6 Home Improvement Projects That Can Increase Your Property Value and Boost ROI
If you’re a homeowner that’s thinking about selling your home, your first question is probably going to be, “How can I increase my property value?”
As a real estate agent, I absolutely love this question because you worked hard to get into home ownership and when it’s time for another move, you of course want to get the most bang for your buck.
I truly believe that real estate is one of the greatest wealth building tools and when you do it well, there is a way you can boost your ROI (return on investment) when it comes to selling and walk away with even more money in your pocket.
If you’re looking to increase your property value before you put your home on the market, I’d recommend starting with 6 main home improvement projects. ⬇️
Top Home Improvement Projects To Increase Your Property Value
Invest In Quality Landscaping 🌱
You probably don’t need me to tell you that curb appeal MATTERS!
I mean think about it: if you’re browsing Zillow or Realtor.com (P.S. If you're in the market for a home, these platforms are a great place to start. Just know there are so many more resources for you when you give me a call! 😉) and you come across two homes in the same neighborhood, which one is going to catch your eye more?
House A that has a beautiful green, manicured lawn with flower beds around the freshly pressure washed walkway OR House B that has dead and dry grass, faded mulch and a stained sidewalk leading up to the front door?
I think you know the answer. 😏
The risky part about not investing in quality landscaping is that the inside of your home could potentially check all of the boxes for a buyer, but the exterior could turn them away.
To avoid that, I encourage homeowners to invest in quality landscaping to make sure that your curb appeal is up to par, so it not only draws in more buyers when you decide to sell, but it’s also a nice treat for you each time you pull into the driveway!
And if you’re wondering if investing in quality landscaping is reallyyyy worth it, research has shown that landscaping can boost your home sale by 5.5-12.7% depending on the type of landscaping and the home’s original value.
If you’re the type that prefers to see a dollar amount, this translates to $16,500-$38,100 in value on a $300,000 home.
So yes, I'd say it’s reallyyyy worth it!
Create an Outdoor Oasis 🏡
When people are looking to buy a home, they typically have a list of “must-haves” that are non-negotiables for them. More often than not, some type of dedicated outdoor space is on that list!
Whether it’s an open deck, covered patio or even a screened in porch, buyers are in search of a home that has the capability to enjoy the outdoors on nice days and even entertain guests.
So, if you can create this for them as a seller, not only does your home become more attractive compared to homes that don’t offer this, you also get to boost your ROI along the way.
Surveys have shown that the average ROI of a professional deck build is 73% and a patio provides a 30-60% return.
Another thing to consider when creating a dedicated outdoor space to boost your ROI are additional amenities, such as outdoor fire pits, kitchens/bars and built in outdoor grills.
The desire for a dedicated outdoor space has increased dramatically since March 2020 and it’s been said that certain outdoor amenities, such as outdoor fireplaces, have actually increased in value adding an average of $3,300-$5,700.
Update Your Garage Doors 🚘
When people think of curb appeal, they most often think about the landscaping mentioned above, but did you know that your garage doors also play into this?
A garage is often the first thing you see when you pull into the driveway of a home, so maintaining this exterior look is a huge factor when it comes to your home value.
According to the 2022 Cost VS. Value report, garage door replacements have a 93.3% cost recoupment, which means that you have a very high chance of receiving a return on this investment!
Boost Your Bathrooms 🛁
Now, let’s take things inside!
Remember that list of non-negotiables I mentioned that buyers typically have when they’re searching for homes? Bathrooms typically fall somewhere on that list, too!
Bathrooms are one of those spaces that can be deal breakers or deal makers and you have the ability to make sure you fall on the deal maker end of the spectrum!
According to the 2022 Remodeling Impact Report by the National Association of Realtors, bathroom renovations have a 71% cost recovery and a 9.6 out of 10 Joy Score (a score that ranks a homeowners happiness in this particular report).
Things to consider when updating your bathrooms include, updated flooring, countertops, and fixtures, such as mirrors, lighting, faucets and drawer/cabinet hardware.
Finish Your Basement 🛠
Out of all these recommendations, finishing your basement may be one of the largest projects to tackle, but it can also be the most rewarding for you, especially when it's time to sell your home.
Unfinished basements are a pretty common thing for homeowners and some people like this because of the extra storage the space provides, but a finished basement brings wayyyy more benefits that aren’t always considered.
A basement has the potential to provide an extra entertainment space, a guest room, play room for kids, a dedicated workout room, separated home office and much more.
According to Remodeling Magazine, you can expect to recoup about 70% of your spend for a midrange basement refinish.
It’s important to remember that most people want a basement for additional open space, so considering the layout of a basement refinish is incredibly important to ensure that you aren’t risking any loss in return!
Pay Attention to Your Paint 🎨
Lastly, if you’re looking to increase your home's value and boost your ROI when selling, I encourage you to pay attention to your interior and exterior paint.
Color matters, both inside and outside, and plays a huge factor in how someone views your home. For the interior, neutral colors are typically a safe bet. For the exterior, you want to consider a color that catches the eye in a good way.
Here’s a deeper dive into interior and exterior paint choices!
While sometimes a full paint job might be necessary, sometimes small touch ups can really do the trick.
Ultimately what you want to achieve is a look that says, “Hey! This house has been properly maintained.”
Faded, chipped or peeling paint really doesn’t give off that vibe, so to make a solid impression on potential buyers and boost that ROI, paying attention to your paint is a good choice!
As for the numbers, it’s been reported that you can expect a 107% ROI for new interior paint and a 55% ROI for exterior paint.
Empowering homeowners with this type of information so you can continue to benefit from homeownership is one of my favorite things as a real estate agent!
Home improvement projects like this are a process that of course take time, but they almost always end up being worth it in the long run.
If you’re unable to complete these projects yourself, I encourage you to find contractors in your area that can help you achieve these goals in a cost effective way.
If you’re local to Billings, Montana and are looking for help with any or all of the projects listed above, CLICK HERE to grab my approved vendor list!