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Last update on September 21, 2023

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Real Estate Agents questions, answered by experts

Yes, adding a composite deck, such as one made from Trex, can significantly increase your home's value. It is a valuable home renovation for recouping costs, with some estimates for return on investment (ROI) ranging between 60% and 70%. More recently, Remodeling's 2024 Cost vs. Value Report suggests a deck addition has an ROI of 82.9%, with an average resale value of nearly $14,600. A new deck makes your yard more functional, enhances the landscape's aesthetic, and can entice prospective buyers. The investment may have a higher return if the deck adds usable square footage to the property.

Xeriscaping can absolutely increase your home value, but the return on investment (ROI) depends on where you live and how prevalent xeriscaping is in your area. In drought-prone climates, xeriscaping can boost your curb appeal and make your home more appealing to buyers due to the reduced maintenance and watering costs. However, in areas where xeriscaping isn’t the norm, some buyers may be willing to pay less for a xeriscaped property if they don’t like the appearance.

Having a garage installed certainly adds to the value of your home. The consideration is not whether it adds value, but for many, they want to know if adding a garage yields a return on their investment or ROI. While garages can add anywhere from 5% to 20% of the total value of your property, that doesn’t mean that they return 5% to 20% of the money invested in building them. Most homeowners build garages for a purpose but know that you can recover your investment when you sell or refinance.   

Yes, in most cases, finishing a basement is worth the cost. The project adds valuable, usable square footage to your home and typically provides a return on investment (ROI) of 70% to 75%. For example, an average basement refinishing project costing $32,000 could add between $22,400 and $24,000 to your property's value. The final value added depends on factors like your location, the quality of materials and workmanship, and the features you include, such as a living space, bedroom, or bathroom. To be officially counted in your home's total square footage, the finished space must comply with all local building codes, including requirements for points of egress. However, in areas prone to flooding, a finished basement might be seen as a liability by potential buyers and could potentially decrease your home's value.

Yes, an elevated deck can increase a home's resale value. Homeowners can expect a 65% return on investment from the cost of a second-story deck installation. For example, if you spend $5,000 to install a second-story deck, that deck will add $3,250 to the value of your home.

The Ramah, NM homeowners’ guide to real estate services

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