Does a new roof increase home value?
This is something that all homeowners should consider before selling their home —and the simple answer is yes, it does.
If you’re working with a trustworthy real estate agent, they’ll tell you that a roof replacement can be a powerful marketing tool for selling your home, even if you’re not planning to sell for several years. This is because home buyers appreciate the peace of mind that comes with not having to take on extensive and costly repairs on such a critical component of the home.
New roofing is also appealing for home buyers looking for a starter home. If they’re able to buy a home from you with a solid roof and sell it with the roof in the same condition, they won’t have to spend money on a replacement or repair, and the next owners after them can rest easy just as they did.
Below we’ll cover how a roof replacement can increase home value and by how much. Keep reading to learn more.
How Much Will a New Roof Increase My Home’s Value?
The first thing you need to keep in mind when it comes to your home’s value is that while it will increase, it doesn’t mean you’ll see a 100% return on your investment. It’s probably not what you want to hear, but it’s important to manage your expectations, especially if you’re a first-time homeowner making first-time home improvements.
On the bright side, a new roof will add to your appeal and value, which will get you closer to your full asking price in less time compared to the other homes on the market with less to offer. New roofing will also make the negotiation process more favorable for you since people are willing to pay more for a home that’s most critical component is brand new.
So, if you’re thinking about replacing your roof before selling, you’ll want to weigh the increase in your home’s value against the amount a roof replacement will cost. You’ll also need to consider the factors that contribute to that value, such as the roofing materials you choose.
Here’s an overview of two vastly different materials, their costs, and how much they can add to your home’s value according to national averages:
Asphalt Roofing Materials
Asphalt shingles are among the most common and affordable materials. New asphalt shingles can potentially raise your home’s value by about $18,780 or more if you have an average roof layout.
You can also expect asphalt shingles to cost between $4.25 and $8.25 per square foot, which means that an average-sized home of 2,200 square feet will cost around $2,500 — not including the labor and installment.
Once you determine the actual square footage, plus labor and permit costs, your return on investment will be around 59.6%, which is pretty good for asphalt shingles.
Metal Roofing Materials
Metal roofs are on the high end of the cost spectrum, due to material costs and the level of difficulty for their installation. A new metal roof will, however, increase your home’s value by $28,196 or more. Of course, the investment you’ll have to make will depend on the type of metal you choose and several other factors.
Here’s a quick look at the cost of various metal materials:
- Galvanized steel: $8 – $12.65 per square foot
- Stainless steel: $10-$16 per square foot
- Copper: $14-$25 per square foot
For an average-sized home, these materials will cost:
- Galvanized steel: $3,000
- Stainless steel: $14,000
- Copper: $25,000+
The return on a metal roof investment for a standard layout is around 54.8%.
Essentially, you can expect to get at least half of your initial investment back for most roofing material types.
Should You Replace Your Roof Before Selling Your Home?
It’s not always worth it to replace your roof before selling your home. As mentioned earlier, if the previous owners had a new roof installed and you’re selling your home within the next few years, it’s not something you have to worry about.
However, if your circumstances are different and you want to figure out whether or not it’ll be worth it to get a new roof before putting your home up for sale, you’ll want to consider the following:
- The condition of your existing roof
- The market conditions
- The estimated cost of a new roof
- Your budget
The Condition of Your Existing Roof
It goes without saying that most home buyers will expect the roof to be in good working condition — unless they’re in the market for a “fixer-upper.”
So, if your roof is showing signs of wear or damage, it’s a good idea to have it inspected by a roofing professional to determine whether a replacement is even necessary. Of course, you’ll also want to consider the age of your roof, as the average lifespan for an asphalt shingle roof is up to 25 years with proper care and maintenance.
So, if your roof is only about 10 years old and in excellent shape, it wouldn’t make sense to have it replaced, especially since it still may be under warranty.
The Market Conditions
The real estate market fluctuates based on supply and demand (plus a few other factors). Therefore, a new roof won’t make a difference in every type of market. If you don’t have a firm grasp on the current market conditions, you’ll want to consult with your real estate agent and a local appraiser to see if it’s a good idea first.
Can You Afford a New Roof?
Regardless of your reasoning for wanting to replace your roof before selling your home, the most important thing to consider is whether or not you can afford it. While some materials are more affordable than others, you may not have the budget for a new roof and a new home.
Most professional roofing contractors will offer special financing options to make roof replacements more affordable. So, if replacing your roof is absolutely necessary, you’ll want to shop around and get estimates and find out about payment plans.
Looking to Replace Your Roof Before Selling?
The roof is the most important component of any home. It’s designed to keep the home and everything inside of it — including you and your family — safe.
If you’re planning to sell your home and are on the fence as to whether the roof should be replaced or not, the roofing professionals at Melo Roofing can assist you. Give us a call to book your free roofing inspection today and get a reliable estimate for the work needed!