Do you need a new roof? Are you wondering if a new roof will increase your home's value at all?
Anytime you invest money into a home improvement project, you expect a return on investment (ROI) when selling your home. Getting a new roof is no different.
Normally, a roof’s main ROI is its lifespan and the number of years it protects your home. But you obviously don’t get the usual ROI if you’re selling your home now or in the near future.
So, does the ROI show up by adding value to your home’s selling price? Or are you just out of luck?
For over 35 years, Bill Ragan Roofing has helped homeowners understand what a new roof does for their wallet and home. That’s why I’ll break down what a new roof does for your home’s value.
This article covers the following:
Yes, a new roof increases your home's value when putting it on the market. On average, a home's value increases by between 40% and 60% of the new roof's price.
However, how much the value increases depends on the roofing material and the housing market when selling. On top of this, a roof depreciates in value as the years pass.
So, it really depends on how old the roof is and the timing when selling your home. But while you will not see a 100% return, a new roof adds a nice increase to your home’s resale value if you plan to replace it five years or so after installation.
So, a new roof increases your home's value. However, it's hard to understand what it looks like without seeing real dollars behind it.
According to the COST VS VALUE REPORT, the average cost for a new asphalt shingle roof (architectural shingles) on average returns 68% of the original investment. The same reports also states the average cost of an asphalt shingle roof in the United States is $31,871.
This means you can expect your home’s value to increase by $21,501 of the original $31,871 the roof cost when selling your home. But like I said, each roofing material has its own ROI percentage and how much it increases your home’s resale value.
For example, a standing seam metal roof is more expensive and much more durable than an asphalt shingle roof. However, the average return is 50% of the original metal roof's cost.
Based on the national average cost of a standing seam metal roof being $51,865, it would be an increase of $25,972 to your home's value. Now, keep in mind that these are national average roof costs, plus every roof and home is different.
It's possible your area is different in terms of the pricing, but the ROI percentage is pretty standard across the United States.
Now you know how much value a new roof adds to your home. However, a new roof offers much more than value when selling your home.
Let’s look at more benefits a new roof provides you and your home.
There are plenty of ways to your home's curb appeal, but a new roof greatly increases your home’s curb appeal. It's proven to increase your home’s overall aesthetic, which factors into adding value when selling your home.
But just like value, the type of roofing material you choose determines how much your home’s curb appeal increases. For example, an architectural asphalt shingle roof is the most common type of roofing material in the country.
While it still increases your home’s look, it’s simply not a head-turner. This is where premium materials comes in, such as luxury shingles, synthetic shingles, cedar shakes, and slate tiles come in.
These materials are guaranteed to make your home stand out and turn heads, but are extremely expensive.
Older roofing materials aren’t the same quality or as efficient as today’s materials. This leads to energy loss during the winter and summer (mainly from poor ventilation), which means more energy consumption.
Well, roofing components and ventilation systems are more efficient these days. If your roofer does everything right, your AC or heating unit won’t have to work as hard as it did before getting a new roof.
That's why getting a new roof is one of the best ways to decrease your energy bills, make your home more efficient, and keep consistent temperatures throughout the year.
There’s no way around the fact that a new roof is a significant investment. But if you need a new roof, you need a new roof.
Unfortunately, the sticker shock leads some people to pay for repairs over and over again. These are only band aids you’re throwing money at that won't truly get fixed until the roof is replaced.
The upfront cost of a new roof is intimating, but it can actually end up being cheaper than a roof that needs continuous repairs. Repair costs may not be substantial on the surface, but they stack up quickly.
That’s why I recommend just buying a new roof if the repair costs are around 30% of the cost of a full replacement. On top of paying for roof repairs, you also have to consider the damage the frequent leaks are doing to the interior of your home and the costs associated with fixing them.
After reading this article, you now know the benefits of a new roof. While it's hard to see past a new roof's price, there is some money saving benefits and your home becomes more efficient.
Now, you make think it's time to contact a roofer to start the process of getting a new roof. But before you do, there are some things you need to consider.
With a new roof being the sizable investment that it is, the last thing you want is to get taken advantage of, make the wrong decision, or throw your money away. That’s why I wrote an article on what every homeowner needs to consider before replacing their roof.
Check out 7 Things to Consider Before a Roof Replacement to learn what you should keep in mind when getting a new roof.