Getting the Best Return on Exterior Home Renovations

Getting the Best Return on Exterior Home Renovations

There are two main reasons for renovating your home:

1. To make it a more enjoyable/safe/efficient place to live;

2. To increase its value or same money over the long haul.

Both are great motivating factors, but not all home improvement projects can satisfy both goals. An in-ground swimming pool, for example can provide years of fun for a growing family, easily satisfying the first objective. But according to Houselogic.com, pools increase a home’s resale value by only 7 percent – not much when you consider construction, maintenance, and energy costs over the years. Many people conjure images of master bedroom additions and kitchen and bathroom remodels when they think of home remodeling projects. But the online magazine Remodeling reports that exterior improvements account for nine of the 10 highest return-on-investment (ROI) projects homeowners can undertake.

Not only do window, roof, and siding replacements cost less upfront than modernizing a kitchen and other interior projects, they also cut down on heating and air conditioning expenses and boost a home’s curb appeal. These are the first things prospective buyers see, and we all know the importance of making a strong first impression. Whether you are thinking about moving or are committed to living in your home for the foreseeable future, there are several exterior improvements you can do that recoup much of the cost through a higher selling price energy efficiency. Generating the highest ROI starts with choosing the right renovation to target. But it doesn’t end there. The materials used and the contractor you engage to build or install your project will also determine the remodel’s value to prospective buyers.

Highest-ROI Exterior Renovations

While the cost and ROI of any home improvement project depends in part on the home’s age and state of repair, its location, and other factors, real estate professionals agree and research shows that certain projects deliver higher resale values and energy savings year after year, regardless of geography or architecture. Minor exterior improvements such as landscaping, steel front door, or new overhead garage doors can add 90 percent to 100 percent of their cost to a home’s market price, these are the major projects experts suggest investing in to create the greatest ROI.