Many people consider venturing into home remodeling projects to improve their quality of life or their property’s value. However, not all remodeling projects will give you an equal return on investment during resale.
Before you start calling contractors to request quotes for expensive projects like a major kitchen remodel, bathroom addition, or roof replacement, it will be useful to look at information from the Remodeling cost vs. value report for 2021. The numbers can help you see which projects will give you the highest cost recouped when you put your property on the market.
Remodeling Trends in 2021
As the entire world has felt the impact of the COVID-19 pandemic during the past year, people’s housing requirements have changed. There is an increased focus on private, quiet spaces for remote workers and on extending outdoor living areas. At the same time, many people are wary of spending large sums on remodeling due to an unstable economy.
Below are the top home remodeling projects that yield the highest-ROI in 2021.
1. Garage Door Replacement
Replacing your garage door tops the list of high-return remodeling projects. On average, a garage door replacement will allow you to recoup 93.8% of your money.
A new garage door can transform the look of your home and make it dramatically more attractive at a comparatively low cost. Steel is the most popular garage door material by far. Although natural wood doors may be more appealing, steel offers lower initial costs, easier maintenance, and higher energy efficiency.
In coastal regions, an aluminum garage door may be a more sensible choice thanks to its resistance to rust and corrosion.
2. Manufactured Stone Veneer
If you choose to add manufactured stone veneer to your home’s exterior, you can expect to make back 92.1% of the project’s costs when you sell your property.
A veneer of manufactured stone boosts your home’s curb appeal and creates an improved first impression on potential buyers. Striking and beautiful, manufactured stone offers the charm of natural material at a much lower cost. Manufactured stone composition includes Portland cement, natural aggregates, and pigments such as iron oxide.
Depending on your home design vision, you may choose faux stone in a monochromatic color scheme or a harmonious blend of different shades.
3. Minor Kitchen Remodel
A minor kitchen remodel will yield an ROI of 72.2% – a dramatically higher number compared to the 57.4% of a major kitchen overhaul.
If you have a functional but dated kitchen, a minor remodel might be all you need to give your kitchen a transformed look. Quick, comparatively inexpensive kitchen upgrades may include replacing cabinet fronts and installing new countertops. Ceramic tile, laminate, and cultured marble are attractive and affordable countertop materials.
A new sink and faucet, a fresh coat of wall paint, and modern stainless steel appliances will complete your kitchen’s facelift.
4. Siding Replacement (Fiber-Cement)
If you go for new fiber-cement siding, you can recoup 69.4% of the project’s costs later on – and give your home a completely new appearance. Today, homeowners enjoy a wide selection of siding options in many colors and styles.
If you aren’t planning on a complete exterior remodel, it is probably best to stick to your home’s existing color palette and make sure your new siding coordinates with permanent elements like brick and stone. You might also take a look at other homes on your street and select siding that blends in harmoniously with your neighborhood.
Keep in mind that colors and materials can look different in natural vs. artificial light, so make sure to view siding samples in the morning, at sundown, and at night.
5. Window Replacement (Vinyl)
New vinyl windows can help your house achieve a modernized look and higher energy efficiency. It will also give you a solid 68.6% ROI.
Vinyl windows come in a variety of styles, colors, and finishes that can mimic wood almost perfectly if you prefer a natural appearance. They are sturdy, non-fading, and offer excellent insulation.
To make sure you are getting a good deal, choose vinyl that contains additives protecting the window frame from brittleness or color deterioration. Go for a model with a “double lifetime” warranty that can pass to the next homeowner if you sell the property.
6. Siding Replacement (Vinyl)
Replacing your siding with vinyl allows you to earn back 68.3% of the project costs – only marginally less than fiber-cement siding replacement.
Fiber-cement and vinyl are both popular siding choices. While fiber-cement siding is composed of wood pulp and Portland cement, vinyl siding’s main component is PVC, which helps it can contract and expand with temperature fluctuations. Vinyl’s durability and versatility have made it the number one siding material in the past 20 years.
Vinyl siding offers virtually unlimited style options, including shingle, plank, and panel designs. Vinyl can also have a grain-finished surface almost indistinguishable from natural wood.
7. Window Replacement (Wood)
If you prefer to go for natural wood when replacing your windows, you can enjoy an ROI of 67.4%. Although vinyl frames are rising in popularity, wood is still an attractive window frame material.
Wood is lightweight, strong, affordable, and has excellent insulation properties. It offers unlimited style options and will last for many decades with proper care. Furthermore, wood is a natural, renewable material, which can make it an eco-friendly choice.
Although wood is a higher-cost material compared to vinyl, it can be a sensible choice for window framing in historical or farm-style, rustic homes.
Home remodeling can be an exciting adventure, but before you dive in, it’s important to understand how much of your investment you are likely to recoup. A realistic cost vs. value picture will help you as you work out a renovation budget.
Have more questions about home remodeling? Give us a call or send us an email. We always look forward to hearing from you.