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How Much do Remodeling Projects Increase the Value of Your Home?

increase the value of your home how much do remodeling projects

How Much do Remodeling Projects Increase the Value of Your Home?

According to, the median age of houses in the U.S. is about 37 years old. Although the number changes according to the location, (for example, the oldest houses are at the northeast with an average of 57, while the youngest areas are at the south with 21 to 26 years old), these numbers show us reality, most of the houses require home remodeling if they didn’t have one in the close past. This is the reason that home remodeling became very common throughout the country.

home remodeling

People generally make full or partial remodeling for two reasons; to live in a better place, or to make a profit from selling. So, how much value does a remodel add to a house? Or, what kinds of renovations increase the home value most? As Prime Custom, a home remodeling company in Sterling VA, today we will help you on making a decision about what to prioritize on remodeling. We will use statistics and parameters to do this. With this useful information, it will be easier to decide about a home upgrade.

Maybe you need to get a loan from a bank, local credit union, or online lenders before home improvement. Here you can see home improvement loan options you can choose.

What to Consider About a Remodel in General?

How Much Remodeling Projects Increase the Value of Your Home


So, the first question is “what are the general factors that influence the value of a house?”. According to, there are 8 important factors that affect house prices. They are;

  • Neighborhood offers,
  • The quality of location,
  • Dimensions of the house,
  • General condition and age of the house,
  • Home improvements,
  • The general interest of the market,
  • Economic situation,
  • Spending interests.

These factors have relatively big or small effects on the total value of a house and have the potential to influence the house prices differently on variable conditions. But it is possible to make assumptions and calculations about these factors. And it is clear that home improvements or home upgrades have a great role in house prices. But how? We will talk about this now.

In What Order to Renovate Your House?


So, what sequence to follow for a home renovation? Although every single project has its own conditions and plans, generally these steps are followed for a renovation;

  • Decision making. Choose your course of action among so many renovation choices and methods. Your needs, tastes, and budget will be determiner in this.
  • Permissions. Consider applying for the required permissions from the relevant offices. Otherwise, undesired fines may be inevitable in the future.
  • Design and Plans. Once you decide about what to do, what is staying, and what is going; you can prepare your designs and plans. You can either do it by yourself or find a contractor for professional design and plans.
  • Work schedule. You should plan the timetable for every single work. Most probably, there will be delaying on it, but you will know where you are at any time.
  • First fixing. When you start a renovation, you should take the required precautions about the infrastructure. You don’t want your house to collapse on you or ruin everything with electrical shortcuts or water leakages while working. You should work on the roof, foundation, and other structural elements to provide this.
  • Demolitions. According to your plans, execute the demolition of walls, flooring, tiles, and other elements and remove them.
  • Construction. This is the main step of renovation. Construct new structural parts and elements according to your plans.
  • Second fixing. Execute all kinds of infrastructural works; heating, HVAC, wiring, plumbing, and others.
  • Bathroom and/or kitchen renovations.
  • Insulation. Execute all insulation works for the infrastructure and walls.
  • Walls. Close all the walls with drywall or structural elements you desire,
  • Finishing. Painting, wallpapering, and other finishing works.
  • Flooring. Finish all the floorings with the planned methods; tiles, laminated, carpet, etc.
  • Cleaning. This is the final step to do before start using your house.

As we mentioned, these are the general steps to follow. Of course, there may be changes in the sequence.

How Much Do Different Improvements Add Value to Houses?


So, it is clear now that home improvements increase the value, and we know which steps to follow for renovation. Now the question is which improvements to make for the highest profit. What renovations add how much value to your house? We will consider a value evaluation of Virginia State.

It is hard to give direct numbers of value increase about an improvement. Sometimes, adding a swimming pool may have less effect if the climate is rather colder. In order to have more accurate evaluations, real estate agencies use the term ROI. Return on Investment, or shortly ROI, is used to measure how efficient or how profitable an investment is. For example, if you spend $1000 on a project, and the ROI is %90, you will have a $900 profit increase with the project. Around 60-90% of ROI is accepted as nominal for home improvements. Of course, the total price of a house is higher than the money you spend, but ROI is the most accurate way to measure the profitability of investments.

So, who defines the ROI? Remodeling magazines collect and provide these numbers with yearly reports. According to one of their detailed survey, the impacts of home improvements are below.

What is the Impact of Kitchen Renovation on House Value?


The kitchen has become increasingly more valuable in recent years because it became a center for gathering and getting socialize more than just a place for cooking and eating. So, we build fancier and more luxurious kitchens, which also affect the total home value more. According to reports, a median of $23,000 of a minor kitchen remodeling investment has nearly $22,000 of total value increase with an ROI of 94,8%. Or a major kitchen remodeling with a median $63,500 cost increases the total value to $54,000 with an ROI of 84,5% for a mid-range house.

kitchen remodeling

But, when it comes to an upscale house, we will see that the total value doesn’t increase as much as we spend. For a major kitchen remodeling, people spend an average number of $120,000. But resale value increases only $90,000 with a rate of 74,3%. But it is still an effective rate.

How Much a Bathroom Remodeling Adds Value to your Home?

Just like the kitchen, bathrooms are an important part of our daily life. So, bathroom remodeling has a high return on investment. As bathrooms are wet spaces, and subject to moist generally, hygiene is very important for bathrooms, and whether small or major, bathroom remodeling has strong impacts.

bathroom remodeling

For a mid-range house, the average bathroom remodeling cost is around $19,000 and investment return will be around $14,500 with a rate of 77%. You can make a bathroom addition with $47,000, and the return will be $32,000 with 68,1% ROI.

As Prime Custom, we give service around Sterling VA, and have all the related data about home improvements. For professional assistance and guidance, you can just contact us, and we will help you to find out the best solutions according to your needs.