Best home improvement ROI in 2026 featuring an upgraded home, kitchen, bathroom and outdoor deck

Which Home Improvements Give the Best ROI in 2026?

Not every renovation adds the same amount of resale value. Some projects improve curb appeal, some make a home easier to live in, and others are simply expensive upgrades that buyers may not fully pay for.

For homeowners thinking about resale, the best home improvement ROI often comes from targeted projects that improve the parts of the home buyers notice immediately rather than from large luxury remodels.

The latest national Cost vs. Value data shows a clear pattern: exterior replacement projects continue to outperform many larger interior renovations. Eight of the top 10 projects in Zonda’s latest report were exterior improvements.

What Does Home Improvement ROI Mean?

Home improvement ROI generally compares the estimated increase in resale value with the cost of completing the project.

For example, if an improvement costs $10,000 and is estimated to add $8,000 to the resale value of the home, the project has recovered about 80% of its cost.

That does not mean the homeowner receives a guaranteed return. Actual results vary substantially depending on location, property condition, housing demand, materials, installation quality and the preferences of future buyers.

Best Home Improvement ROI Projects

Based on the latest Zonda Cost vs. Value national averages, these projects currently rank among the strongest for resale value.

ProjectAverage CostEstimated Resale ValueCost Recouped
Garage Door Replacement$4,672$12,507267.7%
Steel Entry Door Replacement$2,435$5,270216.4%
Manufactured Stone Veneer$11,702$24,328207.9%
Fiber-Cement Siding Replacement$21,485$24,420113.7%
Minor Kitchen Remodel$28,458$32,141112.9%
Vinyl Siding Replacement$17,950$17,31396.5%
Backup Power Generator$13,534$12,90295.3%
Wood Deck Addition$18,263$17,32394.9%
Composite Deck Addition$25,096$22,19988.5%
Fiberglass Grand Entrance$11,754$9,95984.7%

Important: These are national planning averages, not estimates for an individual home. Regional differences can be significant. For example, Zonda found particularly strong overall returns in the Pacific and West South-Central regions.

Source: Zonda 2025 Cost vs. Value Report

1. Garage Door Replacement

Garage door replacement ranked first nationally for the second consecutive year.

The latest report estimates an average project cost of about $4,672 and approximately $12,507 in resale value, representing about 267.7% of the project cost recouped.

That unusually high number does not mean every homeowner will make money by replacing a garage door. It reflects the combination of relatively low project cost and the large visual impact a garage door can have on the front of a home.

For homes where the garage dominates the exterior elevation, replacing an old or damaged door can dramatically improve curb appeal.

2. Steel Entry Door Replacement

A steel entry door was another high-performing exterior improvement.

The national average project cost was approximately $2,435, while the estimated resale value was $5,270, producing a reported cost recovery of about 216.4%.

Entry doors are relatively small projects compared with kitchens or bathrooms, but they can influence a buyer’s first impression before they even enter the house.

3. Manufactured Stone Veneer

Replacing part of a home’s exterior with manufactured stone veneer ranked third.

The report estimated:

Average cost: $11,702
Estimated resale value: $24,328
Cost recouped: 207.9%

Again, curb appeal is a major factor. Exterior projects can change the perceived condition and appearance of a house without requiring the cost or disruption of a major interior renovation.

4. Fiber-Cement Siding

Fiber-cement siding replacement also performed strongly.

The national average was approximately $21,485 in project cost and $24,420 in resale value, or about 113.7% recouped.

Siding can improve appearance while also addressing aging exterior materials, which gives it both aesthetic and practical value.

5. Minor Kitchen Remodel

The strongest-performing interior project in the latest top five was a minor midrange kitchen remodel.

The average project cost was approximately $28,458, while estimated resale value was $32,141, resulting in about 112.9% cost recouped.

The key word is minor.

This does not mean that spending heavily on a luxury kitchen will necessarily generate the same return. Updating visible finishes and functionality while keeping the existing layout can sometimes provide better resale economics than completely rebuilding the room.

Kitchen remodel and exterior home upgrades illustrating high-ROI home improvement projects

6. Bathroom Remodeling

Bathrooms remain important to buyers, but the return is generally lower than the highest-performing exterior projects.

The latest national data places a midrange bathroom remodel at roughly 80% of cost recovered, with an average project cost of about $26,138 and resale value around $20,915.

That does not make bathrooms a poor investment.

Bathroom renovations may improve daily usability, solve waterproofing or plumbing problems, modernize an outdated home and improve buyer appeal. The financial return is only one part of the decision.

You can also see Builzee’s Bathroom Remodel Cost in 2026 guide when planning the budget for this type of project.

7. Siding and Exterior Improvements

The latest data reinforces a broader trend: buyers continue to place significant value on visible exterior upgrades.

Vinyl siding replacement recovered approximately 96.5% of project cost nationally, while fiber-cement siding exceeded 100% in the report.

These projects can improve:

  • curb appeal
  • perceived maintenance
  • weather protection
  • exterior consistency
  • overall first impression

This helps explain why exterior replacements dominate the highest-return projects.

8. Deck Additions

Outdoor living areas continue to perform relatively well.

The latest report estimated approximately:

  • 94.9% cost recovered for a wood deck addition
  • 88.5% cost recovered for a composite deck addition

Interestingly, the less expensive wood option produced a higher percentage return nationally than the more expensive composite project.

That is a useful reminder that spending more does not automatically produce a better ROI.

What About Window Replacement?

Window replacement may provide benefits that go beyond resale calculations, including improved comfort, reduced drafts, updated appearance and potentially better thermal performance.

However, homeowners should be careful about assuming that every energy-efficient upgrade immediately pays for itself through resale value or energy savings.

The right decision depends on the condition of the existing windows, climate, glass performance, installation quality and how long you plan to remain in the home.

For a deeper comparison, see Builzee’s Window Replacement Guide.

Why Smaller Projects Can Beat Major Remodels

The latest Cost vs. Value results highlight an important principle: ROI is not the same as project quality or homeowner satisfaction.

A $100,000 renovation may create an incredible living space, but a future buyer may not value every design choice enough to pay an additional $100,000 for the house.

Smaller improvements often perform better because they:

  • cost less
  • address visible problems
  • appeal to a wider group of buyers
  • require fewer personalized design decisions
  • improve first impressions quickly

Zonda specifically notes that large interior remodels tend to be more subjective, while exterior replacements consistently produce stronger resale returns.

Should You Remodel for ROI or for Yourself?

ROI matters most when resale is an important part of the decision.

If you expect to sell soon, projects with broad buyer appeal may deserve priority.

If you plan to stay in the home for many years, the calculation changes.

A renovation can still be worthwhile if it:

  • makes the home more comfortable
  • solves recurring maintenance problems
  • improves accessibility
  • provides needed space
  • reduces frustration
  • improves how your family uses the home

A project does not necessarily have to return 100% of its cost at resale to be worthwhile.

Bottom Line

The best home improvement ROI in the latest national data is concentrated heavily in exterior improvements.

Garage doors, entry doors, exterior finishes and siding performed particularly well, while a minor kitchen remodel was the major exception among interior projects.

The bigger lesson is not simply to chase the project with the highest percentage.

Consider the cost of the improvement, the condition of your home, your local market and how long you expect to live there. A smaller, well-targeted improvement can sometimes create more value than an expensive renovation that is highly personalized.

Planning a Home Project?

Compare materials, project costs and practical renovation options before deciding where to spend your budget.

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