Home Upgrades That Pay Off
Some affordable renovations recoup most of their cost when you sell.
The passion for home improvements born during the pandemic, as homebound HGTV fans were inspired to spruce up their surroundings, has only gained steam. In 2022, homeowners spent $472 billion on home improvements and projects reached $485 billion in 2023, according to a study from the Joint Center for Housing Studies at Harvard University.
Generous federal tax credits can help defray the cost of energy efficient improvements that could lower your energy costs and add to the value of your home. But before you head for Home Depot or Lowe’s — or contact a contractor —consider which projects will deliver the largest return on your investment.
A good place to start is the JLC's 2024 Cost vs. Value Report. The report details the average cost of about two dozen home remodeling projects and the estimated value each project retains if the property is sold. Some of the least expensive projects deliver the biggest payoffs.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Replacement garage door. Not glamorous, but the project is a home run as far as home improvements go. The average homeowner can recoup almost 194% of the cost, making this the best project to increase the resale value of your home.
New deck. If you need a more welcoming outdoor space, add a deck to your house that can be used as an outdoor home office by day and an entertainment venue at night. A 16-by-20-foot wood deck costs, on average, $17,051, and you’ll probably need furniture, too.
Revamped windows and door. They don’t give you extra space to work or entertain, but new windows and a new front door will keep drafts (and bugs) out. Plus, tightening up doors and windows will help lower your utility bills. Window cost depend on the material and style selected, and size. This Old House projects a window replacement will cost between $1,105 to $1,730 per window.
Updated kitchen. A kitchen remodel that includes a new countertop, sink and faucet, energy-efficient appliances, and fresh paint costs about $27,492 on average, but will add to your home’s resale appeal. Plus, some utility companies offer rebates for buying energy-efficient appliances and equipment or making other improvements.
After your upgrades have been completed, review your homeowners insurance policy to determine whether you need to make any updates. In the event of a disaster, you want to be sure that your improvements are covered. If you are underinsured you risk not receiving the maximum payout if your home is seriously damaged by a fire or natural disaster.
Bang for the buck
Remodeling magazine compared the average cost of home improvement projects with the estimated value they would retain in 101 U.S. housing markets.
Project | Average Cost | Cost Recouped |
Garage door replacement | $4,513 | 193.9% |
Kitchen update | $27,492 | 96.1% |
New wood deck | $17,615 | 82.9% |
Window replacement (vinyl) | $21,264 | 67.1% |
Entry door replacement (steel) | $2,355 | 188.1% |
Disclaimer
Source: https://www.jlconline.com/cost-vs-value/2024/
Related Content
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
Rivan joined Kiplinger on Leap Day 2016 as a reporter for Kiplinger's Personal Finance magazine. A Michigan native, she graduated from the University of Michigan in 2014 and from there freelanced as a local copy editor and proofreader, and served as a research assistant to a local Detroit journalist. Her work has been featured in the Ann Arbor Observer and Sage Business Researcher. She is currently assistant editor, personal finance at The Washington Post.
- Donna LeValleyRetirement Writer
-
Eli Lilly Stock Rises After Profit, Outlook Top Expectations
Eli Lilly stock is higher Thursday after the pharma giant beat fourth-quarter profit expectations and issued strong 2025 guidance. Here's what you need to know.
By Joey Solitro Published
-
Trump Wants You Out of the IRS, But You'll Have to Wait Until May
IRS Some IRS employees won’t be able to resign using the buyout offer until the end of tax season.
By Gabriella Cruz-Martínez Published
-
The Best ROI? Investing in Yourself This Year
If personal growth is something you invest in only after taking care of all other priorities, it's time to turn that mindset on its head. Here's how to start.
By Frank J. Legan Published
-
Listed: Luxury Ski Town Homes in Colorado
Luxury homes on the market in Telluride and Steamboat Springs, Colorado.
By Alexandra Svokos Published
-
Five Strategies to Defer Capital Gains in Real Estate Investing
These powerful strategies, from timing your sales during low-income years to leveraging qualified opportunity zones, can defer capital gains taxes on your real estate investments.
By Daniel Goodwin Published
-
State Farm Seeks Emergency Insurance Rate Hikes in California After Wildfires
State Farm has requested emergency rate increases of up to 38% in California, citing wildfire-related losses. Here’s what homeowners need to know.
By Carla Ayers Published
-
Here’s What You Should Know About Spirit Airlines’ New Passenger Dress Code
Spirit Airlines’ new passenger dress code asks fliers to cover up, wear shoes and conceal offensive attire or tattoos.
By Rachael Green Published
-
Insurance Bad Faith After Natural Disasters: What to Know
Understanding the basics of insurance claims after catastrophic losses is important, especially if you encounter insurance bad faith. Here's what to do if that happens.
By H. Dennis Beaver, Esq. Published
-
Sorry, Florida, Retirees Just Aren't That Into You
For years, Florida was the go-to state for retirees looking for sunshine, warm temps, sandy beaches and endless ways to stay busy. But those glory days may be over, according to a recent study
By Kathryn Pomroy Published
-
How to Cushion Your Tax Refund From Inflation
If you're planning on receiving a tax refund, there are a variety of strategies you can employ to protect it from rising costs.
By Sean Jackson Published