Roofing & A Homes Value
When you are choosing a home improvement project, it is always important to look at ROI. ROI, or return-on-investment, refers to the percentage of the cost of the upgrade that you are likely to get back if you sell your home. While it is clear that buyers prefer new roofs, many people want to know if new roofs really do increase the resale value of your home.
Some roofing companies may tell you that a new roof will always increase your home’s value. That is simply not true. If you have a newer roof that is in good shape, there is no reason to replace your roof. Any benefits you may get in increased insulation are unlikely to pay for the price of the roof, and a slightly newer roof is not enough to boost your home’s value.
However, if you have a roof that is near the end of its life or has problems such as leaks, then you do need to repair your roof. Not only will that increase your home’s resale value, but it will also help you sell the home. A new roof may shorten the time your home is on the market. Plus, if your roof is in bad shape, prospective buyers may require roof repairs in order to complete the sale.
What type of shingles should you choose if you are getting a new roof? If you plan on selling within the next few years, it is probably not worth it to invest in premium shingles. The fact that the roof is new will be a selling point for potential buyers, but premium shingles may not. That only applies if we are talking about standard shingles. If you are putting on specialized shingles, it may help you appeal to niche buyers. Look at options like cooling shingles. However, if you plan to sell within a short period of time, regular shingles are probably enough.
ROI On Adding A New Roof
Generally, you can expect a 60% to 70% ROI for a new roof. That is a good ROI for a home improvement. However, newer numbers suggest the ROI is even higher, with some estimates suggesting the ROI is even higher than 100%. The factors that can impact your ROI include
- Your existing roof’s condition
- The type of shingles or roof you have chosen
- Market conditions
If you are on the fence about whether to put a new roof onto a house you plan to sell quickly, we suggest asking your realtor. They have experience assessing market value and can tell you whether the investment is worth it.