Potential resale returns on various home improvements

People are often curious about how certain home improvements will affect the value of their homes. The chart of percentages displayed here presents some findings compiled by the Appraisal Institute of Canadafrom their 2008 membership survey. It is intended to give the homeowner a very general idea of the potential that certain improvements have in adding value to your home.

Sky lights	0-25%
Swimming pool	0-25%
Landscaping	25-50%
Fencing	25-50%
Brick walkways	25-50%
Home theatre	25-50%
Block paving	25-50%
Concrete paving	25-75%
Central air conditioning	25-75%
Deck	50-75%
New windows and doors	50-75%
New exterior siding	50-75%
Flooring	50-75%
Basement renovation	50-75%
Addition to dwelling	50-75%
Fireplace	50-75%
Garage	50-75%
Roof replacement	50-80%
Heating system/furnace	50-80%
Interior paint	50-100%
Kitchen renovation	75-100%
Bathroom renovation	75-100%
Energy efficient features	Avg. 61%

Other considerations

• Improvements that are commonly found in the area the home is located in will almost always deliver the highest returns.
• Renovations in homes that have a lower market value when compared to other homes in the area generally see a higher return from home improvements.
• Poorly done renovations have a smaller upward impact on the home's value, and can actually have a negative affect on property value.
• Renovations done on a home that is generally in poor repair overall have a minimal impact on its market value.
• It's rare that renovations recover their full cost in added value. Home owners should understand that there is some value associated with enjoyment of the improvement.
• Not all improvements are created equal, even those that might fit in the same category. For instance, in a bathroom renovation a "spa type shower will add roughly 36% of it's cost, while a Jacuzzi or whirlpool type tub recovers approximately 65% of its cost.