10 Home Upgrades That Boost Resale Value — and How to Pay for Them – Motley Fool

Like most HGTV addicts, I caught the home renovation bug early on. It's difficult to avoid when designers are throwing around phrases like "clean and open" and "repurposed and refreshed." And yet, there's another phrase that isn't said nearly enough: return on investment (ROI).

Curb appeal, durability, and ample living space are important to prospective buyers, as evidenced by the upgrades listed in Remodeling Magazine's 2017 cost vs. value national report. Ifselling your home is on the horizon, keep these 10 renovations and their ROIs in mind to help you secure a greater profit.

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1. Entry door (90.7%): Form and function meet when you replace your entry door with a reinforced steel door. The appeal of safety coupled with an updated look will allow you to recoup nearly all of your investment.

2. Manufactured stone veneer (89.4%): Vinyl siding won't earn you as much when it's time to sell, but replacing it with a stone faade will increase your home's value by about $7,000.

3. Garage door (76.9%): A steel-tracked model with built-in insulation will cost you about $1,750, but this upgrade will appeal to buyers who value car safety and a warm commute during the winter months.

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4. Vinyl window replacement (73.9%): Old homes have a certain charm, but not if they're drafty. This update is an expensive one at $15,282, but you can tout a commitment to energy efficiency on the MLS listing once it's complete. You'll also qualify for a tax credit if your windows are certified by Energy Star (more on that here.)

5. Siding replacement (76.4%): Siding protects your home and brightens up an outdated property. Buying and installing 1,250 square feet of vinyl siding will cost just over $14,500, but the low-maintenance material will last decades longer than other siding options..

image source: Getty images.

6. Minor kitchen remodel (80.2%): The kitchen is the heart of the home, and it's no surprise that buyers are interested in aesthetic appeal. A $21,000 budget will allow you to reap a decent return, but keep in mind that this number can decline quickly if you make too many costly changes.

7. Two-story addition (71.1%): Adding a second floor to your home may seem over the top, but it's worth it when the housing market is booming. For instance, while Remodeling Magazine's national report estimates a 71.1% return, their regional report for Seattle projects a 90.6% return due to a competitive market. Take a closer look at the earning potential in your neighborhood to learn if adding an addition is a lucrative option.

8. Basement remodel (70%): Basements are usually reserved for the ever-popular man cave or children's playroom. Cash in on nostalgia by updating the sub-level floor of your home. Renovations that include weatherproofing could also lower your home and flood insurance premiums.

image source: getty images.

9. Grand entrance (70.1%): A fancy entrance gives your home that "wow" factor buyers are looking for, and adding a simple fiberglass gable above your front door's exterior can make your property more inviting.

10. Family room addition (69.3%):Open floor-plans are all the rage in today's market, and adding 400 square feet of living space can set you apart in an older neighborhood. This renovation doesn't come cheap at an average cost of $89,500, but the rewards could be greater depending on your location.

image source: getty images.

These upgrades sound great, but earning a profit means closing the gap between your initial investment and the estimated payout. While your ROI potential depends largely on your local real estate market, save as much renovation money as possible with these options:

image source: getty images.

image source: getty images.

It's still a buyer's market in most U.S. neighborhoods, but it's possible to secure a seller's profit with a little creativity. Take advantage of your local market research and look for ways to make your home the best on the block.

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10 Home Upgrades That Boost Resale Value -- and How to Pay for Them - Motley Fool