**Maximize Your Home Value with These High-Return Renovations**
As the spring housing market heats up, homeowners are looking for ways to increase the value of their properties. While home renovation activity may have slowed compared to the frenzy of the past few years, there are still opportunities to make smart investments that can pay off in the long run.
According to the 2024 Cost vs. Value report from Zonda Media, certain home upgrades are now offering the highest return values in history. In fact, some projects are averaging returns of nearly 200% for the first time ever. Garage door replacements top the list with an impressive 194% return on investment, followed closely by upgrading to a steel front door at 188%.
**Curb Appeal is Key**
What’s interesting about these high-return projects is that they mostly focus on curb appeal rather than glamorous kitchen and bath remodels. Nine out of the top 10 projects with the highest return on investment are exterior improvement projects, according to Zonda’s report.
“When it comes to adding resale value to a home, exterior replacement projects continue to make the most sense,” says Clay DeKorne, chief editor of Zonda’s JLC Group.
While some projects can deliver a 100% return on investment or more, not all renovations will add significant value to your home. Added luxury features like upscale bathroom or kitchen remodels may not provide as much return to sellers as more practical upgrades.
**’Un-sexy Upgrades are More Important’**
In today’s competitive housing market, it’s essential for sellers to be strategic in their efforts to attract top-dollar buyers. With high home prices and limited inventory, making the right renovations can make a significant difference in the final sale price of your home.
Financing renovations with a home equity loan or home equity line of credit may be more expensive due to recent interest rate hikes by the Federal Reserve. However, certain upgrades like a new garage door or entryway can help your home stand out and command a higher price.
To get the best value from your renovations, it’s important to consult with a realtor in your area to determine which upgrades are worth the investment. In some locations, adding a pool could triple your return, while in others, it may not make a significant difference.
Remember, the “un-sexy” upgrades like replacing an old furnace with an electric heat pump or installing a new roof or windows can often have a bigger impact on your home’s value than flashy renovations. And don’t underestimate the power of a thorough cleaning and decluttering to make your home feel fresh and inviting to potential buyers.
At Extreme Investor Network, we believe in empowering homeowners with the knowledge and resources to make smart financial decisions when it comes to their properties. Stay tuned for more tips and insights on how to maximize the value of your home through strategic renovations and investments.