Owning a home is a big investment, but continuing to upgrade and invest in it can help ensure that it retains if not increases its value. Remodeling Online produced their "Cost Vs. Value" report for 2007 on the top projects for a return on investment. Here are the top ten remodeling projects by ROI.
1. 85.4% Wood deck addition--Not only does a wood deck give you a place to have barbecues and lay out in the sun, it adds value to your home.
2. 83.2% Siding replacement--This ROI percentage is based on homeowners who installed vinyl siding to their homes. You may also want to consider brick, stone, stucco, aluminum, or wood materials for your siding.
3. 83% Minor kitchen remodel--Giving your kitchen a face lift with new cabinet faces and some other upgrades can be a smart investment. A minor remodel may also be a middle of the road route so that your entire kitchen isn't completely torn up.
4. 81.2% Wood window replacement--Those rotted out, bleeding-winter windows need to go. Consider double or triple-glazed windows with low-E (low emissivity, meaning you won't be freezing your you-know-what off because less cold can get in).
5. 79.3% Vinyl window replacement--Much like wood windows, vinyl window replacements can be a step in the right direction for a more comfortable home. Plus, a low-E also means you won't be frying quite so much as the mercury rises this summer.
6. 78.3% Bathroom remodel--The mildewed and leaky faucets you can live with, but the 1970's wallpaper and linoleum flooring are too much! It's time for a bathroom remodel.
7. 78.1% Major kitchen remodel--Oh heck, let's go for the whole shebang and remodel the entire kitchen.
8. 76.6% Attic bedroom remodel--Cleaning out the bats from your home's belfry can mean turning the attic into a guestroom or into a bedroom for a family member looking for his or her own space away from the household bustle.
9. 75.1% Basement remodel--Basements don't need to be dank refuges for the spider population. Nowadays, basements can be prime spots for media rooms or man caves--a guys' space for beer, sports, and foosball.
10. 73.9% Two-story addition--When there's no more space to go out, it's time to build up. This is the perfect time for you to make space for a guestroom, bedroom, media room, or even that den you've been talking about for the last five years.
These are the top projects to put cash back into your pocket, but keep in mind that they are national averages. You may get more or less of a return on investment depending on the region in which you live. For instance, a siding replacement in New England snags you a 91.7% ROI, and a deck addition in the Pacific region brings in a 108% ROI.
With a little elbow grease and some cash, you could be on your way to a great update to your home and increased value in your prize possession.