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By WAYNE PORTER

Modest price gains are the 2025 outlook watchwords for the remodeling market. Modest is growth in the 6.4% range.

Remodeling gets a space of its own in the National Association of Realtors® (NAR) Remodeling Report. The segment on how much it fits into the $118,500 impact each home sale has on the overall economy is $5,460 per sale — 4.5% of the total. Obviously, that’s an average. And it likely understates the local effect. That’s due to the number of older homes in our region and the practice of new owners who upgrade immediately, or soon after, the property closes.

The median age of homes in each of the region’s counties sheds some light on the urge to remodel. According to the Census Bureau, here’s the median age for homes in each of the region’s counties: Carter – 47; Greene – 41; Hawkins – 40; Johnson – 44; Sullivan – 48; Unicoi – 48; Washington, Tenn. – 43; Scott County, Va. – 50; and Washington County, Va. – 43.

Now switch over to what last year’s new owners bought. Homes in the 14- to 4-year-old range accounted for 30% of all sales.

NAR’s Remodeling Impact Report offers insights that can put individual jobs in perspective for real estate professionals and consumers. It analyzes the most common jobs, including why people decide to remodel, the general costs of specific remodeling tasks and the fulfillment experienced.

Projects have a Joy Score. It’s an analysis of the dollar value added and the owner’s subjective satisfaction. Ten is the perfect score. Jobs with high Joy Scores included:
– Painting a home’s entire interior
– Painting one room
– Adding a home office
– Hardwood floor refinishing
– Closet renovation
– Insulation upgrades

Hardwood floor refinishing also received a 10 Joy Score because the homeowners felt happiness and satisfaction in their home after undertaking the upgrade. Sixty-four percent of those polled answered that they have an increased sense of enjoyment when they are at home now that their hardwood flooring is installed. Another 64% said just thinking about the completed project gives them a “major sense of accomplishment.”

Adding a home office is another task that earned a perfect Joy Score. Ninety-one percent of consumers said they have a greater desire to be home now that their office is in place. Seventy-three percent said they have an increased sense of enjoyment when they are home.

Cost recovery on some upgrades and remodeling projects is not an issue. For others, it’s very much an issue. Here’s the cost recovery items from NAR’s report:
Roofing – 100%; Garage door – 100%; Fiber cement siding – 86%; Vinyl siding – 82%; Vinyl windows – 67%; Wood windows – 63%; Steel front door – 63%; and Fiberglass front door – 60%.

And what about the Joy Scores for the typical projects?
– Paint exterior siding – 9.8
– Vinyl and wood windows – 9.6
– Steel and fiberglass door – 9.5
– Roofing – 9.2
– Garage door – 9
– Vinyl and fiber cement siding – 7.9

The report also offers an estimate of the likely dollar value each project would add to a house during resale. In comparing that dollar value to the estimated job cost, the National Association of the Remodeling Industry added its expertise.

The highest percentage cost recovered was from refinishing hardwood floors at 147%.
– Kitchen upgrades were also popular among homeowners, with the task receiving a 9.8 Joy Score. The top reason (32%) to take on a kitchen overhaul was the desire to upgrade worn-out surfaces, finishes or materials. The second top reason (20%) was to add features and improve livability.
– According to NARI remodelers’ cost estimate, the average kitchen remodel would be about $45,000. NAR estimated that $30,000 of that sum could be recovered as a result of the renovation.