One indisputable truth about American homeowners: We love to remodel.
Forbes reports U.S. homeowners will spend $450 billion on home renovation projects in 2024. That’s $162 billion more than the 2024 California state budget.
But nothing puts a cork in the best laid out home improvement plans than budget-busting estimates coupled with high interest loan rates.
And with high interest rates still stalking the U.S. economy, analysts caution homeowners with big home renovation dreams to proceed with caution. While a kitchen remodel doesn’t make sense today for the average middle class homeowner, a smaller home upgrade project may.
“While now may not be a great time to take on a lot of debt to tackle a massive remodeling project, smaller projects are still popular and worthwhile,” said Deane Biermeier, Forbes Home expert and former general contractor. “Many homeowners who are planning to wait out interest rates in their current homes are still spending money on smaller renovations and upgrades to create a more comfortable living space.”
So what home improvement or repair projects make sense for your family this year? To answer that question, prioritize your home’s needs. What are Must Fix or Must Improve Projects your home needs to maintain its liveability and vibrancy?
“Start by making your own list and checking it twice—noting which rooms or areas need a refresh, what your budget entails, and what style options toe the line between on-trend and timeless,” The Spruce’s Ashley Chalmers writes.
Here are 5 that won’t rob your wallet, deliver flat Returns on Investments or leave you with Remodeler’s Remorse.
Refinish Hardwood Floors
Floors might not get as much traffic as I-80/380 Iowa City Interchange, but they still get daily traffic 365 days a year with few days off. If yours have seen better days and have lost their shine, refinishing them is a smart option. Forbes reports a professional can refinish the average hardwood floor (including sanding and staining) from $3 to $8 per square foot. A Do-It-Yourself home refinishing endeavor averages between $500 and $1,000 in 2024 (excluding the cost of machinery).
Refresh Kitchen Countertops
How can you change your kitchen’s look, presentation and storage efficiency without spending $20,000? It’s the $20K question every kitchen remodeler has. The answer is staring right at you from your island and counter countertops.
A countertops remodel, especially with cost-effective options like ceramic or porcelain tile, runs just $5 to $30 per square foot and is extremely DIY friendly.
New Kitchen Appliances
The war horses that do much of the work and heavy lifting in your kitchen all have shelf lives. Despite what the old joke says, no refrigerator can run forever. Purchasing a new fridge, stove or dishwasher during sale season can liven the productivity and look of your kitchen while leaving thousands in your remodel wallet for next year or another project.
Replace Your Shower
It’s where many people do their best thinking and a new shower can jazz up a dull or dated bathroom. Most prefabricated shower kits with necessary installation components are available for $1,000 or less.
A Fresh Coat of Paint
Nothing changes the look and feel of a room or living space like a fresh coat of paint, especially a new home exterior. Forbes pegs the starting cost for professional exterior painting of a two-story house at around $3,000. Today, a DIY job typically runs between $500 and $1,000.
Even if you just opt for a trim paint job it can do wonders for your home’s vibrancy and appearance.
The Big ROI Projects
Here are the home improvement projects guaranteed to produce the best Return on Investment this year, per Bankrate.
- New Garage Door: 193% ROI
- Entry Door Replacement: 188% ROI
- Manufactured Stone Veneer: 153% ROI
- Minor/Midrange Kitchen Remodel: 96.1% ROI
- Siding: 88.1% ROI
- Deck Additions: 82.9% ROI
- Bathroom Remodel (Midrange): 73.7%
- HVAC Conversion: 66.1% ROI
Reimagine Your Home Improvement Dreams
Just because costs are preventing 2024 from being a championship home improvement year for budget conscious homeowners, home renovation dreams don’t need to die or be put off this year. They just need to be reimagined.
“While now might not be the best time to try to move or to take on any large-scale, high-budget home renovation projects, there are many low-cost ways to make your home look and feel better suited for your needs during this time,” Forbes’ Lexie Pelchen writes.
