What Renovations Increase Home Value the Most? Top 7 Ranked by ROI

Reading Time — 8 minutes

Published: May 4, 2026

Author: Opendoor Editorial Team

If you want to know what renovations increase home value the most, the answer isn’t a kitchen gut or a master suite addition. According to Zonda’s 2025 Remodeling Cost vs. Value Report, the highest-returning renovations are almost all exterior replacements — and a few of them pay back more than double what you spend. This article ranks the top 7 by ROI, with real cost and resale figures so you can make a decision based on data, not guesswork.

What renovations add the most value to a home?

The single most important finding from the Cost vs. Value data: exterior projects outperform interior remodels on ROI, consistently and by a wide margin.

The reason comes down to two factors:

1. Lower labor costs. Exterior replacements (a garage door, a front door, stone veneer) involve less demolition, less customization, and faster installation than interior remodels. Labor is the biggest cost driver in any renovation — lower labor means more of the project cost translates to resale value.

2. First impressions drive perceived value. Real estate professionals consistently rate curb appeal as a primary factor in buyer willingness to pay a premium. A buyer forms an opinion before they walk through the door.

Interior renovations aren’t worthless — a minor kitchen refresh still returns solid ROI — but the idea that a major kitchen remodel “adds the most value” is a myth the data doesn’t support. Major kitchen renovations typically recoup only 38–50% of their cost at resale.

The framework: if you’re renovating to sell, prioritize exterior replacements first. If you’re renovating to live in the home for 5+ years, factor in personal enjoyment alongside resale math.

For a broader look at what drives your home’s market price, see our guide to home value factors.

Top 7 renovations ranked by ROI

Data source: Zonda’s 2025 Remodeling Cost vs. Value Report (national averages). ROI = resale value added divided by project cost.

#1 Garage door replacement — ~268% ROI

Average cost: ~$4,500
Average resale value added: ~$12,000+
ROI: ~268%

Garage door replacement has ranked #1 in the Cost vs. Value report for two consecutive years. The jump in ROI from 2024 to 2025 was the largest year-over-year increase of any project tracked — up over 74% from the prior year’s figure.

Best for: Any home with an attached garage and a door that’s more than 10 years old or visually dated.

#2 Manufactured stone veneer — ~208% ROI

Average cost: ~$11,000
Average resale value added: ~$23,000+
ROI: ~208%

Stone veneer delivers ROI above 200% because it transforms the perceived quality of a home’s exterior at a fraction of the cost of real stone. Buyers associate stone with premium construction; manufactured veneer is visually indistinguishable at street level.

Best for: Homes with dated front siding in mid-range to upper-mid-range price brackets.

#3 Minor kitchen remodel — ~113% ROI

Average cost: ~$27,500
Average resale value added: ~$31,000+
ROI: ~113%

A minor kitchen remodel is the one interior project that reliably pays back more than it costs. The key is restraint: this is a refresh, not a transformation. New cabinet fronts and countertops give the kitchen a current look without the demolition costs that kill ROI on full remodels.

Best for: Kitchens that are functionally intact but visually dated. If the layout works and the bones are good, a minor refresh is the right move.

#4 Steel entry door replacement — ~216% ROI

Average cost: ~$2,400
Average resale value added: ~$5,200+
ROI: ~216%

Entry door replacement is the lowest-cost project in this ranking and one of the highest-returning. At roughly $2,400, it’s an accessible renovation for almost any seller. It improves curb appeal, energy efficiency, and security — three factors buyers consider consciously or unconsciously.

Best for: Any home with an entry door that’s more than 15 years old, shows wear, or doesn’t match the visual update of other recent renovations.

#5 Fiber cement siding replacement — ~114% ROI

Average cost: ~$20,000
Average resale value added: ~$22,800+
ROI: ~114%

Fiber cement siding is among the best full-facade investments for a home with visibly aging or damaged siding. Buyers and appraisers respond strongly to new siding because it signals zero deferred maintenance — one of the biggest discount factors in a buyer’s negotiation.

Best for: Homes with siding that’s cracking, fading, or showing significant age.

#6 Deck addition (wood) — ~95% ROI

Average cost: ~$17,600
Average resale value added: ~$16,700+
ROI: ~95%

A wood deck is the best-returning outdoor living addition in the Cost vs. Value data. While it doesn’t recoup 100% of its cost nationally, it performs above average for a mid-range addition project and is a consistent buyer preference, particularly in markets with outdoor living seasons of 6+ months.

Best for: Homes without existing outdoor living space in markets where decks are a buyer expectation.

#7 Mid-range bathroom remodel — ~80% ROI

Average cost: ~$25,000
Average resale value added: ~$20,000+
ROI: ~80%

A mid-range bathroom remodel is the most common interior renovation sellers undertake — and at 80% ROI, it’s a solid performer, though it doesn’t return more than it costs. The “mid-range” designation is important. Luxury bathroom remodels (heated floors, freestanding soaking tubs, designer tile) return significantly less — often 50–60% — because the cost spike isn’t proportionally rewarded at resale.

Best for: Bathrooms with outdated fixtures, dated tile, or visible wear that would give buyers a reason to negotiate down.

Major renovations with lower ROI: what the data shows

Several popular renovations consistently underperform on resale return. Understanding why helps you avoid expensive mistakes.

• Major kitchen remodel (upscale): ~38–50% ROI

• Primary suite addition: ~35–50% ROI

• Upscale bathroom addition: ~53% ROI

• Swimming pool: ~50–60% ROI (market-dependent)

The consistent pattern: the more expensive and custom the renovation, the lower the ROI. Buyers don’t pay you back for taste — they pay for condition, function, and curb appeal.

How to choose which renovations to do before selling

Not every home needs all seven of these projects. Use this framework to prioritize:

Step 1: Start with condition, not aesthetics.
Any renovation that addresses deferred maintenance (failing siding, damaged roof, broken systems) returns more than cosmetic upgrades. Buyers discount visibly neglected homes by 10–20% — fixing condition issues removes that discount before adding cosmetic value.

Step 2: Apply the ROI ladder.
From this list: garage door > steel entry door > manufactured stone veneer > minor kitchen refresh > fiber cement siding > deck (if no outdoor space exists) > bathroom remodel. Stop when your remaining renovation budget returns less than 80% ROI.

Step 3: Check your market.
The Cost vs. Value data is national. Markets vary significantly — a deck in Phoenix returns differently than a deck in Boston. Check what comparable recently sold homes in your zip code have, and match that baseline. Which improvements increase home value in your specific market may differ from national averages. For detailed ROI breakdowns on specific projects, see do new windows increase home value and do hardwood floors increase home value.

Step 4: Get an offer before you renovate.
This is the step most sellers skip. Before spending $20,000 on a kitchen refresh, know what your home is worth as-is — and what it would be worth after. The delta tells you whether the renovation pays. Opendoor can give you a cash offer on your home before you make any improvements, so you can compare your options.

For more tactics to boost your home’s market price, see our full guide on how to increase your home’s value.

Frequently asked questions

#### Is it worth renovating before selling?
It depends on the renovation. Exterior replacements (garage door, entry door, stone veneer) almost always return more than they cost and are worth doing. Major interior remodels (full kitchen, additions, luxury bathrooms) typically don't recoup their cost and are not worth doing purely for resale. The key question is: does the cost vs. value math work in your market at your price point?

#### What renovation adds the most value to a home?
According to the 2025 Remodeling Cost vs. Value Report by Zonda, garage door replacement adds the most value relative to cost — returning approximately 268% ROI nationally. In absolute dollar terms (total value added), fiber cement siding replacement and manufactured stone veneer add more total dollars, but at higher project costs.

#### What home improvements don't add value?
Luxury upgrades in non-luxury-market homes (high-end appliances in a $300K home, marble countertops in a starter neighborhood), highly personalized renovations (bold color schemes, niche design choices), and large additions in markets where the home is already near the top of neighborhood comps. Swimming pools are a liability in cold climates and add limited value even where they're popular.

#### How much do renovations increase home value?
It varies by project. Minor kitchen remodels and exterior replacements often return 100–268% of their cost. Midrange bathroom remodels return ~80%. Major renovations return 38–55%. As a rough rule: budget for a maximum of $1 in renovation spending for every $1.50 you expect to recover at resale — and only in the categories where data supports that return.

#### Should I renovate or sell as-is?
In most cases, sellers who get an offer first and then evaluate the renovation math make better decisions than those who renovate on assumption. If you're considering selling, get an Opendoor offer first — it's free, there's no obligation, and it gives you a concrete baseline to compare against your post-renovation estimate.