Want to boost your home’s value? Grab your remodeling tool kit and head outside.
For three decades, exterior replacement projects have provided a bigger return on investment (ROI) than interior discretionary remodels — and that trend remains in place, according to Zonda Media’s 38th annual Cost vs. Value report.
However, if you insist on remodeling your interior, at least have the good sense to avoid the following projects if boosting home value is your primary aim.
Zonda says the following remodels offer the worst return on investment of all home remodeling projects.
Bathroom addition (upscale)
- National average cost for this renovation: $111,255
- Average cost recouped for this renovation: 36%
How did Zonda arrive at its findings? The publisher analyzed data from both surveyed real estate professionals and remodeling estimating site XactRemodel to answer the question: “What value does a particular remodeling project add to the sale price of a home?”
Major kitchen remodel (upscale)
- National average cost for this renovation: $164,104
- Average cost recouped for this renovation: 36%
If you hope to get a good bang for your buck on interior renovations, your best bet is either a minor kitchen remodel or a midrange bath remodel. The former offers a 113% ROI, and the latter can get you an 80% return.
Zonda says, “A minor kitchen remodel remains the only interior project in the top five, demonstrating the enduring importance of a livable kitchen.”
Primary suite addition (midrange)
- National average cost for this renovation: $170,517
- Average cost recouped for this renovation: 32%
Zonda says the fact that exterior projects offer a better ROI is a continuing trend. Todd Tomalak — Zonda’s principal of building products advisory — notes in a summary of the findings:
“Housing demand shifted in 2025 (similar to prior periods of adjustment like 2012), and ROI of remodels shifted accordingly. We continue to see exterior improvements drive the most value for owners selling their homes, while interior projects make the most sense for residents planning on staying in their homes for longer periods of time.”
Solar power installation
- National average cost for this renovation: $55,937
- Average cost recouped for this renovation: 30%
Solar power is one of the newly added projects with varying payoffs. This category also includes basement remodels and accessory dwelling units (ADUs). Basement remodels have the highest ROI at 71%, while ADUs bring a 41% ROI.
Primary suite addition (upscale)
- National average cost for this renovation: $351,613
- Average cost recouped for this renovation: 18%
An upscale primary suite addition might include a spacious sleeping area, a lounge area, a large adjacent bath and a large closet with a dressing area. These suites can be fitted with custom lighting and sound controls and be sound-proofed, according to Zonda.
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