Thinking about renovating before selling—or just looking to build smart long-term equity in your home? Not all home improvement projects are created equal. While a luxury spa bathroom or a custom wine cellar might sound like the ultimate upgrade, the data shows that high-end personalization rarely recoups its cost at resale. On the flip side, functional updates, cosmetic refreshes, and high-impact exterior projects routinely turn a profit.

Here is a balanced breakdown of the top 8 highest- and lowest-returning interior home projects, reflecting updated national averages.

8 Best Interior Home Improvements (Highest ROI)

8 Worst Interior Home Improvements (Lowest ROI)

Key Takeaways for Interior Renovations

Floors and Paint Win Big: Refreshing floors (refinishing wood or adding hard surface floors) and applying fresh neutral paint yield the highest return because every prospective buyer instantly sees the value.

Keep Kitchens and Baths Midrange: Minor cosmetic updates (counters, cabinet paint/refacing, light fixtures) consistently outperform expensive luxury overhauls. Custom luxury builds rarely recover costs because buyer tastes vary drastically.

Source: National Association of Realtors (NAR) Remodeling Impact Report and Remodeling Magazine / JLC Cost vs. Value Report.