Q: This is the year that I want to remodel my home. However, I also want to choose the best home improvements for the money. How do I know understand cost vs. value when it comes to my home improvements?
A: Every year, Remodeling Magazine publishes its Cost vs. Value report — the all-inclusive report for New England (and the nation) that determines the value of a variety of home remodeling projects. This overview showcases the ROI for New England exterior remodeling.
How the Cost vs. Value ROI is Calculated
Ever wonder how these annual numbers are crunched? The Cost vs. Value report uses a straightforward yet thorough approach. Each year, Remodeling Magazine gathers information directly from real estate professionals who are in the trenches, assessing what buyers are willing to pay for various home upgrades. They combine these boots-on-the-ground insights with up-to-date local cost data, sourced from Verisk’s trusted pricing research team.
This powerful combo means you’re not getting a generic, one-size-fits-all estimate. Instead, the report zeroes in on 149 local markets—including right here in New England—allowing for highly specific, relevant ROI projections on 23 of the most popular remodeling projects. Homeowners, realtors, and curious do-it-yourselfers can cross-reference actual job costs against resale values to see which improvements make the biggest impact when it’s time to sell.
When homeowners want the best home upgrades for the home and their pocketbooks, there’s no better place to turn than Cost vs. Value.
When homeowners want the best home upgrades for the home and their pocketbooks, there’s no better place to turn than Cost vs. Value.
What’s Changed in This Year’s Cost vs. Value Report?
If you’ve followed the Cost vs. Value Report in recent years, you might be surprised by the big jump in project returns for 2018. This year, we’re seeing some of the strongest numbers ever—particularly for garage door and steel entry door replacements, which have shot up in value and easily doubled their ROI since just last year. For New England homeowners, that means the entryway is officially prime real estate for investing your remodeling dollars.
But not every project is trending upward. For example, last year’s can’t-miss HVAC conversion—which once boasted a sky-high return—has seen its ROI tumble, dropping from a leading 104% to just 66%. Much of this shift stems from changing energy markets: with natural gas prices dropping, these heating upgrades just aren’t saving homeowners as much as they did before.
So, while the opportunity for fantastic returns has never been better for some improvements, it’s more important than ever to check current data before you make your remodeling decision.
What’s Shaping Today’s Remodeling ROI?
If you’ve been following the latest Cost vs. Value trends, you’ll notice that the top remodeling projects have seen some dramatic shifts. So, what’s really behind these changing returns on investment?
A perfect storm of factors is at play:
- The Housing Market is on the Move: With mortgage rates on the rise, homeowners are staying put instead of selling, making improvements to their current homes instead of moving. This increased activity puts extra value on upgrades that boost curb appeal and immediate functionality.
- Equity is at Record Highs: Because home values have climbed in many New England neighborhoods, folks have more equity to leverage for improvements—but they’re also more selective about what gets the best bang for the buck.
- Some Projects Are Hotter Than Ever: Projects like garage door and entry door replacements are suddenly surging in value. Why? They offer instant appeal and security, and don’t break the bank compared to major renovations. It’s a quick visual upgrade in a market where first impressions matter.
- Not Every Upgrade Is Equal: Certain projects that dominated last year—like HVAC system conversions—now deliver less ROI. Sharply lower natural gas prices have changed the appeal of alternatives, reminding us that energy costs, demand, and even regional weather can all influence year-to-year rankings.
The bottom line: current ROI figures reflect not just construction costs, but also homeowner priorities, market dynamics, and even broader economic conditions—all things worth considering when plotting your next big upgrade.
How the Cost vs. Value Data is Gathered
The reliability of the Cost vs. Value report comes down to how thoroughly the data is collected. Each year, Remodeling Magazine joins forces with independent research groups and real estate professionals who are deeply familiar with the local New England market. They gather real-world costs for remodeling 23 of the most popular home improvement projects and compare those numbers with the values those projects tend to recoup at resale.
But it’s not just a few towns or a handful of listings. The report covers data from a whopping 149 markets across the United States. This means you get both a national snapshot and New England-specific insights—right down to the changing costs of supplies, labor, and local real estate trends. The result: homeowners, remodelers, and investors can make decisions backed by the latest pricing research and expert opinions.
These are the newest findings for top Cost vs. Value home improvement investments:
The Value of Vinyl Windows
Vinyl window replacement is essential for any New England homeowner. They help keep utility bills low, increase curb appeal, and even improve home value according to the latest Cost vs. Value.
In 2018, vinyl window replacement in New England still remains within the top exterior remodeling options. It offers a return on investment of 75%. Vinyl trumps the ROI of wood window replacement, which brings along additional frustrations including maintenance and possible decay.
This chart by Energy Star shows us how much money replacement windows can save us per year. Specifically for New England, window installation can save between $91-$465 every year.
Homeowners will find the maximum amount of savings by choosing windows that are certified by Energy Star. This means that the windows include argon or krypton gas, expert installation, and dual or triple pane glass.
Improve Home Value with Vinyl Siding
Vinyl siding installation provides another impressive ROI for New England homeowners. This is one of the best home improvement upgrades according to Cost vs. Value, as it offers a return on investment at 80.2%, which is higher than the national average of 76%.
Quality is key when it comes to selecting new vinyl siding. Poor quality and flimsy siding likely will not yield the maximum ROI.
Be selective with your siding. Choose siding companies that offer quality products, including siding panels with superior thickness, such as double 5” clapboard.
New Entry Doors: Improving Curb Appeal and Increasing Home Value
Entry doors provide a healthy ROI, too. This year, entry door replacement continues to provide one of the top investments for homeowners in 2018. Entry door replacement offers a 67% ROI.
Entrance doors are a smart investment for security and style. The price primarily depends on the quality of the door, which is always important when it comes to getting the most value for your money.
Asphalt Roofing Installation Provides 72% ROI
Roof installation is one of the best home upgrades for the money. A quality asphalt roof offers a return on investment of 72%, offering homeowners great value along with the ultimate protection from the elements.
Roofing replacement ROI in New England is also higher than the national average, which comes in around 68%.
A new roof offers many benefits for homeowners, especially when they choose quality shingles that are guaranteed to last a lifetime, such as GAF’s 100% coverage on shingle defects.
The Best and Worst ROI Home Improvements in New England
Homeowners can have confidence knowing their money is well-spent with exterior remodeling this year. This is a quick recap on the best (and worst) places to spend your remodeling dollars this year:
Best Home Improvements for the Money (Midrange and Upscale):
- Garage door replacement – 99%
- Siding replacement – 80.2%
- Minor kitchen remodel – 76.1%
- Vinyl window replacement — 75%
- Roofing replacement — 72%
- Entry door replacement – 67%
When it comes to boosting your home’s value, exterior replacement projects continue to top the list. Renovations like a new garage door or updated siding not only improve curb appeal but also deliver some of the highest returns when it’s time to sell. While a sleek new kitchen or bathroom remodel might feel rewarding for those living in the home, these discretionary upgrades often don’t offer as much payback at resale compared to exterior projects.
Worst Home Improvements for the Money (Midrange and Upscale):
- Backyard patio – 43.7%
- Master suite addition – 45.5%
- Bathroom addition – 50.4%
- Major Kitchen Remodel – 53.2%
- Bathroom remodel – 55%
- Deck addition (composite) – 59.3%
So if your goal is maximizing return on investment, prioritize updates that buyers can see before they even walk through the front door.
Why Some Projects Have Lost Value: The HVAC Conversion Example
Not every home improvement project has held onto its value this year. Take HVAC conversions, for instance. Last year, investing in an HVAC conversion led the pack with an impressive 104% return on investment. This year, however, the tides have turned, and its ROI has dropped to 66%, pushing it much further down the list.
What’s driving the change? A major factor is the significant drop in natural gas heating costs compared to previous years. As homeowners see lower energy bills, the urgency to invest in new heating systems has declined—so the value of converting HVAC systems is not as high as it once was. This shift highlights how quickly market trends and energy prices can impact the return you get from different types of remodels.
There were no remodeling projects this year that exceeded 100%.
If you’d like to learn more about Cost vs. Value and the top remodeling projects this year, be sure to watch this video from Remodeling Magazine:
Choose High Quality Exterior Products for the Best Home Upgrades
Some other posts you may be interested in:
- Cost vs Value: The 5 Most Financially Savvy Home Improvements You Can Make
- Best Home Improvements to Maximize ROI
The best home improvements are those that are made from quality products and last for years to come. If you have questions on exterior remodeling or would like to discuss your options, contact Stephanie Vanderbilt at svanderbilt@mycoastalwindows.com.
