When it comes to remodeling your home, the first thing that comes to mind is often the return on investment (ROI). For many homeowners, especially here in Seattle, understanding the true ROI is crucial when deciding how to allocate their budget. But what does ROI really mean in the context of a home remodel? It’s a question we’re frequently asked by new and prospective clients here at CRD Design Build and it's one we explored in depth on a recent episode of our Don't Live with It. Love It.® podcast. Here’s a breakdown of our pros’ thoughts on remodeling for ROI.
The True ROI of Remodeling: Why It's More Than Just Financial Gains
Beyond the Numbers: The Emotional and Practical ROI
Traditionally, homeowners have viewed ROI purely in financial terms, such as how much of the remodeling cost will be recouped when they sell the house. However, as our Design Manager Hollis Rundleman points out, this perspective is shifting. “It’s not just about who’s going to buy your house next,” she says. “It’s more about how you’re going to spend each and every day in your house and making it the best it can possibly be right now for who's in there.”
In today’s real estate market, especially post-COVID, the financial ROI of remodeling projects can vary widely. Housing prices have skyrocketed, and construction costs have followed suit, making the traditional financial ROI less predictable. But that doesn’t mean remodeling is less valuable—it just means the value needs to be measured differently. It also means that this calculation is more personal.
The Power of Personalization
One of the key takeaways from this podcast episode is the importance of personal value in a remodel. For example, take the story shared by Hollis about her mother’s kitchen remodel. Despite being encouraged to upgrade to quartz countertops for a better resale value, her mother opted for laminate because it suited her lifestyle better. “She wasn’t remodeling for someone else; she was doing it for herself,” Hollis explains. This decision, while not maximizing financial ROI, maximized her daily satisfaction—something that’s just as important, if not more so, in our opinion!
Another example comes from Lizzie, our Home Service Design Manager. She recounts working with a family who needed more bedrooms for their growing children, but didn’t want to leave their beloved neighborhood. By creatively reconfiguring their basement, we were able to give them the space they needed without expanding the home’s footprint. The result? A home that perfectly fits their family’s needs, allowing them to stay in the area they love—an ROI that’s hard to quantify, but incredibly valuable on a personal level.
The Emotional ROI: A Remodel That Fits Like a Glove
A remodel should make your home feel like it was designed specifically for you and your lifestyle. Hollis shared her own experience with a kitchen remodel where she prioritized large windows over upper cabinets to maximize the view. While it might not be the typical choice for most homeowners, it was the perfect decision for her, and she has no regrets. This is a prime example of emotional ROI—remodeling decisions that make you happier every day you live in your home.
Practical Tips for Maximizing ROI
If you’re considering a remodel, here are a few practical tips to ensure you get the most out of your investment:
- Think Long-Term: If you plan to stay in your home for many years, prioritize what will make you happiest. Whether it’s a custom kitchen that suits your cooking style or a bathroom with the perfect layout, we recommend that you invest in what will improve your overall quality of life.
- Stage Your Remodel: If budget is a concern, consider remodeling in stages. Focus on one area at a time, ensuring each space meets your needs and maximizes your daily enjoyment.
- Invest in Quality Design: Working with a design-build firm like CRD ensures that every decision is thoughtful and well-planned. This not only helps you avoid costly mistakes, but also ensures that the final result is a home that feels tailor-made just for you.
- Don’t Overthink Future Buyers: While it’s natural to consider resale value, don’t let it dictate every single decision you make. Remember, you’re the one living in the home now and your happiness is worth prioritizing!
The Role of Curb Appeal
While much of our discussion in this episode focused on interior spaces, it’s worth noting that certain exterior improvements still offer a strong financial ROI. Projects like siding replacement, roofing and deck additions tend to retain their value well, in our experience. But even here, it’s important to balance financial ROI with personal enjoyment. After all, a beautiful deck isn’t just an investment in your home’s resale value—it’s also an investment in countless summer evenings spent outside with family and friends.
When it comes to remodeling, the most important ROI isn’t always about dollars and cents. It’s about creating a home that brings you joy, enhances your daily life and meets your family’s unique needs. At CRD Design Build, we believe that a successful remodel is one that leaves you loving your home even more than before.
If you’re ready to explore the true ROI of a remodel, we’re here to help. Reach out to us at CRD Design Build and let’s start the conversation about how we can turn your house into a home you truly love!
