Before embarking on a remodeling project, whether large or small, most homeowners ponder not just their design preferences and lifestyle needs, but whether the renovation will add value to their home. Today’s Homeowner with Danny Lipford sought to bring clarity to the question with a recent study that looked into the return on investment of common remodeling projects. The data show that, resoundingly, exterior remodeling and renovation projects deliver the largest return, with garage doors leading the way.
Industry experts continue to tout the strength of the remodeling market, as homeowners elect to renovate their existing houses rather than navigate high interest rates and low inventory for new homes. “With Americans spending more time at home than ever, the total amount spent on renovations and upgrades soared by nearly 27% between 2020 and 2022,” Today’s Homeowner said.
But with material and labor costs also high, understanding which projects provide the most value is more important than ever.
The study examined data from 70,000 homes in more than 1,200 markets, analyzing the cost versus value recouped for 34 different project types. Today’s Homeowner found that the average return for all projects is 69%. But the average cost recovered for exterior remodeling projects is 23% higher than interior projects; in fact, the top 10 projects reaping the best ROI were on the exterior.
“Curb appeal really matters when selling your home,” Realtor Suzanne Coddington, of Dickens Mitchener, told Today’s Homeowner. “It’s difficult to get buyers to see a home that has little or no curb appeal.”
Garage door replacement was the only project category to reap a full 100% return on investment, followed by wood window replacement (95.5% cost recovery), screened-in porch addition (92.9%), fiber cement replacement (92.7%), and vinyl siding replacement (91.0%) and vinyl window replacement (91.0%).
“When considering new siding, look for high-quality, low-maintenance materials,” Steve Booz, Vice President of Marketing & Product Management for Westlake Royal Building Products, advised the Today’s Homeowner audience. “Some products offer insulation or locking seams for increased energy efficiency. And don’t be afraid to play with color, texture, different profiles, and contrasting trim — siding can be beautiful as well as functional.”
The remaining projects in the top 10 comprised an in-ground pool (90.1%), composite deck addition (86.9%), concrete backyard patio (86.4%), and wood deck addition (80.1%).
To view the full study results and expert commentary, click here.
Looking to elevate your exteriors with high-ROI materials? Browse Westlake Royal Building Products’ extensive selection of vinyl siding and accessories.