Tops Home Improvements for Best Return

What Home Improvements Give You The Best Return on Investment

If you’ve ever wondered whether a home improvement project will actually pay off, you’re not alone. I get asked this question all the time—whether I’m at a social gathering or sitting down with a client who’s preparing to sell. Everyone wants to know: “Is this upgrade worth it?”

Let’s break it down.

First, Some Caveats

Before diving into specific projects, it’s important to understand that return on investment (ROI) can vary widely. The value you get back from a renovation depends on several factors:

1. The current condition of your home
2. Whether it’s a buyer’s market, seller’s market, or a transitioning one
3. Your home’s price point—what’s smart for a luxury home may not apply to a starter home
4. Your competition—what are other homes in your area offering?

Every home and market is unique, so the best improvements for your property might not be the same as your neighbor’s.

Then, Consider the Situation

Timing and purpose matter. Are you planning to stay in your home for a few more years and want to enjoy the upgrades? Or are you planning to sell in the next 30, 60, or 90 days?

If the goal is long-term enjoyment, you may choose updates based on comfort and style. But if you’re preparing to sell, the focus should be on cost-effective improvements that add value and appeal to buyers.

What the Data Says

The National Association of Realtors (NAR) releases a report that outlines the ROI of common home improvement projects. One key point: most improvements do not give you more than a 100% return.

Here’s what that means:

A 100% ROI means you’ll recover exactly what you spent (for example, spend $1,000 and get $1,000 back).

A 60% ROI means you’re getting $600 back for every $1,000 spent.

Most projects will not double your investment—spending $10,000 doesn’t typically yield a $20,000 return.

Home Improvements with the Best ROI

Here are some highlights from the NAR report, along with what I often see in the real estate market:

Steel Front Door Replacement
ROI: 100%
One of the simplest and most effective ways to boost curb appeal and make a strong first impression.

New Vinyl Windows
ROI: 74%
Improves energy efficiency and overall home appeal, especially to buyers concerned with maintenance and utility costs.

Finishing Basement Living Space
ROI: 71%
Adds usable square footage, which is always a plus for buyers.

Complete Kitchen Remodel
ROI: 60%
While kitchens are important, a full remodel often yields a lower return than many expect. Minor updates can sometimes be more cost-effective.

Adding a Bathroom
ROI: 56%
The value added depends on the context—adding a second bathroom to a one-bath home is more impactful than going from three to four.

Final Thoughts

Home improvements can absolutely add value, but not every project makes sense for every seller. If you’re thinking about selling, your best next step is to consult with a real estate professional who understands your market and can help you prioritize what will get you the best return.

If you’re planning to sell within the next six months and want to know which projects are worth the investment, reach out to me or a member of my team. We’d be happy to walk through your home and create a smart, personalized plan.

Jose Medina | Keller Williams Legacy Group Realty

📞 330.417.3144 | Jose@JoseSellsHomes.com