When it comes to home improvement projects, a new report from Zonda’s annual Cost vs. Value Report confirms what many homeowners have long suspected: exterior upgrades consistently deliver the highest return on investment (ROI). For the second year in a row, curb appeal is proving to be a wise investment, with projects like garage door and steel entry door replacements more than doubling their cost in value at resale.

The report highlights a growing trend where exterior improvements are outpacing larger interior remodels in terms of value at sale. While interior projects can be personally rewarding, their appeal is often too subjective to yield the same return when it’s time to sell. This is especially relevant in a shifting housing market where buyers are more selective.

In addition to traditional projects, the industry is seeing new trends emerge, often driven by the increasing frequency and intensity of weather- and climate-related disasters. Disaster-related repairs and mitigation projects are becoming a significant portion of the home improvement market, with homeowners spending billions annually to fortify their homes against high winds, fires, and floods. This has led to an increased interest in durable and low-maintenance materials like fiber cement siding and metal roofing.

The exterior home improvement industry is also seeing a surge in demand for projects that enhance outdoor living spaces. Homeowners are looking to create functional and inviting areas with additions like gazebos, pergolas, and outdoor fireplaces. This trend, combined with a focus on sustainability and energy efficiency, is shaping the future of home design.

From a business perspective, the industry is expected to continue to experience moderate growth. The Inflation Reduction Act of 2022 is also playing a role, offering homeowners significant tax credits for energy-efficient upgrades such as doors, windows, and insulation, providing another incentive for exterior remodels.

In conclusion, whether you’re looking to sell or simply enjoy your home more, investing in its exterior is a smart move. The data is clear: projects that enhance curb appeal, durability, and energy efficiency are the most valuable in today’s market.