Welcome to The Luxury Briefing - an editorial spotlight on what's shaping today's high-end real estate and lifestyle trends.
One of the most important questions luxury homeowners ask before selling is: “What home upgrades increase value and deliver the best ROI?”
The truth is, not every renovation pays off. In 2025, the smartest sellers invest in strategic, high-ROI home improvements that attract buyers, maximize value, and shorten days on market.
Here are the top renovations with the highest ROI in luxury real estate this year.
Interior & Exterior Paint — 80–110% ROI
Fresh, neutral paint is one of the best ROI home improvements. It instantly modernizes interiors and refreshes curb appeal—returning more than you invest.
Landscaping & Curb Appeal — 100–150% ROI
Curb appeal remains the #1 home upgrade that increases value. Landscaping, plantings, and exterior detailing can deliver the highest ROI of all because first impressions matter.
Minor Kitchen Remodel — 85–92% ROI
Kitchens sell homes. The best return comes from cosmetic upgrades—countertops, hardware, and lighting—rather than overspending on a full remodel.
Bathroom Remodel — 65–75% ROI
Buyers want spa-like bathrooms. Updating vanities, tile, and fixtures improves lifestyle appeal and offers strong ROI, especially in primary suites.
Finished Basement — 70–85% ROI
Adding functional square footage pays off. In luxury homes, finished basements with gyms, wine rooms, or guest suites are especially attractive.
Flooring Replacement — 70–90% ROI
Uniform, updated flooring is a high-ROI renovation that transforms the entire home. Hardwood or luxury finishes instantly elevate value.
Lighting Upgrades — 60–80% ROI
Modern lighting design—layered ambient, task, and accent—enhances architecture and creates a luxury feel. A relatively small investment with a big payoff.
Garage Improvements
- Garage Addition (Luxury Homes): 60–80% ROI
- Garage Door Replacement: 94–100% ROI
Custom garages add long-term value, but replacing the garage door alone is one of the highest ROI upgrades in real estate.
Smart Home Technology — 50–75% ROI
Luxury buyers expect smart security, lighting, and climate systems. These upgrades make daily living seamless and add measurable value.
Window Replacement — 60–70% ROI
Energy-efficient windows improve comfort and curb appeal. While ROI is more modest, they remain a key selling point in luxury homes.
Conclusion
The strongest returns don’t come from the most expensive renovations. In 2025, high-ROI home improvements—paint, curb appeal, kitchens, and lifestyle-driven upgrades—are what deliver real value.
If you’re preparing to sell in Birmingham, Bloomfield, or Oakland County, I can help you determine which upgrades will create the greatest return in today’s luxury market.