Sell a Home: Home Improvements That Cost More Than Their ROI

Home improvement that costs more than the ROI.

We often assume that any home improvement or repair will automatically boost a home's value and guarantee a great return on investment (ROI) when selling. However, that’s not always the case.

Before jumping into a renovation, ask yourself: Will this actually increase my home’s value? Is it a necessity or a nicety? Are you upgrading for your own enjoyment, or because you think it will pay off at resale? Many upgrades fail to provide a strong return.

Let’s take a closer look at some common home improvements that may not be worth the cost when it comes time to sell.

Sell a Home

New Carpeting

While fresh carpeting might seem appealing, many buyers see it as an added expense—they may worry about allergens, cleanliness, or simply prefer hardwood flooring. If you already have good flooring, show it off! Hardwood is often a bigger selling point than carpet, as buyers can always add rugs if they choose.

Overly Personalized Space

Have a built-in aquarium or pet enclosure? A wine cellar or cold pantry? While these might be great for you, they could turn off buyers who don’t share your interests. Highly customized additions can limit your buyer pool and may even require removal before selling.

Garage Conversions

Transforming a garage into a man cave, gym, or theater can be tempting, but buyers typically expect a garage to be a garage—a secure place to park and store their vehicles. If you must repurpose it, do so in a way that can be easily undone. Avoid permanent flooring changes, and keep built-in storage intact.

High-End Kitchen Remodels

An updated kitchen is great, but going too high-end won’t guarantee a full return on your investment. Features like custom cabinetry, gourmet appliances, or luxury materials may appeal to some buyers but won’t always justify the cost. If you’re renovating, keep it practical—modern, functional, and within reason.

Swimming Pools

While pools are great for personal enjoyment, they don’t add much resale value in many regions. In colder climates, they may even be seen as a burden due to maintenance, safety concerns, and seasonal usability. Before installing a pool for resale purposes, think carefully about whether it's worth the investment.

Home Additions

Building an extra room or a second story doesn’t always pay off. If you need the space for your family, it may be worthwhile—but don’t expect a dollar-for-dollar return when selling. Whether an addition adds value depends on how well it fits the home’s style and neighborhood.

Over-the-Top Landscaping

A beautiful yard adds curb appeal, but extravagant landscaping—like waterfalls or elaborate gardens—rarely increases resale value. Instead, focus on practical enhancements, like a sprinkler system, which adds function without overwhelming buyers.

Basement Remodels

Finishing a basement can be hit or miss. While some upgrades may appeal to buyers, extensive renovations—especially those that alter the structure—don’t always recoup costs. If finishing your basement, do so in a way that keeps the space flexible.

Luxury Bathroom Upgrades

A modern, updated bathroom is a plus, but going all out on spa-like features (oversized showers, designer vanities, or hot tubs) may not bring a full return. Stick to smart, functional updates like new fixtures, flooring, or a fresh coat of paint.

Unseen but Costly Upgrades

While essential systems—like HVAC, plumbing, and electrical—are crucial for a home’s function, they don’t significantly increase appraisal value. Buyers expect these to be in working order, but they won’t necessarily pay more for a top-of-the-line system. Similarly, new gutters or ductwork upgrades may not bring a strong ROI.

Bottom Line

When improving your home, do it for yourself first, not for resale value. Enjoy your space, but be mindful of over-personalization and costly upgrades that don’t guarantee a strong return. When it’s time to sell, focus on universal appeal rather than niche luxuries. After all, every buyer wants a home—but not every buyer wants your dream home.

📩 Contact me at miguel@zoldly.com or schedule a call today.

— Miguel Dominguez, RCS-D, Real Estate Broker | Creator of Zoldly | US Navy Veteran | 29 Years of Experience