Maximize your Renovation Return on Investment
February 11th, 2008 | by argikon |So you’ve finally got your eye on a house that meets most of your requirements for a potential dream home, but it still needs a ton of renovations to make it livable by your standards. Or you may have been living in your home for while, and can no longer overlook the dated bathroom, dysfunctional kitchen, or peeling wallpaper. Either way, like most people you’re on a limited renovation budget and you have to make some hard choices on what you’re going to tackle first. The choices you make with regards to your home improvements can have a significant impact on not only your wallet, but the overall resale value of your home.
According to the National Association of the Remodeling Industry, the highest return on investment on anything you can do on your home is a fresh coat of paint. Here is some more guidance what home improvements will give you the best return on investment:
| Renovation | Average Cost | Resale Recovery |
| Paint | $700 | 200% plus |
| Add a Bathroom | $10,000 | 96% |
| Add a Fireplace | $4,000 | 94% |
| Kitchen Renovation (minor) | $8,500 | 79% |
| Kitchen Renovation (major) | $24,000 | 70% |
| Bathroom Renovation | $7,500 | 69% |
| Add a Skylight | $4,000 | 68% |
| New Siding | $7,500 | 67% |
| Add Insulation | $1,750 | 65% |
| Addition | $35,000 | 62% |
| New Roof | $4,600 | 61% |
| Deck | $6,000 | 60% |
| Greenhouse Addition | $17,000 | 56% |
| Replace Windows /Doors | $12,000 | 55% |
| Add a Swimming Pool | $24,000 | 39% |
| Source: National Association of the Remodeling Industry | ||
