If you’re looking to maximize your home investment, well thought-out renovations are the answer. Though your return on investment can vary depending on what kind of renovations you do and the trends of the current housing market, there are some home improvements that almost always pay off.
Home renovations have increased in popularity over the past few years. For sellers, renovating can mean asking for a higher selling price; for buyers, it can mean getting into the market at a lower price and renovating once they move in. Home renovations are an excellent way for homeowners to “upgrade” to the house they wanted without having to move, which was especially difficult post-pandemic, when supply was low and demand was high.
What do RE/MAX’s brokers think are the best renovations to add home value?*
Top Renovations for Resale Value
#1: The Kitchen
93.5% of RE/MAX brokers say that renovating the kitchen nets the best ROI. Why? Kitchen renovations tend to be on the pricier side, especially if you’re replacing cabinetry and appliances, and it’s a major inconvenience to not have access to the kitchen while renovations are underway. An old, outdated kitchen is not desirable to buyers, since many don’t want to go through renovating the kitchen themselves.#2: The Bathrooms
61.3% of RE/MAX brokers say that bathroom renovations are a great option for reasons similar to kitchen renovations. A fresh and updated bathroom can make a house seem a lot less dated, even if they tend to be some of the smaller rooms in the home.
#3: New Paint
58% of RE/MAX brokers think that a fresh coat of paint is both an easy and effective way to increase your home’s value. Old colours can be swapped out for neutral ones that help open up the space and make the rooms look brighter.
#4: New Floors
45.2% of RE/MAX brokers say that new flooring is a draw for homebuyers. Right now, hardwood floors are all the rage, especially if they’re replacing outdated styles of flooring like tile or carpet. #5: Finished Basement
16.1% of RE/MAX brokers say that a finished basement adds value to your home when reselling. With multi-generational homes and work from home offices becoming more and more common, any extra room that can be added to your home is a positive.
#6: Landscaping & Outdoor Spaces
12.9% of RE/MAX brokers think that renovating your backyard or tackling landscaping projects can be a good ROI. Many people enjoy hosting backyard events during the warmer months, and well-done landscaping can bring out the best features in a home. Even if you don’t want to embark on a full reno, smaller DIY landscaping or patio projects can make your home look that much more appealing to buyers.#7: New Roof
12.9% of RE/MAX brokers say that a new roof can be worth the investment before putting your home on the market. A roof that’s in poor condition will have to be replaced anyway, and a buyer would much rather it be done than have to do it themselves when purchasing a home.
#8: Open-Concept Floor Plan
9.7% of RE/MAX brokers think that renovating so that you have an open-concept floor plan is a good way to add value to your home. Keep in mind, removing walls and opening up the floor plan is a big project and should be done with the help of professionals to ensure it’s safe.#9: New Windows
6.5% of RE/MAX brokers say that new windows can fetch you a higher asking price. New windows will not only look fresh, they can also be more energy efficient. This can save on energy costs in the long run.
Whether you plan to renovate to sell soon or you want to renovate for you and your family, you can rest assured that these renovations will often increase your home’s value.
*Based on the 2021 REMAX Renovation Investment Report.
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