If you're planning home improvement projects but aren't sure which ones have high returns on investment (ROI), know that several fit the bill, with a garage door replacement being the top one. Installing a new entry door and replacing outdated siding are other ideal options.
Investing in high ROI home remodeling projects has become even more crucial nowadays, as "personal satisfaction" is no longer enough to justify their worth. You need to get the most "bang for your buck," as building material and labor costs have soared so much.
A report published by the National Association of Home Builders, for instance, notes that the prices of building materials have increased by 3.5% year over year. It's the largest annual surge since early 2023.
By taking the time to do your research, you can determine which interior and exterior updates to prioritize this year.
What Increases House Value Most?
In many cases, home improvement projects that add the most value to a house are those designed to improve the property's functionality, curb appeal, or both.
Elements that make a home more energy efficient are also attractive selling points, so properties with these features often experience a value boost. Likewise, extending a property's livable space can add to its worth.
What Can Devalue Your House?
Just as many home improvement projects can enhance property value, several things, particularly practices, can also lower its worth, with negligence (a lack of maintenance and deferred repairs) being the primary culprit.
Let's say a home has little to no curb appeal because it has:
- Dead or overgrown landscaping
- Worn-out hardware (e.g., faded mailbox numbers, peeling gate hinges, or rusted door handles)
- A faded or dirty exterior
- Siding materials that are falling apart
In that case, potential buyers, upon seeing the house from the street (which is what "curb appeal" is about), will likely get put off by the property's appearance. The odds are high they'll assume the house is just as bad, if not worse, inside.
Such assumptions and first impressions can then result in a significant dip in the house's perceived value. Depending on its actual state, the property's appraised value can also be lower, particularly if it requires major structural repairs.
What High ROI Home Improvement Projects Should You Consider Taking on This Year?
Per the Journal of Light Construction's 2025 Cost vs. Value Report, a garage door replacement has an ROI of 268%. It boasts the highest returns out of 28 remodeling projects studied. Other top-rankers include:
- Steel entry door replacement: 216% ROI
- Manufactured stone veneer: 208% ROI
- Siding replacement: 114% ROI
- Minor kitchen remodel: 113% ROI
Here's a closer look at these projects and why they deliver high ROIs.
Garage Door Replacement
Replacing an old garage door, particularly if your existing one is rusty and rickety, can yield high returns because it's a high-impact aesthetic and functional upgrade. With the garage door taking up a considerable portion of your home's façade, it has a significant impact on curb appeal.
Getting a new garage door is also functional, as it enhances home security with materials like reinforced steel. It can resist forced entry much better than older, flimsier doors. You can even incorporate smart technology in today's garage doors to help prevent security breaches and unauthorized access.
Steel Entry Door Replacement
Like a garage door replacement, swapping your old entry door with a new steel one can deliver high ROI because it can boost curb appeal and home security.
A well-constructed, properly insulated steel entry door can also enhance energy efficiency by minimizing heat transfer and air leakage. As a result, it can help protect you from skyrocketing energy bills.
Manufactured Stone Veneer
Also referred to as architectural stone, faux stone, or cultured stone, manufactured stone veneer (MSV) is a lightweight surfacing material designed to mimic the appearance of natural stone. Aside from its aesthetic value, it has functional properties, providing the following uses and applications:
- Durable interior and exterior façades
- Landscaping
- Accent walls
- Protective, lightweight, and energy-efficient barrier
Siding Replacement
Another idea for a high ROI improvement project is to work with siding installers and replacement specialists.
You can recoup a lot from your initial investment, as installing or replacing siding delivers an immediate and dramatic boost to your home's curb appeal, given that it takes up a good amount of your property's façade. It also has other functional benefits, including:
- Providing an extra layer of protection against pests
- Minimizing moisture penetration
- Improving energy efficiency
Minor Kitchen Remodel
Minor kitchen upgrades like replacing dated hardware and scuffed cabinet fronts can lead to high returns on investment. Other exceptional cost-recouping ideas include:
- Replacing dated cooktops, oven ranges, and refrigerators (and opting for new, more energy-efficient models)
- Swapping out laminate countertops
- Installing mid-priced sinks and faucets
- Adding new, resilient, and slip-resistant flooring
Frequently Asked Questions
Are DIY Home Improvement Projects Safe?
Minor home improvement projects (e.g., replacing small, worn-out exterior hardware on mailboxes and fences) are safe to DIY, provided you have the necessary skills and use proper safety gear.
You should, however, leave larger projects, particularly those that involve heights, electricity, plumbing, or digging, in the hands of professionals. Examples include siding installation and garage door replacement.
The same goes for a full kitchen renovation or a complete bathroom remodel, as the job would likely involve electrical, plumbing, and digging work.
Why Should You Invest in Home Improvement Projects?
If you invest in home improvement projects, you can increase your property's value and boost its marketability if the day comes that you want to sell it. Even if you plan to age in place and live in the same house for as long as you can, functional and aesthetic updates can enhance your daily comfort.
Improvements also let you get more enjoyment out of your home. Projects that improve energy efficiency, such as new doors, siding, and modern appliances, can even help you save on your energy bills.
Time to Plan Your High ROI Home Improvement Projects
From a garage and entry door replacement to new siding and minor kitchen updates, these are all high ROI home improvement projects to consider taking on this year. With these enhancements, you can boost your property's curb appeal, function, and overall value.
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