What Room Adds the Most Value to a House?

Top Home Improvements That Maximize ROI in the Chicago Real Estate Market

When it comes to increasing your home's value, not all upgrades are created equal. Whether you’re planning to sell or simply want to build equity, knowing which room offers the highest return on investment is key. In the competitive world of Chicago real estate, focusing on the right renovations can make all the difference.

In this blog, we break down which room adds the most value to a house—backed by the latest trends, expert insights, and ROI statistics.

Kitchens: The Heart of the Home—and ROI

If you're wondering what room adds the most value to a house, the answer is almost always the kitchen. According to the Remodeling 2024 Cost vs. Value Report, a minor kitchen remodel can recoup nearly 85% of its cost.

Why Kitchens Matter:

• They’re a key selling point for buyers
  
  

• Open, modern layouts appeal to today’s lifestyles
  
  

• Small upgrades (like new cabinet doors and energy-efficient appliances) offer excellent returns
  
  

Upgrading your kitchen doesn’t always require a full gut job. Thoughtful improvements like installing quartz countertops or updating lighting fixtures can significantly improve your home’s marketability.

Bathrooms: Clean Design = Clean Return

Bathrooms come in second in terms of ROI, especially when adding a second full bathroom or updating a primary ensuite. Midrange bathroom remodels typically return about 60-70% of the investment.

Top Value-Add Features:

• Dual vanities and updated lighting
  
  

• Water-efficient toilets and walk-in showers
  
  

• Stylish but durable tile work
  
  

As noted by the National Association of Realtors, bathroom remodels consistently rank high for homeowner satisfaction and resale appeal.

Finished Basements: Bonus Living Space

A finished basement is a hidden gem when it comes to value. Not only does it increase usable square footage, but it also adds versatility—think home office, gym, or guest suite.

High-quality basement finishes can deliver a 70% return and boost your listing’s appeal in family-oriented neighborhoods.

Basement Features That Stand Out:

• Moisture-resistant flooring
  
  

• Additional bathroom or kitchenette
  
  

• Built-in storage and recessed lighting
  
  

Explore the value of basement renovations on the Heart of Chicago Homes blog.

Entryways and First Impressions

Curb appeal and entryway updates offer one of the highest ROIs in real estate. A new steel front door or refreshed landscaping can recoup more than 90% of their costs.

Consider enhancing:

• Entry lighting and smart locks
  
  

• Walkway pavers and seasonal landscaping
  
  

• A fresh coat of paint or modern house numbers
  
  

Making Smart Choices Based on Market Trends

Not all improvements are created equal, and in some markets, certain upgrades add more value than others. Chicago buyers are looking for energy efficiency, modern conveniences, and flexible spaces.

Before investing, consult local experts to understand what makes sense for your neighborhood. At Heart of Chicago Homes, we help sellers prioritize renovations that make the most impact.

• Curious about your home’s value? Get a free, data-driven estimate.
  
  

• Need to sell fast? Explore your cash offer options.
  
  

• View featured listings in Chicago to see what buyers are prioritizing.
  
  

Buying a Home in Chicago? Get Free Expert Guidance!

Chicago real estate offers great opportunities! Whether you’re a first-time buyer or upgrading, we’ll guide you through the process and connect you with financing options.
Get a free consultation at HeartOfChicagoHomes.com or call/text (815) 765-4252. Have questions? Email us at info@heartofchicagohomes.com.