addition
Outdoor living is a key factor for many potential homebuyers. Adding a deck to your property can increase the amount of outdoor living space you have. Wood is more affordable than composite. A wood deck costs, on average, $16,766. You can expect an increase in your home’s resale price of $11,038. You’ll be able to recoup 66%.
Steel entry door replacement
A steel door can be more than a security feature. A steel door can provide excellent insulation and is a smart investment for homes subject to extreme weather. A steel door costs $2,082 on average. This should increase your home’s resale value by $1,353. That is 65% more than what you paid.
Composite deck addition
Because it is easier to maintain, composite decking is preferred by many homebuyers over wood. A composite deck costs on average $22,426, which could increase your home’s resale price by $14,169. This means that you will recoup 63% of what you spent.
Make sure your investments are worth it.
It pays to invest money in projects that increase your home’s resale price. These figures are only averages. In some real-estate markets, certain upgrades might be more valuable than others. To determine which renovations will be most profitable for you, it is worth speaking with a local agent.