Conventional wisdom says that a new kitchen and bathroom are the route to higher house prices, but conventional wisdom is wrong. The increased price and labour costs mean the ROI on the old classics just isn’t there anymore, and you need to look elsewhere for home improvements that will add value to your home and pay for themselves in the process.
The 2024 Cost vs Value Report revealed that a minor kitchen remodel has an ROI of 96%, while the ROI on a major bathroom remodel is just 74%. You will lose money on both, and you’re better off saving the money and leaving the headaches of doing those jobs to the buyer.
There are, however, key improvements that won’t cost the Earth and will give you an incredible return on your investment when you get a house valuation.
Exterior remodelling and landscaping are the first port of call if you’re serious about making more money from your property sale, and that has been the case for 30 years.
A recent report from Rightmove revealed that a well-maintained garden could boost your home’s value by as much as 5-15%, depending on the scale. The average house price was £294,910 in December 2024, so getting the garden tools out could be worth more than £44,200. In America, a study by the National Association of Realtors found that failing to maintain your outside space can hit the sale price by as much as 30%, so this can be the single biggest value add when selling your home.
Another study by Rated People showed that investing £1-3000 in a new patio can add 5-10% to your house price. Other research by MyBuilder reveals that investing £2000-£5000 in a new driveway can add 10% to your house price.
Other basic enhancements that instantly cover their costs and a lot more include a new garage door. One famous Zillow study showed that painting your front door black can be all it takes to boost your house price by 2.9%, although it will narrow your buyer pool.
Rising power bills and increasing environmental awareness mean energy efficiency is an increasingly big deal when selling your home. According to the Mortgage Advice Bureau, 71% of buyers consider the EPC rating to be an important factor when buying a home, and improving your home from a category F or G to a C could add 19.4% to your house price. More conservative figures suggest a jump of 1.7% from a category D to a C.
Transforming your home’s energy efficiency can be as simple as fixing your insulation, with loft and cavity wall insulation costing as little as £3,200. Switching out an old boiler can also significantly impact your EPC rating and home’s marketability, with an A-rated condensing boiler costing £2000-£4000 on average.
According to one study, this can improve your EPC score by 8 points, cut the annual bills by £580, and increase your home’s value by as much as 4%. Heat pumps are another option, although the installation costs can be more expensive.
If your home has single-glazed windows, then double-glazing could be a solid investment. The average price for a 3-bedroom house is £4000, with basic uPVC frames, and the investment can pay off with a 10% boost to your home’s value. Reduced energy consumption is just the start, as double glazing cuts noise pollution, contributes to a cleaner look on the exterior and should help your home sell faster.
While bathroom and kitchen remodelling doesn’t pay off, adding living space to your home can make a huge difference to the overall price.
Loft conversions can cost less than £30,000 if you opt for a simple Velux conversion, with windows in the existing roof structure, or up to £65,000 for a Maynard Conversion that fundamentally alters the structure to give you more space. Modifying a cellar can cost up to £1,600 per square meter, so it’s a significant undertaking, and the bills can spiral if you run into complications. You may also need to consider planning permission for structural changes, which can add layers of complication and cost.
The HomeOwner’s Alliance numbers suggest the simple Velux conversion has the best ROI, and the additional living space can add up to 20% to the value of your home.
You might think the classic bathroom and kitchen remodel are the best places to spend your money when it comes to selling your home, but that’s not the case. Start in the garden, then focus on energy efficiency if you want to boost your home’s value and get the best bang for your buck.
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