Renovation ROI Calculator — How Much Value Does a Renovation Add?
Estimate the new value of your home after a renovation, see whether you make a profit or a loss, and check typical value recovery by renovation type.
Results
Current vs. Renovated Value
Typical Cost Recovery by Renovation Type
Share of the renovation cost typically recovered at resale, based on industry remodeling reports. Individual results vary by market.
Compare Scenarios
Save different budgets and value expectations, then view them side by side.
Do Home Renovations Pay for Themselves?
Most renovations recover only part of their cost at resale. A kitchen remodel typically recovers 60%–80% of its cost, while a bathroom remodel recovers a similar share. The value increase also depends on your home's current value, your neighborhood and how the project compares with the rest of the market. This calculator applies your expected appreciation percentage to your current value and shows the resulting profit or loss.
How to Calculate Renovation ROI
To find the ROI, subtract the renovation cost from the value increase it creates, then divide by the cost and multiply by 100. For example, a $25,000 renovation that raises the home's value by $30,000 produces a $5,000 profit and a 20% ROI. If the increase is smaller than the cost, the project loses money at resale — even if it improves the home for your own enjoyment.
Frequently Asked Questions
What is a good ROI for a home renovation?
A good ROI is generally 70% or higher — meaning you recover at least $0.70 of value for every $1 spent. Kitchens and bathrooms typically recover the most, while expensive, personalized upgrades usually recover the least.
Which renovations add the most value?
Kitchen and bathroom remodels consistently recover the highest share of cost at resale, followed by paint, flooring and exterior siding. Keeping finishes neutral and in line with the neighborhood maximizes recovery.
How do I calculate renovation ROI?
Subtract the renovation cost from the value increase it creates, then divide by the cost and multiply by 100. For example, a $20,000 renovation that adds $26,000 in value has an ROI of 30%.