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Best Home Improvements to Increase Value

POSTED ON Friday, March 4, 2022 IN Home

Which home improvement projects increase the value of your home, and which don't? Whether you're thinking about selling or refinancing, or just want to keep home value in mind when remodeling, here's where to focus.

The real estate market has been hitting unprecedented numbers for several years in a row. “In the third quarter of 2021, the average homeowner gained approximately $56,700 in equity during the past year,” according to Homeowner Equity Insights from Corelogic.

Even if you’re not considering selling your home in the near future, it’s a smart financial move to understand the value of your home and the impact of any potential renovations. Your home value is part of your overall net worth as an individual and can vary based on the market, time of year, and many other factors. Home renovations are one way to significantly impact the value of a home. Whether completed in anticipation of an upcoming sale or for the aesthetic preferences of the homeowner, different renovations impact value in different ways. If you’re looking to increase home value through renovation, consider these top home improvements.

Kitchen Renovations

One of the highest impact renovations in any home is the kitchen. The National Kitchen and Bath Association (NKBA) reports that total spending on residential kitchen remodeling in the U.S. will exceed $76 billion, which is 48% of overall home spending. An outdated kitchen can keep a property from reaching its highest valuation. 

Quincy Lexington in White and Cobalt

There are varying degrees to kitchen renovations, and each tier comes with a different set of statistics on the impact to overall home value. A minor kitchen remodel, for instance, can recoup as much as 72.2% of the overall project cost in home value, whereas a major upscale kitchen remodel may only see a 53.9% return on investment. The difference between the two comes down to materials used as well as costs associated with floorplan changes such as rerouting plumbing or electrical.

To maximize your return investment, opt to leave your existing floorplan as close to the original layout as possible to avoid moving plumbing or gas lines. Consider upgrading cabinets and appliances, but keep appliance budgets mid-range. Flooring can have a substantial impact on the first impression your kitchen gives. Consider adding a kitchen statement piece for a unique look, but if selling is on the horizon, keep finishes and colors neutral for impact that retains wide appeal.

Bathroom Renovations

Bathroom remodel spending is even higher than kitchens, coming in at $82 billion according to NKBA. In fact, A bathroom renovation is the most popular of all home improvements, according to the National Association of Realtor’s (NAR) Remodeling Impact Report.

Alden Sage Bathroom - photo credit Creative Tile Imports (Allentown, PA)
Photo Credit: Creative Tile Imports (Allentown, PA)

And like kitchens, high end finishes in bathrooms are less likely to recoup investment costs. HGTV reports that a major bathroom remodel averages a cost of $26,052, which brings in $24,286 at resale while a minor bathroom,  including items such as replacing tile or shower surround, flooring, toilet, sink, vanity and fixtures with mid-range materials recoups an average rate of 102%.

For a minimal cost/high impact remodel, consider upgrading your vanity and faucet fixtures to create an updated focal point at a lower-range cost than tackling bath or shower tiles and surrounds. A vanity that hits at a comfortable height paired with a solid surface top is at the forefront of most homeowners' wish lists when shopping for a home. 

To increase home value by remodeling your bathroom, opt to forgo luxury features such as jetted tubs or steam showers. The best home improvements to increase value in your bathroom are items that address functional bathroom storage, modern vanity and faucet finishes, and updated flooring.

Adding Usable Square Footage

Remodeling an underutilized space or adding square footage with an addition can both increase home value. According to a study for the National Association of Realtors, every 1,000 of square feet added to a home increases its sale price by at least 30%.

Kingston Bertch Eggshell

Do you have an opportunity to add to your usable home space without an addition? Some homes have unused bonus rooms, garage attics, or an unfinished basement. Finishing these spaces to create a family room, home office, or additional bedroom can add value to your home by increasing the usable square footage within the current footprint of the structure.

A sunroom or similar addition can add value when executed thoughtfully. According to HGTV.com, “A sunroom counts in the home’s square footage only when the room is heated and cooled for year-round use. A sunroom adds value only in upscale neighborhoods.”

Exterior Upgrades and Landscaping

Updates to landscaping, garage doors, and even a coat of paint can help improve the curb appeal of your home, making it more attractive to potential buyers. Keep existing landscaping well-maintained to make your home more attractive. On the flip side, chipped paint or dilapidated doors could cause potential buyers to rethink their interest and skip the home without stepping inside. 

Adding a deck or patio is one of the best home improvements to increase value. Potential buyers are looking for entertaining areas inside and out. Adding a patio or deck, regardless of material, can increase the perceived usable space. Again, highest return on investment goes to homeowners who choose mid-range materials that improve functionality over luxury and high-end materials focused mostly on visual appeal. 

Choosing a Remodel to Get The Best Return

Riverside Quartersawn Oak NaturalIf you aren’t planning to sell right away, consider your personal preferences first. What are the pain points with your current home? Do you need more space, updated finishes, or simply to change the function of your current space. If you need help navigating all the different options available to you, visit a Bertch showroom and speak with a designer for ideas and inspiration.

NOTE: ROI values and remodeling costs are subject to change.


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  1. bathroom remodel
  2. home projects
  3. kitchen remodel

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