Most Popular Home Renovations

It’s no surprise that remodeling projects have skyrocketed nationwide in the past few years. Local contractors, designers and realtors have seen an uptick in renovations as remote work environments become commonplace and people are spending more time at home. It’s now estimated that home improvement project spending will reach $485 billion in 2023.¹

However, renovations are more out of reach now than they have been due to higher interest rates and lower savings amounts compared to 2021-2022.² That doesn’t mean you can’t make your vision for your home into a reality — it just means you need to fund projects wisely. Higher home values allow you to borrow against the increased equity in your home, so have your home work for you with solutions like a Home Equity Line of Credit or a Home Equity Loan.

Top Motivators

While renovations have slowed since the pandemic, more than half of homeowners are planning projects this year with an anticipated median spend of $15,000. For higher-budget projects, that median jumps to $85,000.³ Either number is a significant spend, so it’s important to stay selective around what you’re renovating and why.

A great reason to renovate is adding resale value to your home. Kitchens and bathrooms continue to be the most popular renovations due to added value and improved daily experience within the home.⁴

Other renovations realtors say add value include:⁵

• home office spaces
• energy-efficient upgrades
• a new front door
• outdoor space improvements
• light wood floors
• smart home technologies

Spaces Reimagined

Besides boosting your home’s resale value, a renovation can transform the look and function of a space just the way you need it to. And right now, people need their homes to work for them in ways they never have before. Predicted renovation trends for 2024 include:⁶

• multifunctional spaces (single-purpose rooms are a thing of the past)
• sustainable, environmentally conscious living, including bringing nature indoors
• a move away from carpeted and tiled floors
• a move away from industrial styles toward softer, more comfortable designs

Cost vs. Value⁷

Certain projects recoup more money than others, especially here in Rochester — bathrooms only recoup around 64.1% of the cost they take to remodel, while kitchens can recoup 81.4%.

Other more high-yielding projects include siding (132%), roofing (89.4%), and window replacements (89.1%).

Of course, your project’s value depends largely on who’s doing it. Learn more about choosing the right contractor.

Rochester, NY vs. 2023 National Averages⁷

Here's a closer look at the 2023 averages for home remodeling in Rochester, NY, according to the Remodeling 2023 Cost vs. Value Report.⁷

How to Build Equity

If you’re considering a renovation project, learn more about ESL Home Equity solutions as an affordable form of financing. You can even calculate how much equity you can borrow and start planning your next project.