Thinking about upgrading your home? Wondering which renovations give you the best return on investment?
You’re not alone. Many homeowners ask the same question before diving into the remodeling process: Which home remodeling projects that increase value are truly worth the time and money?

Whether you’re preparing to sell your home or simply want to enhance its functionality and beauty, the right renovations can significantly boost your property’s value. In this guide, we’ll explore the top 5 remodeling projects that increase value, backed by real estate trends, ROI data, and expert insights.

Let’s dive into the smart investments that make your home more desirable and more profitable.

1. Kitchen Remodel – The Heart of Value

The kitchen is often considered the heart of the home, and for good reason. It’s where families gather, meals are shared, and memories are made. It’s also one of the most impactful home remodeling projects that increase value.

Why it adds value:

• Functionality: Upgrading appliances, optimizing layout, and increasing storage space appeals to modern buyers.
• Aesthetic appeal: A sleek, updated kitchen leaves a strong first impression.
• Energy savings: New energy-efficient appliances can reduce utility bills and attract eco-conscious buyers.

Recommended upgrades:

• Install quartz or granite countertops.
• Replace outdated cabinets or reface them.
• Add energy-efficient lighting and stainless steel appliances.
• Open up the layout for better flow.

ROI: According to Remodeling Magazine, a minor kitchen remodel can recoup up to 81% of the cost at resale.

2. Bathroom Renovation – Small Space, Big Impact

A well-designed bathroom can be a game-changer when it comes to attracting buyers or simply enhancing your lifestyle. That’s why it’s high on the list of home remodeling projects that increase value.

Why it adds value:

• Modern conveniences: Buyers love spa-like features, walk-in showers, and ample lighting.
• Improved plumbing and ventilation: These practical upgrades ensure long-term home health and safety.
• Energy efficiency: Low-flow toilets and water-saving fixtures are a plus.

Recommended upgrades:

• Replace worn tiles and old fixtures.
• Install a double vanity for added luxury.
• Upgrade lighting with LED fixtures.
• Add heated flooring for a premium touch.

ROI: A mid-range bathroom remodel can return 60–70% of your investment.

3. Curb Appeal Enhancements – First Impressions Count

You never get a second chance to make a first impression, and that’s especially true in real estate. Exterior updates are among the top home remodeling projects that increase value, even if they seem cosmetic.

Why it adds value:

• Boosts buyer interest: A visually appealing exterior draws people in.
• Sets expectations: Enhances the overall perception of your home’s condition.
• Low cost, high impact: Many outdoor improvements are affordable and DIY-friendly.

Recommended upgrades:

• Paint or replace your front door.
• Install new siding or stone veneer.
• Landscape with native, low-maintenance plants.
• Add outdoor lighting and a new mailbox.

ROI: Simple landscaping and exterior enhancements can provide an ROI of 100% or more in some markets.

4. Finished Basement or Attic – Extra Usable Space

Converting unfinished space into livable areas is one of the most strategic home remodeling projects that increase value. Buyers love having additional space for guests, hobbies, or home offices.

Why it adds value:

• More square footage: Increases your home’s usable living area.
• Versatility: Great for in-law suites, home gyms, or entertainment zones.
• Modern buyer needs: With more people working remotely, flex spaces are in high demand.

Recommended upgrades:

• Add proper insulation and drywall.
• Include a full or half bathroom.
• Ensure egress windows in basements for safety.
• Create open-concept layouts with built-in storage.

ROI: Basement finishing can recoup up to 75% of the cost, while attic conversions often see 60–70% ROI.

5. Energy-Efficient Upgrades – Smart and Sustainable

Eco-friendly homes are no longer just a trend—they’re a priority for many homebuyers. Making your home more energy-efficient is one of the long-term home remodeling projects that increase value and reduce monthly expenses.

Why it adds value:

• Lower utility bills: Attractive to cost-conscious homeowners.
• Tax incentives: Some upgrades qualify for rebates and credits.
• Environmental impact: Appeals to sustainability-focused buyers.

Recommended upgrades:

• Upgrade insulation and seal leaks.
• Replace old windows with double or triple-pane.
• Install a smart thermostat.
• Use solar panels or solar water heating if possible.

ROI: Energy-efficient window replacement alone can bring 60–70% ROI, and more when bundled with other upgrades.

Bonus Tips for Maximizing Remodeling ROI

• Think local: Choose remodeling projects that are popular and valuable in your specific market.
• Avoid over-customization: Unique styles might not appeal to a broad buyer base.
• Prioritize maintenance first: Address roofing, plumbing, or HVAC issues before aesthetic upgrades.
• Hire licensed professionals: Quality workmanship matters to buyers and appraisers alike.

Final Thoughts

When done right, home remodeling projects that increase value are a smart investment in your property’s future. From kitchens to curb appeal, these improvements not only enhance your quality of life but also attract higher offers when it’s time to sell.

Whether you’re remodeling for yourself or preparing your home for the market, choose projects that balance function, aesthetics, and ROI. Always plan strategically—and consult with professionals when needed—to make the most out of every dollar spent.

Frequently Asked Questions (FAQs)

1. What are the best home remodeling projects that increase value before selling?
The top remodeling projects before selling are kitchen and bathroom renovations, exterior improvements (like new siding or landscaping), and energy-efficient upgrades.

2. How much should I spend on a home remodel to get a good ROI?
Aim to spend no more than 10–15% of your home’s value on any single renovation. Minor upgrades often bring better ROI than major overhauls.

3. Do home remodeling projects that increase value always guarantee a profit?
Not always. Market conditions, neighborhood value, and workmanship affect the ROI. However, strategic projects typically enhance appeal and selling price.

4. Are DIY remodels as effective in increasing home value?
DIY projects can save money but may lack the quality or compliance that professionals provide. For structural or technical work, professional contractors are recommended.

5. How can I finance my remodeling projects?
Home equity loans, HELOCs, personal loans, or renovation-specific financing options are common ways to fund home remodeling projects that increase value.

Ready to Start Adding Value to Your Home?

Now that you know the top 5 home remodeling projects that increase value, the next step is taking action. Whether it’s a small bathroom refresh or a complete basement transformation, every improvement brings you closer to a more beautiful, functional, and profitable home.

Curious which project suits your home best?
Let’s chat! Contact a trusted remodeling expert today to explore personalized recommendations based on your goals, location, and budget.

Your dream home—and a better ROI—might be just a renovation away.