Where To Put Your Remodeling Dollars To Work

Homeowners looking for a remodeling project may be smart to tackle a kitchen renovation—that is, if they’re looking for projects with the strongest buyer appeal and high returns on their investment at resale.

Kitchen renovations and upgrades are among the top remodeling projects most likely to add value to a home at resale and most likely to appeal to home shoppers, according to the 2017 Remodeling Impact Report, conducted by the National Association of REALTORS®. The report takes a look at the cost of the most common exterior and interior remodeling and replacement projects and gauges how much appeal they have to buyers at resale.

The following interior projects REALTORS® ranked highest to lowest as remodeling projects that would appeal to home buyers (listed along with project estimate costs and the potential return on investment at resale):

1. Complete Kitchen Renovation

• Cost estimate: $65,000
• REALTORS® estimated cost recovered: $40,000
• Percent of value recovered from the project: 62%

2. Kitchen Upgrade

• Cost estimate: $35,000
• REALTORS® estimated cost recovered: $20,000
• Percent of value recovered from the project: 57%

3. Bathroom Renovation

• Cost estimate: $30,000
• REALTORS® estimated cost recovered: $15,000
• Percent of value recovered from the project: 50%

4. New Wood Flooring

• Estimated cost: $5,500
• REALTORS® estimated cost recovered: $5,000
• Percent of value recovered from the project: 91%

5. Add New Bathroom

• Cost estimate of project: $59,000
• REALTORS® estimated cost recovered: $29,750
• Percent of value recovered from the project: 50%

6. Hardwood Flooring Refinish

• Estimated cost: $3,000
• REALTORS® estimated cost recovered: $3,000
• Percent of value recovered from the project: 100%

7. New Master Bedroom Suite

• Cost estimate: $125,000
• REALTORS® estimated cost recovered: $65,000
• Percent of value recovered from the project: 52%

8. HVAC Replacement

• Estimated cost: $7,475
• REALTORS® estimated cost recovered: $5,000
• Percent of value recovered from the project: 67%