Home Selling Tips: Home Renovations with the Best ROI

Home Selling Tips Home Renovations with the Best ROI

The weather’s just warming up and seasonal allergies have returned with a vengeance, but many soon-to-be home sellers have already rolled up their sleeves to begin spring cleaning. Even with a busy schedule or limited budget, you can add a few simple, worthwhile improvements to your to-do list while getting your property ready for the market.

Check out our home selling tips on what home renovations offer the best ROI when you’re getting ready to sell.

1. Improve Curb Appeal

When deciding on new renovations, it’s best to choose projects that will not only be worthwhile, but enjoyable in the meantime. If you need a place to start, consider improving curb appeal. A high ROI is just one benefit you’ll get in addition more beautiful and functional exterior spaces.

Minor outdoor projects, like planting new flower beds or repainting walls, can bring new life to your home at very little cost. On the other hand, adding a new deck offers a solid return on expense while giving your family a new space to enjoy the East Tennessee weather. In fact, the most recent “Cost Vs. Value Report” from Remodeling Magazine suggests that front, wooden decks provide an ROI as high as 82% on average.

2. Refresh the Kitchen

According to the same recent report, minor kitchen remodels recoup around 81% of their investment. These smaller-scale improvements can still be fairly extensive, including new cabinetry, flooring, and countertops. Outdated appliances should also be replaced with new energy-efficient models, allowing you to save money on your utility bills while improving the ultimate value of your home at the same time.

You may be tempted to undertake major renovations in addition to the smaller jobs, but Remodeling Magazine suggests they may not pay off. New kitchen islands or breakfast bars, for example, would fall into larger, more expensive changes that only net back around 59% in today’s housing market. Changes of this scale offered much more ROI as recently as 2014, but Realtor.com’s Judy Denton explains that new tax laws and a peaking housing market have led to a decline in ROI for large scale renovations.

3. Update the Bathrooms

Conventional home selling tips have always suggested that bathroom and kitchen remodels return the most investment, and while the values of other renovations have gone down in recent years, minor bathroom updates have held steady at about 65% – 70% ROI. New countertops, vanity lights, and tiling all add significant value to the home without involving as much labor or material. Even a new tub and shower fixture can justify their cost if not taken to extremes.

Unfortunately, bathrooms follow the same story as kitchens: the more high-end your investments, the less you can expect in return. Major remodels and luxury fixtures can lower ROI well into the 50% range. Large-scale kitchen and bathroom upgrades may be extremely popular with buyers, but sellers don’t always see the dollars spent returned to their bank accounts in the end.

4. Install New Windows and Doors

Following the trend of less is more, replacing old, worn out windows and doors can make your home look much more appealing when it comes time to sell. Both of these improvements also offer the opportunity to invest in energy-efficient updates, giving your home another point of attraction for buyers while ensuring a healthy return on investment.

Even better, replacing the garage door is the best renovation project in terms of ROI, at nearly 100%. If you’re dealing with an outdated, creaking garage door, investing in a newer and safer model is an excellent idea.

We can’t emphasize enough the importance of having a realtor you can trust in the Knoxville market. At Holloway-Westerling, we have years of experience and tons of home selling tips to help you get the most value out of your property. Contact us to set up an appointment.

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