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Renovation ROI Calculator

Estimate the return on investment of a home renovation. Pick a project type, enter what it costs and how much value you expect it to add — or start from the typical recouped percentage for that project — and see how much of your money comes back at resale.

Project Details

Typical national average for this project.

Preset percentages are rough national averages based on cost-vs-value studies; actual returns vary widely by market, quality and timing.

How It Works

A renovation’s return on investment measures how much of what you spend comes back as extra resale value. Unlike an income property, most home improvements do not return 100% — you enjoy the upgrade while you live there, and recoup a portion of the cost when you sell.

Formulas:
  • Value Added = Project Cost × (Recouped % ÷ 100)
  • Net Gain = Value Added − Project Cost
  • ROI = (Net Gain ÷ Project Cost) × 100
  • Cost Recouped = (Value Added ÷ Project Cost) × 100
  • Value per $1 Spent = Value Added ÷ Project Cost

Cost recouped is the share of the project cost you get back at resale — 80% means $0.80 of every dollar returns. ROI is the same figure re-centred on your gain: a project that recoups 80% has an ROI of −20%, while one that recoups 110% has an ROI of +10%. Projects rarely clear 100%, so a small, well-chosen job that returns most of its cost often beats a large one that returns only half.

The break-even cost is what you would have to spend for the added value to exactly cover the project — spend less and you profit, spend more and the difference is the price of enjoying the improvement while you own the home.

Which Projects Pay Back Best

Higher Return

  • Garage door and entry-door replacement
  • Fresh siding and exterior curb appeal
  • Minor kitchen refresh over a full gut
  • Landscaping that improves first impressions

Lower Return

  • Upscale, high-spec major kitchens
  • Bathroom additions and expansions
  • Bespoke features few buyers value
  • Anything over-improved for the neighbourhood
Curb-appeal and maintenance projects — doors, siding, roofs, tidy landscaping — tend to recoup the most, because they read as move-in-ready to buyers. Big interior remodels are enjoyed most by the current owner and recoup less on paper.

Related Utils

Home Affordability Property Comparison Cap Rate Offer Price ROI

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