Why Some Renovations Hurt Resale Value

Renovations can increase comfort, functionality, and enjoyment—but not all updates add value when it comes time to sell. In some cases, overly personalized or poorly executed renovations can actually reduce resale value. Understanding which projects help and which can hurt is essential for homeowners who want to protect their investment.

1. Over-Personalized Upgrades

Some renovations reflect very specific tastes that may not appeal to the broader market:

Bright or unusual paint colors
Highly customized themed rooms
Unique tile, cabinetry, or flooring choices

While you may love these designs, future buyers could see them as extra work or expense to change, potentially lowering the home’s appeal.

2. Costly Kitchen or Bathroom Overhauls

Kitchens and bathrooms often sell homes—but not all renovations guarantee a positive return:

High-end finishes that don’t match neighborhood standards can overprice your home
Poorly executed installations (cabinet alignment, plumbing errors) can be red flags
Replacing functional fixtures purely for aesthetics may not recoup cost

It’s important to balance quality with market expectations rather than personal indulgence.

3. Removing Bedrooms or Reducing Functional Space

Open layouts are popular, but removing bedrooms or walls to create giant living areas can hurt resale value:

Homes with fewer bedrooms than typical for the area may appeal to fewer buyers
Large, customized spaces may limit flexibility for future owners
Overly niche layouts can reduce marketability

Think about the average buyer in your neighborhood, not just your lifestyle.

4. Over-Improving Beyond the Neighborhood

Even excellent renovations can backfire if your home exceeds the area’s average market value:

A luxury addition in a mid-range neighborhood may not be fully recouped
Homes that are “too fancy” can alienate the majority of buyers
Comparable sales often dictate what buyers are willing to pay

Always consider how your improvements align with local market norms.

5. Poorly Executed DIY Projects

Cost-saving DIY upgrades can reduce resale value if done incorrectly:

Shoddy painting, tiling, or flooring
Non-compliant electrical or plumbing work
Visible mistakes or shortcuts

When in doubt, hire professionals—a properly done renovation adds value; a botched one subtracts it.

Final Thoughts

Renovations should enhance comfort and functionality—but not at the expense of resale value. Focus on neutral, high-quality upgrades, stay consistent with neighborhood standards, and avoid overly personalized projects.

--

Tina Jingru Sui 隋静儒

Associate Broker | Team Leader of TJS Team, Keller Williams

Serving Metro Atlanta — Johns Creek, Alpharetta, Duluth, Suwanee, Buford, and beyond