Get the best ROI on your next remodel

Laura Hernandez

Laura Hernandez

April 12, 2019

Once the sparkling tile and paint swatches are pushed aside, you're left with the question of, "is it worth it?". Should I spend this money on my home?

In remodeling, we hear a lot about ROI or "return on investment". Which "measures the gain or loss generated on an investment relative to the amount of money invested." Basically, we want to make sure the amount of money you put into your home, can be given back to you when you sell by increasing the overall value of the home in proportion to what you spend.

So, is it worth it then? The good news is, yes, typically all remodel projects will add value to your home and either make it more liveable or easier to sell. The bad news is, not all remodel projects are equal; we want to make sure you know where the BEST places you can put your remodeling dollars into, and why.

According to the Remodeling 2019 Cost vs. Value Report ( for Austin, TX

A midrange bathroom remodel will give you around 65.9% ROI

A midrange minor kitchen remodel will give you 83.9 and major kitchen remodel will give you only 63%. Historically, kitchens and master bathrooms have had a reliable ROI; now things have changed a little but you will still not go wrong investing in these areas. Homebuyers always consider the state of the kitchen to be important, along with the quality and quantity of bathrooms.

The addition of a master suite to your home will give you a 73% ROI.

Fixing your flooring, and replacing it with hardwood, or a high-quality wood look-a-like will also get you around 70-80% return on your investment.

Surprisingly, outdoor projects typically increase your homes value the most. Adding to the curb appeal of your home will help you sell it more easily. Younger home buyers are focused on outdoor living spaces and having smaller homes to be able to enjoy the outdoors more.

Replacing your garage door, and your siding with manufactured stone veneer come in with the highest percentage at over 93.3%. This is because the outward appearance of your house is a small cost, but adds a visual appeal that will help sell your home quickly, and help you to enjoy looking at it too!

Most other surveys showed that new paint will almost always return an overage of 100% ROI along with most outdoor living projects (decks, patios, etc).

On the opposite side, it's good to understand which projects will get you the worst return on your investment.

Luxury Bathrooms, Swimming Pools, Aquariums, and High-End Landscaping all deliver a fairly low return. This makes sense because a lot of these things are customized to individuals preference, not necessarily the overall appeal and value of the home. Before starting one of these projects, make sure that it's something you don't want to live without, or that you'll be staying in your home for a long time so you can enjoy your investment, rather than getting a monetary return on it.


Although the averages are pretty standard nationally, there are certain ways you can increase your return on investment.

Consider location

Your area is one of the most important things to understand before starting a remodel. Swimming pools, for example, are a much better investment if you live in Florida or Texas, but will probably get you nothing back if you live in Michigan. It's also important to understand your neighboorhood. Your area greatly determines the amount your home is worth. Even if you opt for luxury finishes, in a bad area, a house won't appraise significantly higher than the average. It can also be helpful to talk to real estate agents or look on platforms like Zillow to see how many bedrooms or bathrooms are normal in your neighborhood. Having an extra might give your house an edge and could significantly improve your ROI.

Keep it classy

When remodeling, if you're not planning on keeping your home for a long period or as your "forever home", its tempting to want to customize everything personally. Although you might have good taste, typically classic looks sell best. Going with simple neutrals and plain moldings or doors allows future homeowners to visualize themselves in the home more easily. It also doesn't stop you from buying fun furniture or incredible art pieces to accent your individuality either.

Save where you can!

Once you get started, you can generally save money by choosing cost-effective materials. Saving on something like carpet or flooring will probably hurt you in the long run, but tile, lighting, and plumbing fixtures are generally safe to stay towards the low end of the market without losing value.

Obviously, getting your project done for less will increase the chance that you get your money back when you sell as well. Bamboo was created because of this issue. We want to provide our customers with the budget-friendly solution to remodeling. Bamboo is completely transparent about costs, and we don't upcharge you on any materials we buy as most general contractor's do.

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“Working with Bamboo App on our remodel project has been a breathe of fresh air. The use of technology to facilitate the project moving forward while also giving the homeowner oversight into the scope of work, timeline and budget is a true revelation for the industry.

Mike M.

August 18, 2018

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