Home Improvements

How to Increase Your Property Value in 2026: Top 10 Cost-Effective Home Renovations

How to Increase Your Property Value in 2026: Top 10 Cost-Effective Home Renovations

Updated October 2026. Ten renovations ranked by what the 2025 Remodeling Impact Report from NAR and NARI found, plus IRS energy credit dates, all read on October 27, 2026.

The renovations that best increase property value in 2026 are mostly modest. In the 2025 NAR and NARI Remodeling Impact Report, a new steel front door was estimated to recover 100% of its cost, a closet renovation 83% and a fiberglass front door 80%. Before listing, REALTORS most often advised painting the whole home (50%). Big remodels add joy, but rarely pay back in full.

Jump to: 🏠 Top 10 · 💲 Cost recovery · ⏱️ Energy credits · 🪜 Before you sell · ❓ FAQ

Key takeaways

  • Highest estimated cost recovery: steel front door (100%), closet renovation (83%), fiberglass front door (80%), per NARI members in the 2025 report.
  • Projects REALTORS saw the biggest rise in buyer demand for: a kitchen upgrade (48%), new roofing (43%) and a bathroom renovation (35%).
  • The federal home energy credits (25C and 25D) ended for work placed in service after December 31, 2025, per the IRS.
  • Americans spent an estimated $603 billion on remodeling in 2024, per Harvard’s Joint Center, cited in the report.

Value means two things here. One is what a buyer will pay. The other is how much you enjoy the home while you live in it. The report measures both, and they don’t always line up. Pick projects for the goal you care about most.

What are the top 10 renovations that increase home value?

1. Replace the front door

It’s the top cost-recovery project in the report: a new steel door at an estimated 100%, and fiberglass at 80%. It’s also the first thing buyers touch. Add new hardware and a clear house number while you’re at it.

2. Paint the inside

Painting the whole home was the project REALTORS most often recommended before listing, at 50%; one room came next at 41%. Neutral, fresh walls make rooms look bigger and photos look cleaner. It’s also one of the lowest-cost jobs on this list.

3. Renovate closets

A closet system scored an estimated 83% cost recovery. Storage is something buyers notice and measure. Built-in shelves and better lighting in a primary closet go a long way.

4. Fix or replace the roof

New roofing showed up three times in the report: a 37% pre-listing recommendation, a 43% rise in buyer demand, and a top joy score of 10. A sound roof removes a major worry for buyers and their lenders. Get it inspected first; a repair may be enough.

5. Upgrade the kitchen

A kitchen upgrade led the list of projects REALTORS saw rising demand for, at 48%, and scored a joy score of 10. You don’t need a full gut. New counters, hardware, lighting and a dishwasher or disposal can change the feel for far less.

6. Refresh a bathroom

Bathroom renovations had the third-biggest rise in buyer demand, at 35%. Focus on what buyers feel: good water pressure, hot water that lasts, a clean fan and a new vanity. If pressure is weak, have a plumber check for buildup or leaks first. Our guide to Common Causes of Plumbing Problems You Need to Know helps you spot them.

7. Make more usable space

Square footage drives price, so finishing space or opening a layout can pay. In a condo, removing a non-structural wall between rooms can make it feel larger. In a house, a finished basement or an addition adds living area. Check permits and get an engineer for any wall you’re not sure about. Our guides on How to Calculate Your Home’s True Square Footage and whether extensions add value explain what counts.

8. Create a space to rent

A private suite with its own bath, or a small rental unit, can turn space into income. Buyers like that option too. Once it’s ready, sites like Roomster help you find renters, especially in busy markets like Charlotte, NC. HUD’s fiscal 2027 benchmark for a two-bedroom in Charlotte’s area is $1,785 a month. Check local zoning and HOA rules before you rent.

9. Improve energy use

Energy-efficient home upgrades

Lower bills help a home stand out. LED lighting is cheap. An energy audit from your utility shows where heat or cool air leaks out. Solar panels are a bigger step; price them knowing that the federal 30% credit has ended (see below). A newer furnace and water heater also make a home lower-maintenance, which buyers value.

10. Add an outdoor living area

Renovated home living space

A simple deck or patio with room for a table and a grill gives buyers a place to picture weekends. It doesn’t need to be fancy. Our tips on Curb Appeal: How to Upgrade it cover the front yard too.

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How much of the cost do renovations recover?

Project What the 2025 report found Best for
New steel front door Estimated 100% cost recovery Resale
Closet renovation Estimated 83% cost recovery Resale
New fiberglass front door Estimated 80% cost recovery Resale
Paint the whole home Most-advised project before listing (50%) Selling soon
New roofing Advised before listing (37%); demand up (43%); joy score 10 Both
Kitchen upgrade Biggest rise in demand (48%); joy score 10 Both
Primary bedroom suite addition Joy score 10 Living there

Cost recovery figures are estimates from NARI members in the 2025 Remodeling Impact Report. Your local market sets the real number. In the same report, 54% of consumers paid for projects with home equity loans or lines of credit, 29% with savings and 10% with credit cards.

Can you still get tax credits for energy upgrades?

Not for new work. The IRS says the Residential Clean Energy Credit (30% for solar and similar) covered property installed from 2022 through December 31, 2025, and isn’t available for property placed in service after that date. The Energy Efficient Home Improvement Credit (up to $3,200 a year) also covered improvements made through December 31, 2025.

So in 2026, price energy projects on the bill savings and the buyer appeal alone. Check your state and utility for rebates, which differ by area. If you installed qualifying work in 2025, you claim it on your 2025 return with Form 5695.

Which renovations should you do before selling?

If you’re listing within a year, keep it small. Paint, fix what an inspector will flag, refresh the front door and the yard, and clean deeply. Save big remodels for a home you’ll keep. The home renovation checklist helps you plan, and Boosting Property Value: Essential Home Improvement Techniques adds more ideas.

Square footage matters at listing time, so measure it right. In North Carolina, read North Carolina Square Footage Verification – Explained (2026). Then check your value with our free home value calculator.

Ready to sell? You can hire an agent or sell it yourself; it’s your choice. Beycome lists homes on the MLS from $99, with $0 to Beycome at closing, in 17 states and DC. Every plan includes the most photos the MLS allows, e-signature and unlimited listing changes. See our flat fee MLS plans. Buying a fixer-upper instead? Our buyer program is open to every buyer on homes listed by other agents, with no upfront fee: we keep 1% of the price (minimum $1,499) and credit the rest of the buyer-agent commission at closing, with lender approval. The credit can’t apply where no buyer-agent commission is offered, like most FSBO homes, or on homes listed by Beycome sellers.

Frequently asked questions about increasing property value

What increases home value the most?

Size, condition and location drive value. Among projects, NARI members estimated the highest cost recovery for a new steel front door (100%), a closet renovation (83%) and a fiberglass front door (80%).

What should I renovate before selling my house?

Paint, small repairs, the front door and the yard. REALTORS most often advised painting the whole home (50%) and one room (41%) before listing.

Do kitchen remodels pay off?

They draw buyers; kitchen upgrades saw the biggest rise in demand (48%). But a full remodel rarely recovers its whole cost, so a targeted refresh is often smarter before a sale.

Can I still get a tax credit for solar panels?

Not for systems placed in service after December 31, 2025, per the IRS. Check state and utility rebates instead.

Does a new roof increase home value?

It helps a lot with buyer confidence. New roofing was advised before listing by 37% of REALTORS and saw demand rise for 43%.

How can I increase my home’s value on a small budget?

Paint, declutter, fix small defects, swap the front door hardware, add LED lights and tidy the yard. These cost little and show in every photo.

Cost recovery and demand figures are survey estimates from the 2025 NAR and NARI Remodeling Impact Report, not promises for your home. Tax information is general; ask a tax professional about your situation.

Prices as of October 2026. “$0 at closing” means no Beycome fee at closing; other closing costs, taxes, title fees and any buyer-agent compensation you agree to still apply. Buyer credit: minimum $1,499 kept by Beycome, lender approval required, not on FSBO homes or homes listed by Beycome sellers. General information, not legal advice; rules vary by state and MLS.

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Nico J.

Nico is the founder and CEO of beycome, the flat-fee brokerage he started so people could sell a home without handing over a commission. beycome is licensed in 18 states and Washington, D.C., lists homes on the MLS for a flat fee in 17 states and D.C., and gives buyers up to 2% back at closing (1% of the price kept, $1,499 minimum; not on FSBO homes or homes listed with beycome).

How much can you save selling and buying with Beycome?

If you sell a $400,000 home, you save up to $20,000 compared to a traditional way. And if you buy your next place with us, you also get up to 2% back at closing. Seriously.