In past years remodeling costs continued to rise in spite of falling prices. That changed this year, according to the 2010-2011 Cost vs Value Report compiled annually by Remodeling magazine in cooperation with REALTOR magazine.
This year's data for the Minneapolis-St. Paul area shows that both the cost of remodeling projects and the price recouped at time of sale dropped by about 20% compared to last year… a significant change from last year's report, which showed cost up about 2% and rate of return up about 0.6% compared to the previous year.
Nationally, overall construction costs declined 10.4%, to a level midway between where costs were in 2006 and 2007. National estimated resale values dropped 15.8% compared to last year, the biggest decline in the last eight years.
Exterior replacement projects were again top performers this year, with a new entry door and new garage door taking the #1 and #3 positions. Upscale fiber-cement siding replacement continued to rank high, and came in at #2 this year. The only interior project in the top 10 this year was a minor kitchen remodel, which makes sense for what is for many the most important room of the home.
See this year's results below with average job cost and estimated % of cost recouped at time of sale (ROI), ranked by highest return on investment (ROI). Click here to see the complete report, including national numbers and reports from past years.
MINNEAPOLIS-ST. PAUL Remodeling Cost vs Value 2010-2011
- Entry door replacement (steel) – $1,219 – 78.9%
- UPSCALE siding replacement (fiber-cement) – $13,423 – 69.5%
- Garage door replacement – $1,298 – 68.7%
- Deck addition – $10,484 – 65.3%
- Minor kitchen addition – $21,678 – 65.2%
- UPSCALE siding replacement (foam-backed vinyl) – $13,779 – 63.6%
- Siding replacement (vinyl) – $11,219 – 63.3%
- UPSCALE window replacement (vinyl) – $14,309 – 63.1%
- Attic bedroom – $51,339 – 63.0%
- Major kitchen remodel – $58,149 – 62.6%
- Window replacement (vinyl) – $11,113 – 61.8%
- Basement remodel – $64,239 – 60.5%
- Window replacement (wood) – $12,045 – 60.0%
- Deck addition (composite) – $15,450 – 58.5%
- UPSCALE garage door replacement – $3,572 – 58.2%
- Two-story addition – $170,094 – 57.9%
- UPSCALE grand entrance – $7,708 – 57.7%
- UPSCALE window replacement (wood) – $18,178 – 57.5%
- Master suite addition – $108,147 – 56.9%
- Family room addition – $85,632 – 56.0%
- Bathroom remodel – $16,541 – 54.1%
- UPSCALE major kitchen remodel – $113,027 – 54.0%
- UPSCALE deck addition (composite) – $37,998 – 51.9%
- Garage addition – $60,774 – 50.9%
- Entry door replacement – $3,578 – 50.7%
- UPSCALE bathroom remodel – $53,646 – 49.3%
- UPSCALE garage addition – $89,898 – 46.7%
- UPSCALE bathroom addition – $78,388 – 46.6%
- Bathroom addition – $40,627 – 46.0%
- UPSCALE master suite addition – $231,879 – 45.9%
- Roofing replacement – $21,185 – 44.6%
- UPSCALE roofing replacement – $37,705 – 43.9%
- Sunroom addition – $74,994 – 43.2%
- Home office remodel – $28,885 – 39.5%
- Back-up power generator – $14,805 – 38.0%
Sharlene Hensrud, RE/MAX Results – Email – HomesMSP.com
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