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Home renovations vary widely; some have a high return on investment while others do not pay back. It’s important to know the best – and the worst – renovations so you can determine which ones to carry out in your home.


Home renovations that pay off are impersonal and neutral while those that don’t pay off are personalized. If your main purpose for renovating your home is to sell it, avoid renovations with a low return on investment. Here are some you should steer clear of.

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Installing a Backup Generator

Though you may feel the need to add a backup generator to counter power outages, it’s not worth it. The generators cost between $2,000 and $20,000 and their average return is approximately 60%.

Unless your home’s location necessitates the use of a generator, consider investing in other house renovations that will give you value for money. While a standby generator may impress buyers, they may not make an offer because of the added costs it brings.


A Swimming Pool

A swimming pool may look gorgeous but think twice before getting one. It doesn’t add value to a house because most people can live without one. Swimming pools are also high-maintenance and are not ideal for all climates.


Potential buyers, especially those with small children, may see a swimming pool as a liability. If you install one, make sure it adds value to your home – most houses in most expensive neighborhoods have pools. A swimming pool is more for the family to enjoy than as an investment to increase the value of your home. 


A Major Kitchen Remodel

You may have considered remodeling your kitchen at one point or another. But as tempting as the idea may be, avoid a major kitchen remodel. It is one of the home upgrades that don’t pay off. Costing approximately $60,000, you’ll be lucky to get 50% back. Try a minor kitchen remodel if you want to get value for your money. 


Adding a Bathroom

If you really want to add an extra bathroom, make sure it’s not for the purpose of increasing your home’s resale value. Any additions to a house’s square footage are rarely worth it and this includes a bathroom addition. According to studies on home renovations, a bathroom addition has one of the lowest returns – 56%.


Very Specific Rooms

When renovating to sell, you need to look at your home through the eyes of buyers. It is important to have rooms that prospective buyers can see themselves living in. For example, a buyer may not be interested in your art room and may have other ideas for the room.


A recreation room and a sun room do not have a high ROI (Return On Investment). They are not must-haves for buyers as they won’t see the purpose they will serve. With a ROI of less than 50%, they should be avoided.

 Renovations are a great way to transform your home but not all offer value for money. Think carefully and research thoroughly before undertaking any home renovations. Buyers are your main target and you don’t want to drive them off.


Before you embark on making home renovation for the purpose of increasing the value of your home call Sell or Dwell. We would be happy to sit down and review which renovations would add value to your home and how much value you might expect.