Home improvement projects with high return on investment

Home improvement projects with high return on investment

Most people consider a future home improvement project to fix an existing problem, fill a gap and increase their comfort. Sometimes, they simply want to make the living space more beautiful. However, it would also be a wise idea to know now just how much that project costs, but also how much value it has. While price is strictly the amount of money you’ll need to pay right away to a contractor to complete the project, value is the amount by which the project increases the price of your house should you decide to sell it in the future. Also, value can also be measured in the savings that project brings you in the long run. For example, some works increase energy efficiency and they decrease bill amounts considerably. If you’re interested in a home improvement scheme will pay off in the future, not just provide immediate benefits, these are the top ideas you should know about.

 

Insulation

Over the years, insulation has rightfully earned its top spot on the list of sustainable home improvement projects and energy studies show its efficiency time and time again. Usually, people decide to insulated their houses for comfort reasons. After all, without insulation, no one can hope to enjoy hot summers and cold winters. However, the experts at gni.ca say that there’s more to insulation than thermal comfort. Adding an insulating layer to the house and sealing all problem areas means that there is no more heat exchange, so the inside temperature stays constant. With no more temperature swings, HVAC appliances don’t have to be turned on as often, so you’ll have less to pay on energy bills. Needless to say, insulation increases the resale price of the property, because home buyers are looking for green, sustainable homes. A 2016 study showed that insulating the attic alone has a 117% ROI.

Efficient ventilation

Insulation and ventilation go hand in hand, which is why home remodelling experts recommend owners that they tackle both these projects at the same time to gain extra benefits. While insulation deals with the sealing of cracks and crevices in the house structure, ventilation deals with the optimal circulation of the air inside the house. Upgrading your home ventilation system will ensure better control over the indoor environment and indoor air quality, because you will no longer deal with fumes and vapors. In time, ventilation pays for itself and increases home resale value.

Replacing old windows

Windows play an important role in defining the architectural “personality” of the house, which is why most people replace them when they start to look old and outdated. It is a wise choice and real estate experts do agree that a house with new windows is easier to sell for a good price, but the financial benefits don’t stop there. If you are willing to spend a little bit more and replace your old windows with eco-friendly ones, you can also start saving money off bills. Windows create strong first impression and you shouldn’t underestimate the power they have on house hunters. Choose the right model and you might be able to raise the price by hundreds!

Front door replacement

Did you know that replacing your old door with a new steel door can bring you up to 100% return on investment? It might sound like a lot, but this percentage is high for two reasons: one, a better door made from a sturdy material provides better insulation and reduces noise pollution (provided that it is installed right, of course) and two, it allows you to raise the resale cost. Just like windows, doors make a lasting impression, so don’t feel guilty for spending more on a door with a unique design.

Roof repairs

Once every couple of years, it’s a good idea to contact a team of experts and have them inspect the roof for signs of damage. This is a great way to prevent leaking issues later on – especially if you happen to live in a region with heavy rainfall. Also, you can consider replacing the entire roof if you have issues with humidity and can’t turn your attic into a habitable space. Unlike the other projects on this list, roof repairs don’t necessarily increase the home resale price. A buyer will not pay extra just because there aren’t holes in the roof. However, roof repairs prevent the home resale value from dropping. Visible roof damage can lower the sale cost by hundreds, even if the rest of the building is in good condition.

Kitchen remodelling

Kitchen remodeling is another project with a high return on investment, but, keep in mind, only under certain conditions. If your kitchen already is modern and doesn’t lack basic features, then modernising it brings an average ROI of 67% percent, which is relatively low compared to the other entries on the list, so it isn’t an absolute necessity. But, if your kitchen is in poor condition and really needs an upgrade and keeping it as it is lowers the sale price, then by all means you should remodel it. In general, upgrades such as repainting the walls and sink are enough to keep a reasonable selling price and there’s no need to invest in state of the art appliances.

Solar panel installation

If the dramatic decrease in solar panel installation costs hasn’t convinced you to switch to solar energy, then perhaps the high ROI will. In the past 20 years, almost all governments have initiated rebate programs for homeowners who install solar panels. The amount of money you can get back obviously varies from state to state (you can use an online calculator to get an estimate), but it generally covers for more than half of the amount you paid. Add to that the fact that you will no longer be relying on your electricity provider and solar panels pay for themselves almost immediately!

Steve Volk