Homeowners often face a challenging question: which home improvement projects will deliver the best return on investment (ROI) while also boosting everyday satisfaction? The National Association of Realtors (NAR) 2025 Remodeling Impact Report offers valuable insights into this very topic, shedding light on trends that can guide smart renovation decisions.

Key Takeaways from the NAR 2025 Remodeling Impact Report

The report highlights several projects that consistently deliver strong ROI and high homeowner satisfaction. While many findings align with expectations—such as kitchen and bathroom remodels ranking highly—some results surprised me, especially the strong performance of smaller-scale projects like garage door replacements and new entry doors. These upgrades often fly under the radar but provide notable curb appeal and value.

High Joy Score Projects Worth Considering

Projects that scored highest on “joy” or homeowner satisfaction often involve enhancing daily living comfort and functionality. Kitchen remodels, especially midrange updates, topped this list, followed by bathroom remodels and new siding installations. These improvements not only refresh the look of your home but also improve your lifestyle, making them wise investments for homeowners prioritizing enjoyment alongside financial value.

Top Projects for Cost Recovery

From a strictly financial perspective, projects with the highest cost recovery include garage door replacements, manufactured stone veneer installation, and entry door replacements. These tend to have moderate upfront costs but significantly boost curb appeal, attracting buyers and increasing resale value. For homeowners aiming to maximize financial return, these are reliable choices.

Additional Recommended Projects Beyond the Report

While the NAR report covers many key projects, I recommend also considering smart home technology upgrades and energy-efficient improvements, such as installing programmable thermostats, smart lighting, or solar panels. Though these may not have topped the list yet, they provide increasing ROI potential and enhance homeowner satisfaction by reducing utility bills and adding modern convenience.

Tips for Homeowners Planning Renovations

1. Balance ROI with personal satisfaction: Choose projects that add value but also improve your quality of life while you live in your home.

2. Prioritize curb appeal: Simple upgrades like landscaping, new garage doors, or entry doors can make a big impact.

3. Consider energy efficiency: These upgrades are increasingly important to buyers and may qualify for tax credits.

4. Consult professionals: Use resources like the NAR report and trusted contractors to plan smart improvements tailored to your market.