Home Improvement ROI Calculator
Calculate the return on investment for home improvement projects.
See how much value renovations add to your home compared to their cost.
Project ROI
Home improvement ROI measures how much value a renovation adds compared to its cost:
ROI = ((Value Added - Project Cost) / Project Cost) × 100
Or equivalently:
Cost Recouped (%) = (Value Added / Project Cost) × 100
Typical ROI by project type:
- Minor kitchen remodel: 70-80% cost recouped
- Bathroom remodel: 60-70% cost recouped
- New roof: 60-70% cost recouped
- Deck addition: 65-75% cost recouped
- Window replacement: 65-75% cost recouped
Example: A $25,000 kitchen remodel that adds $18,750 in home value:
- Cost recouped = 75%
- Net cost = $6,250 (what you effectively paid for the upgrade)
- ROI = -25% (most renovations don’t fully pay for themselves)
Tips:
- Focus on projects that also improve your daily living
- Kitchens and bathrooms tend to have the highest ROI
- Over-improving beyond neighborhood standards reduces ROI
- Maintenance projects (roof, HVAC) protect value even with lower ROI