What Improvements Actually Increase My Home’s Value?

If you’re thinking about selling your home, there’s a question I hear all the time:

“What should I do to my house before I put it on the market?”

And usually, that question is followed by a list.

Should we remodel the kitchen?
Should we replace the flooring?
Should we paint everything?
What about the bathroom?
Do we need new windows?
Should we finish the basement?
What about the roof?

Here’s the truth I’ve learned after years of helping homeowners buy and sell real estate:

The best improvement isn’t necessarily the one that costs the most.

In fact, one of the biggest mistakes sellers make is spending money on improvements that feel like they should add value but don’t necessarily give them the return they expect.

Your goal isn’t to create the nicest house possible.

Your goal is to create the most attractive version of your house for the buyers who are actually going to shop in your price range.

And those are two very different things.

Before You Remodel, Talk to a Real Estate Agent

I know that sounds self-serving coming from a real estate agent.

But there’s a reason I say it.

If you’re considering spending $20,000, $40,000 or $80,000 on your house because you’re planning to sell, I would much rather have you talk to me before you call the contractor.

Why?

Because contractors are experts at construction.

Real estate agents are supposed to be experts at what buyers will pay for.

Those aren’t the same thing.

A contractor might tell you that your kitchen could look incredible with new cabinets, quartz countertops, a backsplash, new appliances and new lighting.

And they’re probably right.

But the question isn’t:

“Can we make this kitchen better?”

Of course you can.

The question is:

“Will the market pay me enough more for this kitchen to justify what I’m about to spend?”

That’s the question that matters.

The Biggest Mistake Sellers Make

One of the biggest mistakes I see is confusing improvement with value.

They aren’t always the same thing.

Let’s say you spend $40,000 remodeling your kitchen.

You may absolutely enjoy the new kitchen. It may make your life better. It may make your home more comfortable.

But when you sell, that doesn’t automatically mean your home is worth $40,000 more.

In fact, national remodeling data continues to show that larger, more expensive discretionary projects often recover a much smaller percentage of their cost at resale than smaller, targeted improvements. The 2025 Cost vs. Value report, for example, found that a midrange minor kitchen remodel nationally recouped about 113% of its cost, while a major midrange kitchen remodel recouped only about 51%.

That’s a pretty important distinction.

More remodeling doesn’t automatically equal more value.

Sometimes the smartest thing you can do is not remodel.

Think Like a Buyer

Here’s a simple exercise I recommend.

Walk through your house and pretend you are seeing it for the first time.

Don’t think like the homeowner.

Think like the buyer.

What do you notice?

Maybe the carpet is worn.

Maybe the walls have 15 years of family photos, kids’ artwork and personalized paint colors.

Maybe the kitchen is functional but dated.

Maybe there’s a stain on the ceiling from an old roof leak.

Maybe the landscaping has gotten a little wild.

Maybe the bathroom is clean but looks like it hasn’t changed since 1998.

Now ask yourself:

“What would make me hesitate to buy this house?”

That’s a much better starting point than:

“What would make this house look cooler?”

Buyers are constantly making mental deductions.

That’s going to need replacing.

I’d have to paint that.

The roof looks old.

I don’t love that kitchen.

What is that smell?

I wonder what that water stain is from.

Every one of those thoughts creates friction.

And friction can cost you money.

So What Improvements Actually Matter?

There isn’t one universal answer because every house, neighborhood and price range is different.

But there are some categories that consistently deserve attention.

1. Fix Problems Before Adding Features

This is probably the most important advice in the entire article.

Fix the problems before you add the pretty stuff.

If your roof is leaking, don’t start by remodeling the kitchen.

If there’s water getting into the basement, don’t spend $15,000 on landscaping.

If the furnace is on its last legs, don’t spend $30,000 on a luxury bathroom.

Buyers may forgive an outdated countertop.

They have a much harder time forgiving uncertainty.

A house that looks dated but is well-maintained can still sell.

A beautiful house with obvious maintenance problems creates questions.

And questions create hesitation.

The 2025 Remodeling Impact Report from the National Association of REALTORS® found that painting and ensuring the roof is in good condition are among the projects real estate professionals commonly recommend before selling.

So start with:

  • Roof issues

  • Water intrusion

  • Plumbing problems

  • Electrical problems

  • HVAC concerns

  • Broken windows

  • Damaged siding

  • Safety issues

  • Deferred maintenance

Protect the value you already have before trying to create additional value.

2. Paint: The Boring Improvement That Can Make a Big Difference

Paint isn’t exciting.

Nobody is sitting around at night dreaming about eggshell white walls.

But buyers notice paint.

A fresh, neutral color can make a home feel cleaner, brighter and more move-in ready.

And that’s the goal.

You don’t necessarily need to paint the entire house.

If the walls are already in good shape, leave them alone.

But if you’ve got dark colors, excessive personalization, scuffed walls or rooms that look tired, paint can be one of the better places to spend money before selling.

The trick is not to paint because you are tired of the color.

Paint because the current condition is creating a buyer objection.

There’s a difference.

3. Flooring: Buyers Notice What’s Under Their Feet

Flooring can have a surprisingly large psychological impact.

Walk into a house with dirty carpet, damaged flooring or five different flooring types throughout the home and buyers notice.

They may not say:

“The flooring is reducing my perceived value of this property.”

But they’re thinking:

“We’re going to have to replace this.”

That’s what matters.

Sometimes the answer is replacement.

Sometimes it’s professional cleaning.

Sometimes hardwood can be refinished instead of replaced.

Sometimes a damaged section can be repaired.

Again, the goal isn’t necessarily new.

The goal is clean, cohesive and well-maintained.

4. The Kitchen: Don’t Automatically Gut It

The kitchen is important.

But that doesn’t mean you should automatically spend $60,000 remodeling it.

Sometimes a kitchen needs a complete renovation.

Sometimes it needs a facelift.

And sometimes it simply needs to be cleaned.

A minor kitchen update might include:

  • Painting or refinishing cabinets

  • Updating hardware

  • Replacing outdated lighting

  • Updating countertops

  • Replacing one or two obviously dated appliances

  • Improving organization

  • Updating the backsplash

The 2025 Cost vs. Value data reinforces this idea: minor kitchen remodels have historically performed much better at resale than major upscale kitchen renovations when measured strictly by cost recouped.

That’s a huge lesson.

Don’t build the kitchen you wish you had if you’re about to sell. Build the kitchen buyers in your market expect.

5. Bathrooms: Clean and Functional Beats Over-the-Top

Bathrooms are similar.

You don’t necessarily need a spa.

You need a bathroom buyers don’t immediately put on their mental renovation list.

Start with:

  • Deep cleaning

  • Fresh caulk

  • Clean grout

  • Updated lighting

  • Fresh paint

  • Updated fixtures

  • A newer vanity or mirror if needed

  • Addressing any leaks or damage

A midrange bathroom remodel can make sense in the right situation.

But an expensive luxury bathroom isn’t automatically a smart investment before selling.

The 2025 Cost vs. Value data puts the average cost recovery for a midrange bathroom remodel around 80% nationally, which means sellers should think carefully about whether they’re remodeling for resale or remodeling because they personally want the upgrade.

If you’re staying for another ten years?

Different conversation.

If you’re listing next month?

Very different conversation.

6. Curb Appeal Is More Important Than Many Sellers Realize

Your home’s first showing happens before the buyer walks through the front door.

They see the street.

Then the driveway.

Then the yard.

Then the front door.

And they’re already forming an opinion.

That’s why relatively simple exterior improvements can make a disproportionate difference.

Things like:

  • Trimming overgrown landscaping

  • Fresh mulch

  • Cleaning siding

  • Washing windows

  • Pressure washing

  • Improving the front entry

  • Updating house numbers

  • Exterior lighting

  • Repairing damaged siding

  • Replacing a tired garage door when appropriate

Interestingly, exterior projects dominate the top of the 2025 Cost vs. Value rankings. Garage door replacement, steel entry door replacement and manufactured stone veneer ranked among the highest-return projects nationally.

That makes sense.

A buyer can’t unsee a house that looks neglected from the street.

But they can easily fall in love with a house that makes a great first impression.

7. Don’t Over-Improve Your Neighborhood

Here’s where I see homeowners get into trouble.

They look at their house and think:

“If I make it nicer, it’ll be worth more.”

Up to a point, yes.

But your neighborhood has a ceiling.

If comparable homes are selling around $400,000, putting $100,000 into renovations doesn’t automatically turn your house into a $500,000 house.

The market doesn’t work that way.

Buyers compare.

They look at your home and then they look at the other five homes they can buy.

Your house doesn’t exist in a vacuum.

That’s why an experienced agent should be able to tell you:

  • What comparable homes are selling for

  • What the highest-performing homes have in common

  • What buyers expect at your price point

  • Where your home falls short

  • Which improvements actually matter

  • Where you are already good enough

That last one is important.

You don’t need to improve everything.

8. The Most Valuable Improvement Might Be the One You Don’t Make

This is one of my favorite conversations to have with sellers.

Sometimes I’ll walk into a home and a homeowner will apologize for something before I’ve even said anything.

“Sorry about the kitchen.”

“Sorry about the carpet.”

“Sorry about the bathroom.”

And I’m thinking:

The house isn’t nearly as bad as you think it is.

Homeowners live with their houses every day.

They see every imperfection.

Buyers don’t necessarily see it the same way.

That’s why getting an outside perspective before you start writing checks can be so valuable.

You might discover that the $30,000 project you were considering isn’t necessary.

Maybe $4,000 of targeted improvements gets you 80% of the benefit.

That’s a much better conversation.

9. How to Decide What to Improve

Before spending money, put every potential project through five questions:

1. Does it fix a problem?

If yes, move it toward the top of the list.

2. Will buyers notice it?

If buyers aren’t going to notice, think carefully about spending the money.

3. Is it expected at my price point?

A $700,000 buyer may expect different finishes than a $300,000 buyer.

4. What are comparable homes offering?

Your competition matters more than your Pinterest board.

5. What is the likely return?

You don’t need an exact prediction.

But you should understand the relationship between the cost and the likely benefit.

10. This Is Why Choosing the Right Real Estate Agent Matters

And this brings us to something bigger.

When you’re interviewing real estate agents, don’t just ask:

“What would you list my house for?”

Ask:

“What would you do if this were your house?”

Then listen carefully.

Do they immediately tell you to remodel everything?

Do they give you a giant list of things to fix?

Do they simply tell you what you want to hear because they’re trying to win the listing?

Or do they explain why certain improvements matter and why others don’t?

A great agent should be willing to tell you:

“Don’t spend the money.”

That’s not always the easiest thing for an agent to say.

But it’s often the most valuable advice they can give you.

The Best Pre-Listing Strategy Isn’t “Remodel Everything”

It’s prioritize everything.

I like to think about improvements in three categories:

FIX IT

These are things that could create serious buyer objections or inspection problems.

Roof issues.

Water problems.

Safety concerns.

Broken systems.

Deferred maintenance.

IMPROVE IT

These are things that could materially improve the home’s presentation or competitiveness.

Paint.

Flooring.

Lighting.

Landscaping.

Targeted kitchen or bathroom updates.

LEAVE IT ALONE

This category is just as important.

If something is clean, functional and acceptable for your market, you may not need to touch it.

Not every outdated feature needs to be replaced.

Not every room needs to be remodeled.

Not every dollar you spend will come back to you.

The Bottom Line

If you’re planning to sell your home, don’t start by asking:

“What can I remodel?”

Start by asking:

“What will matter to the buyer?”

That’s a much better question.

The best improvement isn’t necessarily the newest countertop, the most expensive flooring or the biggest kitchen renovation.

It’s the improvement that removes an objection, improves the buyer’s first impression or helps your home compete more effectively—without unnecessarily eating into your equity.

And that’s exactly where a good real estate agent should earn their money.

Before you spend $10,000, $20,000 or $50,000 getting your house ready for sale, have an experienced agent walk through it with you.

Ask them:

  1. What would you fix?

  2. What would you improve?

  3. What would you leave alone?

  4. What are buyers going to notice?

  5. What are the competing homes doing?

  6. Where would you spend your money if this were your house?

Because the goal isn’t to have the most improved house in the neighborhood.

The goal is to make the smartest investment before you sell.

And sometimes, the best advice an agent can give you is:

“Save your money. You don’t need to do that.”

Ready to take the next step? Reach out to the Reliance Real Estate Team today!

https://www.reliancerealestateteam.com/contact/

414-659-6965 / jsingsheim@kw.com

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