- Prepare in advance. Many home sellers invest in improvement projects before listing to generate interest in their property.
- Soon-to-be sellers should consider improvements with an expected high return on investment (ROI) at resale — and avoid projects that have a low ROI.
- Data shows that some of the least expensive projects have the greatest impact on a sale, such as a garage door or entry door replacement.
Many homeowners dream of making improvements and upgrades to their homes before selling, but they don’t always look into how much of their upfront cost will be recouped when selling.
When you sell your home, you want to get the best value possible. That’s why we dove into the Remodeling 2020 Cost vs. Value Report (costvs.value.com) to find the top five home improvement projects with the best ROI for the Minneapolis area. Follow along for insights you can use as you determine which home improvements will earn you the most bang for your buck.
1. Garage door replacement
Resale value: $3,757
Cost recouped: 96.1%
If your garage door has dings and dents, it may be time to replace it. For this project, you’ll remove and properly dispose of your existing garage door and its tracks. You’ll then install a new steel garage door (16x7 feet) on fresh galvanized steel tracks. You can continue to use your current motorized opener. The cost of this project includes a lifetime warranty on the garage door.
When buying the door, pay attention to your own moving plans and timeline. A long-term warranty will be beneficial if you’re not planning to sell imminently; in that case, the upgraded door will remain an attractive, functional feature for future buyers — and you can enjoy the benefits of the exterior upgrade now.
However, you may find that you can get the cost of the door down if you choose to forgo the lifetime warranty or opt for a one-year warranty, which is more common.
2. Siding replacement (fiber-cement)
Resale value: $13,667
Cost recouped: 68.5%
Siding works to shield your home from exterior elements while also providing structure to your house. If your current siding is getting damaged or starting to look dingy, replace it with new fiber-cement siding. The new siding should be factory primed and painted with trim pieces for all openings and corners. Be sure to install new siding in compliance with manufacturer’s specifications to have siding that performs well over the years.
In addition to protecting your home, the right siding can add an extra burst of curb appeal to your property. And if you’re aiming to sell, this upgrade is bound to catch the eyes of potential buyers.
Prefer to use vinyl siding? This is a popular option and it’s actually a bit cheaper; the typical project cost to replace vinyl siding in Minneapolis is just shy of $17,000. However, the ROI is quite a bit lower, at 56.4%.
3. Manufactured stone veneer
Resale value: $7,300
Cost recouped: 67.7%
If you’ve seen new construction homes over the last few years, you know that partial stone veneers are all the rage. Current homeowners can also freshen up an aging exterior by adding a stone veneer accent to the bottom third of their home.
To complete this project, you’ll first remove the bottom third of siding from the street-facing side of your home exterior (a 300 square foot continuous band). Begin by removing the existing siding from the garage and around the main entry, and end near the corner of the side addition. Next, you’ll replace this area with a stone veneer, including 36 linear feet of sills, 40 linear feet of corners and one address block. The installation also includes protection against water damage and corrosion.
You’ll be amazed at how this easy stone addition gives your home’s exterior a modern facelift!
4. Entry door replacement
Resale value: $1,359
Cost recouped: 67.2%
You’ve probably heard of painting a front door in an exciting color to add extra interest to the front of your property when selling a home. But if your door is made of wood or another outdated material, it may be time to consider an upgrade.
For this project, you’ll replace your current door with a new 20-gauge steel door that includes a double window panel. The door’s factory finish-color is the same on both sides, and the project also includes a new casing (either brick mold or popular casing) that matches the door color. The cost for this project includes a budget for a brand-new lockset to accompany the door.
5. Window replacement (vinyl)
Resale value: $12,524
Cost recouped: 65.4%
Quality windows are built to last around 15 to 20 years. If you’re coming up on that timeframe, it may be worth it to consider a vinyl window replacement — and considering the expected lifetime of windows, you can rest assured that this project will remain beneficial for years to come.
If you’re ready to exchange your old windows for a new set, begin by replacing 10 existing windows (3x5 feet) with new, insulated, vinyl windows. This project accounts for custom-color exterior finish and exterior trim. Note: the interior trim can remain in place.
Note that if you’d prefer to replace your existing windows with wood windows, the cost over vinyl is just a bit higher, at $22,829. The ROI at resale is also a bit lower, at 63.1%.
Interested in more home improvement projects?
Wondering what other remodeling projects were reviewed for the Minneapolis region? Check out the complete Remodeling 2020 Cost vs. Value Report for our area.
For more information on listing your home for sale or preparing your property for a house showing, reach out to Edina Realty or one of our agents. We can help you with everything related to the home selling process.