Many homeowners believe all renovations boost property value. This is a common misconception. Some expensive projects offer a poor return on investment (ROI). You might spend thousands on an upgrade. Yet, you may not see that money back at resale.
This guide is for homeowners planning to sell. It is also for those wanting to build equity. We answer the critical question: “Which home improvements are not worth the cost?” Understanding this helps you invest your money wisely.
What home renovations should I avoid for the best ROI?
Focusing on the wrong projects can lose you money. Some upgrades are too personal. Others are too expensive to ever pay for themselves. Here are high-cost renovations with the worst ROI.
1. An Upscale, Major Kitchen Remodel
A gourmet kitchen sounds amazing. But it often fails to deliver value. Buyers may not share your specific taste. High-end appliances and custom cabinets are costly. You might only recover 50-60% of the expense. A minor kitchen remodel offers a much better ROI. Think new paint, hardware, and countertops.
2. A Luxury Bathroom Addition or Remodel
Adding a spa-like bathroom is a huge expense. Features like steam showers and jacuzzi tubs are nice. However, they don’t add equivalent dollar value. Buyers see them as luxuries, not necessities. A luxury remodel may only return about 55% of its cost. Stick to practical, clean, and modern updates.
3. Swimming Pool Installation
A swimming pool seems like a great feature. In reality, it can limit your pool of buyers. Many people see pools as a safety hazard. They also worry about high maintenance costs. In most regions, a pool adds little to no resale value. In some cases, it can even detract from it.
4. An Elaborate Sunroom Addition
A sunroom adds living space and light. But it’s one of the worst investments for ROI. The cost to build a quality sunroom is high. Buyers often view it as bonus space. They aren’t willing to pay a premium for it. You will likely only recoup half of what you spend.
5. Over-the-Top Landscaping
Curb appeal is important. However, complex landscaping can backfire. Intricate gardens require constant upkeep. This can intimidate potential homeowners. It is better to have simple, clean landscaping. A tidy lawn and healthy plants are enough.
How can you choose renovations that actually pay off?
Making smart renovation choices is key. It protects your investment. At Fix My Home For Profit, we specialize in high-ROI updates. We identify which pre-listing repairs add the most value. We help you avoid costly mistakes. Our process focuses on profitable outcomes. Check out our advice on Is House Flipping Still Profitable in the DMV for 2026? Our parent company, Brickfront Properties and Construction, provides deep industry expertise. Their foundation helps us guide you effectively. Choose renovations that appeal to everyone. Avoid projects that are too niche or expensive.