Based on the informed opinion of Canada’s professional fee appraisers, the three most frequent renovation improvements undertaken by homeowners, which provide the highest payback potential are:
- Bathroom Renovation
- Kitchen Renovation
- Painting - interior/exterior
This information is valuable for homeowners to measure what effect home improvement projects may have on the resale value of their homes. Consumers should be aware that home values and returns on renovation investments are dependent on many factors such as the location of the property, i.e., province, rural/urban, etc. Notably important is the quality of workmanship and materials
Whether planning to sell or to stay put for a while, consumers would rather have improvements made to the home add as much value as possible. Here are projects for which Appraisal Institute of Canada members projected average payback value ranges. The 20 most frequent renovation projects were:
Top four greatest payback potentials
- Bathroom renovation (75-100%)
- Kitchen renovation (75-100%)
- Interior painting (50-100%)
- Exterior painting (50-100%)
Ten average pay back potentials
- Roof shingle replacement (50-80%)
- Furnace/heating system (50-80%)
- Basement renovation (50-75%)
- Recreation room addition (50-75%)
- Installing a fireplace (50-75%)
- Flooring (50-75%)
- Constructing a garage (50-75%)
- Window/door replacement (50-75%)
- Building a deck (50-75%)
- Central air conditioning (25-75%)
Six lowest payback potentials
- Landscaping (25-50%)
- Interlocking paving (25-50%)
- Building a fence (25-50%)
- Asphalt paving (20-50%)
- Adding a swimming pool (10-40%)
- Installing a skylight (0-25%)