Remodeling Projects Worth the Time and Money

BY DANA FIORI

Remodeling projects are exciting to homeowners for a number of reasons, but whether you’re looking to sell or just change your space, your return on investment (ROI) should be the top factor to keep in mind.

Move-in ready homes are much more appealing to buyers,” said Realtor® Thomas Brettell of Smires and Associates in Bordentown. “If a buyer walks into the home and the burden of fixing it up is gone, it’s already more desirable.

According to the 2021 Improving America’s Housing report by Harvard University’s Joint Center for Housing Studies, American spending on home improvement and repairs increased by three percent to $420 billion in 2020.

Being home all the time, everyone is noticing things they don’t like about their house and what they want to change,” said Carl Giambrone, a contractor with EPIC Management, LLC in Piscataway. “They’re willing to spend the money whether they are looking to sell or fix it up for themselves.

Before hiring a contractor or breaking out the tools, decide which projects would be the most profitable in the long run. Here are the top remodeling projects according to Remodeling Magazine’s 2020 Cost vs. Value report.

Manufactured Stone Veneer

Job Cost: $9,357 Resale Value: $8,943 Cost Recouped: 95.6%

When it comes to home sales, curb appeal is your best friend. A big change to the front of your home can be made by adding stone veneer siding, making a difference in appearance and resell value.

People have busy lives,” explains Mandy Burckhardt, Realtor® with Weichert Realtors® in Medford. “Buyers today are looking for a home that not only fits their aesthetic, but also doesn’t require maintenance—and they’re willing to pay for it.

While adding stone veneer siding is an undertaking and not recommended as a do-it-yourself (DIY) project, ultimately, the price of the project pays off. Exterior projects currently have a higher ROI than indoor projects, according to the Cost vs. Value report.

Garage Door Replacement

Job Cost: $3,695 Resale Value: $3,491 Cost Recouped: 94.5%

It may not seem important, but a new garage door is a game-changer when it comes to impressing potential buyers.

According to realtor.com® ’s March 2021 Monthly Housing Market Trends Report, having a garage is one of the top five most important home features. Outdated garage doors with wear and tear should be replaced with something fresh and new. Not only are new garage doors more functional and energy-efficient, but they also boost your home’s aesthetic.

Siding Replacement (Fiber Cement)

Job Cost: $17,008 Resale Value: $13,195 Cost Recouped: 77.6%

Homes with chipped, missing, or unattractive siding could make or break the opinions of potential buyers. The facade is the first part of the home they’ll notice and overall one of the most important home features. Siding not only gives the house an attractive appearance but also protects it from weather and outdoor elements. According to the Cost vs. Value report, fiber cement siding provides a higher return on investment compared to replacing vinyl siding, coming in at $14,359 for the job cost, $10,731 in resale value, and 74.7 percent for cost recouped.

Minor Kitchen Remodel – Midrange

Job Cost: $23,452 Resale Value: $18,206 Cost Recouped: 77.6%

Living with an outdated kitchen may not seem so bad—but to a potential homebuyer, an updated kitchen is on the top of their want list. A minor upgrade doesn’t mean the entire kitchen needs to be gutted. Make an old kitchen feel new with an upgraded backsplash or freshly painted cabinets.

If my sellers have an outdated kitchen and can’t afford a full remodel, I always recommend a fresh coat of paint, refinish the cabinets, and [change] out outdated hardware for modern ones,” said Brettell.

The kitchen is a room people spend a lot of time in—ensure that it’s inviting and a place potential buyers would want to be. According to the Houzz 2021 U.S. Kitchen Trends Study, the top three kitchen feature upgrades include countertops at 88 percent, backsplash at 83 percent, and sink(s) at 80 percent.

Window Replacement – Vinyl

Job Cost: $17,641 Resale Value: $12,761 Cost Recouped: 72.3%

Beautiful bright windows gain positive attention and replacing outdated or old windows with new ones can benefit you and potential buyers. According to the National Association of Realtors® 2019 Remodeling Impact Survey, 42 percent of homeowners who replaced their windows said they had better functionality and livability. Updated windows are a desirable selling point because not only do they assist in utility costs, but it also takes the burden off of potential buyers.