Home improvements are a great way to boost your home’s value, rent income as well as the quality of life for potential tenants and homebuyers. But not every home renovation will bring in revenue, so it’s important for real estate investors to know which ones offer more bang for their buck. Replacing an old roof, for one, is a renovation project with a potentially high return on investment (ROI).
New roofing can be very appealing to homebuyers because home roofs should be replaced around every 20 years. Adding a new roof on your investment home can provide a return of 107% on average, according to data released by the National Association of the Remodeling Industry (NARI). What’s more, Remodeling Magazine’s Cost vs. Value Report found that a new roof with asphalt shingles can increase the property’s resale value by a national average of $17,147 in 2021.
If you are flipping houses, this could be a worthwhile investment that could increase the chances of selling them faster and with higher profit margins. Apart from aesthetic gains, a new roof is a feature that improves the home’s overall energy efficiency. Because it reflects heat and acts as an insulator, homebuyers stand to benefit from lower utility costs.
Signs Your Investment Property Needs a New Roof
Generally, the roof should be replaced every 20 years, but it may need to be done sooner if any of these signs become apparent:
- Curled, cracked or bubbled shingles
- Missing shingles
- Shingles covered with moss or algae
- Shingles granules in your gutter
Best Roofing Materials
Roofing materials come in a variety of textures and colors, giving homeowners an opportunity to better complement their siding and landscaping. The most common (and more affordable) material is asphalt shingles. In addition to their affordability, asphalt shingles are relatively easy to install and highly durable.
To determine whether replacing your property’s roof makes sense from a financial standpoint, make sure to factor in things such as the price of comparable homes with new roofs in the area and costs associated with the renovation. Not only will the materials affect the final price, but also the size of the roof, number of shingles layers, and other system components.
Are you ready to plunge into investing in real estate? RLG has the tools and resources at its disposal to get you on your way and not waste a moment of your time. Call us today to learn more and experience firsthand the dedicated, personalized customer service and undivided attention that RLG has to offer!