PEARLAND Blog

Pearland Home Improvement Projects that Provide a Great ROI

Whether you're looking to put your home on the market soon or you're just trying to incorporate home value in your renovation projects, it's important to consider how costs can be beneficial to your budget. While this means making an effort to save where you can, contacting local experts for evaluations and estimates, and focusing on functional upgrades over aesthetic changes, it also means considering your return on investment. As a homeowner, you're probably familiar with the concept of ROI - the trick is incorporating this understanding into every home improvement project you take on. This will not only help you make informed decisions on changes and adjustments but also provide you with an idea of how your purchase will continue to help you save in years to come.

Calculating Return On Investment

A return on investment is commonly referred to as the ROI of a project; this is used to measure how favorable the cost to performance ratio is for a purchase, project, or service. Most homeowners can easily find the ROI of a project if they have a few specific numbers in front of them. First, you need to find your Net ROI by taking the final value of investment (FVI) and subtracting the initial value of the investment (IVI). From there, you take the Net ROI and divide it by the Cost. If you're looking for the ROI percentage, just multiply that result by 100%. For more information on finding the return on investment of a project, check out Investopedia’s information here.

5 Home Renovations for Great ROI

• Minor Remodels

When homeowners take on the task of home renovations, some may fall into the trap that “Bigger is better.” On the contrary, it’s important to keep things on a smaller scale for a better cost to performance ratio. Minor remodeling projects in areas like your kitchen and bathrooms, as opposed to larger upscaling jobs, can provide you with a better return on investment. One of the most important aspects to remember is that these changes need to be functional instead of just adjustments that are made purely for appearance. You can start by touching up paint instead of going for a full redesign, upgrading any necessary appliances, and consulting an agent on what trends most buyers are looking for in your area. In the west-south region of the United States, basic remodeling jobs can recoup over 60% of the cost on average.

• Window Replacements

Taking the opportunity to replace the windows around your home gives you the chance to not only enhance the aesthetics of the building but also contribute to improved air sealing, insulation, and durability. There are various options to choose from when replacing these parts of the structure, but your highest return will typically come from vinyl or wood replacements. Wood is most often sought after in classic-style homes; however, vinyl is generally considered easier to maintain and has on average a higher return on investment in the west-south region of the United States. When focusing on energy-efficient windows that can also help you save on your energy costs, the Department of Energy has a guide to their Energy Star standards and essentials for making an environmentally friendly adjustment.

• Updated Air Sealing

Having updated air sealing throughout the house is crucial to help prevent conditioned air and heat from escaping your home through small gaps, cracks, and holes in the building envelope. Typically, these openings throughout the structure are caused by general wear, natural and weathering damage, and even pest infestations. When you have the house inspected for air leaks, this investigation should cover everything from the walls, flooring, attic, and ceiling of the building. The most common areas to find these problematic spaces would be around the window sills, door jambs, and other outside access points. The EPA estimates that having your home properly air sealed and insulated can save homes on average 15% on heating and cooling bills.

• Insulation Upgrade

Insulation and air sealing work together as two sides of the same coin. When you discover that one is in need of an upgrade, it's more than likely that the other should be evaluated for maintenance needs. Insulation's primary function is to help reduce irregular temperatures by reducing the rate of heat transfer, which is how easily heat can enter and exit a building. This is how you keep out unwanted heat in the summer and trap in desired warmth throughout the winter. Having updated insulation not only saves you in utility bills by reducing energy waste and HVAC usage, but it's also a significant target point for new buyers. Recently upgraded insulation typically means there's been a thorough evaluation to detect hidden moisture and mold growth, pest nesting, and air leaks.

• Garage Door Replacement

Finally, one of the most common changes homeowners make in an effort to make a positive return on investment is by replacing the garage door of their home. A new or upgraded garage door installation is typically one of the best upgrades you can make, recouping about 73% of the cost in the west-south region of the United States. Just like your window replacements, this home improvement project can focus on both functionality and aesthetics without greatly affecting the cost and ROI. In fact, in cases where the existing motorized opener can be reused, you’re more than likely going to increase the recouped cost!

Consider Quality Investments with Local Experts

The industry experts at Koala Insulation of Pearland are dedicated to improving our community and finding cost-effective solutions for our neighbors. By offering free evaluations, our insulation professionals can provide you and your household with a detailed breakdown of your home's insulation and air sealing. This provides you the opportunity to develop a plan and make informed decisions that take into account your current schedule and budget. For more information on how insulation and air sealing can impact your environment, contact Koala Insulation of Pearland today and schedule your free evaluation.