Maximizing Your Home’s Value: Top Renovations That Add the Most Value

When it comes time to sell your home, some renovation projects can provide a bigger price bump than others. According to a statistical analysis by Realtor.com®, certain renovation keywords in listing descriptions are associated with significant price premiums, which can make a noticeable difference when selling.

Curb Appeal: The Power of Landscaping

Perhaps surprisingly, the phrase “new landscape” topped the list, with the potential to boost listing prices by 8.1%. For the average home, that translates to an increase of $34,794. Why such a big jump? It comes down to curb appeal. As real estate expert Terry Haas, team leader at 32 South Properties and former HGTV star, points out:

“If the front of your home isn’t inviting, buyers may not even take the time to explore inside. Curb appeal is everything, and a clean, well-kept exterior can be the deciding factor in whether a buyer even considers the rest of your home.”

Landscaping goes beyond just plants and lawns—it can include elements like paving, decks, and irrigation, all of which contribute to higher costs and value. Investing in a new landscape can significantly enhance your home’s first impression, helping it stand out in a competitive market.

Kitchen Renovations: A Key Selling Point

The kitchen is the heart of the home, and buyers are willing to pay for updates here. The term “renovated kitchen” boosted listings by 7%, or $29,891 for a median-priced home. Notably, “remodeled kitchen” had a slightly smaller effect, increasing prices by just 4%.

While a full kitchen overhaul can be costly, strategic updates can still provide great returns. Haas suggests focusing on smaller, high-impact changes:

“Repainting or refinishing cabinets, swapping out old fixtures, and upgrading countertops can make a big impact without breaking the bank. Even smaller updates like new cabinet hardware or modern lighting can give these spaces a fresh, updated feel.”

Bathroom Updates: Small Changes, Big Impact

Both “remodeled bathroom” and “new bath” were found to boost listing prices by about 3%. Like the kitchen, the bathroom is another area that attracts buyer attention. Updating key features here—like fixtures, countertops, or flooring—can provide a return on investment without a full-scale renovation.

Visible Updates Drive Value

The analysis found that visible improvements—like landscaping, kitchen, and bathroom updates—offered greater price premiums than functional updates. Items like a new roof provided just a 1.1% boost, which is less than half the cost of a replacement. Haas explains:

“Buyers are willing to pay a premium for things they can see and experience during a tour. While important, hidden updates like plumbing or foundation work aren’t what usually ‘wow’ buyers. If you’re trying to maximize visual impact, invest in areas that catch their eye.”

Balancing Costs and Returns

While the full cost of most renovations isn’t always recouped when selling, smart renovations can make a difference in your home’s sale price. However, it’s important to be mindful—some renovations, like layout changes that reduce the number of bedrooms, can potentially decrease your home’s value.

One particularly notable finding was the high premium on new landscaping. As Ralph McLaughlin, Realtor.com’s senior economist, explains:

“The land surrounding a home is also usable space that buyers value. It’s often the first thing buyers see when making a decision. Plus, landscaping projects can be costly, including features like decking and irrigation, which contribute to the high premium.”

Final Thoughts

Whether you’re thinking of selling soon or just want to increase your home’s value, focusing on visible improvements like landscaping, kitchens, and bathrooms can help you get the most bang for your buck. And remember, making a good first impression with curb appeal can be a game changer.

If you’d like more personalized advice on how to prepare your home for sale in the Georgina area, feel free to contact our team. We’re here to help you make the most of your real estate investment!

Wayne Winch & Brenda Brouwer
REALTORS®
RE/MAX All-Stars Realty Inc., Brokerage
905-476-4111

Source: https://www.realtor.com/advice/sell/home-renovations-boost-listing-price/