Top 5 Renovations That Give the Best ROI in Fix-and-Flips By Devency Capital, LLC — Private & Hard Money for Real Estate Investors
- Tchido Yao
- 2 days ago
- 4 min read
When you’re flipping houses, profit is built twice: first when you buy right, and again when you renovate smart. The goal isn’t to out-spend the comps—it’s to out-position them with high-impact updates buyers instantly notice and appraisers can justify. Below are the five renovations that most consistently deliver strong ROI in fix-and-flips, plus execution tips to protect your margins.
1) Kitchen Refresh (Not a Gut)
Why it wins: Kitchens sell houses. A strategic refresh elevates perceived value without the cost and time of a full reconfiguration.
High-ROI moves
Refinish or reface solid cabinet boxes; add soft-close hinges and modern pulls.
Swap laminate → quartz (entry-level colors), add a clean subway backsplash.
Update lighting (one bold pendant + under-cabinet strips).
Replace tired appliances with a matching stainless package.
Avoid: Moving gas lines, plumbing stacks, or walls unless comps demand it.Pro tip: Choose a neutral palette and one “hero” element (e.g., waterfall edge or statement pendant) to photograph well in listings.
2) Bathroom Update (Clean, Bright, Contemporary)
Why it wins: Bathrooms are small spaces where fresh tile + fixtures create outsized impact.
High-ROI moves
New vanity + quartz top, framed mirror, and matte black or brushed nickel fixtures.
Large-format porcelain tile (easier install, modern look).
Curbless or low-profile shower pan with glass door where space allows.
Dual-flush toilet and quiet exhaust fan.
Avoid: Custom stone or steam showers unless comps justify luxury.Pro tip: Keep grout lines thin and color-matched for a polished, “model home” look.
3) Flooring Upgrade (Continuous LVP)
Why it wins: One continuous, durable surface makes homes feel bigger and newer—and photographs beautifully.
High-ROI moves
Install water-resistant LVP (6–8mm) in a warm neutral tone, continuous through main living areas.
Use transition strips only where necessary; coordinate simple baseboards (3.25–4.25”).
Add new carpet only in bedrooms (if your comps expect it) in a low-pile, stain-resistant line.
Avoid: Patchwork floors and too many transitions.Pro tip: Choose click-lock LVP that your crews can install fast and repair easily if needed.
4) Curb Appeal & Exterior Touches
Why it wins: Buyers decide in the first 10 seconds. Clean exteriors set the tone—and appraisers note condition.
High-ROI moves
Front door upgrade (paint or new slab) plus modern house numbers and a statement light.
Power-wash, repair trim, and paint with a modern three-color scheme (body/trim/door).
Landscape refresh: fresh mulch, trimmed shrubs, a simple foundation bed, and a manicured lawn.
If the roof is tired, repair first; replace only when comps require it.
Avoid: Over-landscaping that raises maintenance fears.Pro tip: Use drought-tolerant plantings in water-sensitive markets.
5) Lighting, Paint & Hardware Package
Why it wins: This combo is the fastest way to convert “dated” into “turn-key” across the whole house.
High-ROI moves
LED can lights (2700–3000K) in living areas; stylish fixtures in dining/entry/primary.
Fresh paint: eggshell walls in a warm white or soft greige; satin trim in true white.
Hardware set: door levers, hinges, and cabinet pulls in a single finish.
Avoid: Mixed metals everywhere; keep it cohesive.Pro tip: Add one accent wall (wood slat, limewash look, or panel molding) as a photo-worthy moment.
Bonus (When the Numbers Support It): Layout & Livability
If your comps clearly reward it, two changes can unlock major value:
Create a primary suite (adding a well-designed bath or enlarging a closet).
Open a boxed-in kitchen with a partial wall removal and peninsula (verify structural).
Only pursue these if they tighten your days-on-market and your ARV comps support the spend.
How to Prioritize: A Simple ARV-First Framework
Study the sold comps (last 3–6 months). What finishes and features commanded top prices?
Match scope to the market—never exceed comp level.
Budget for speed: choose materials with short lead times and reliable crews.
Sequence for momentum: demo → rough-ins (only if needed) → flooring → paint → kitchen/bath → lighting → punch list → clean/stage.
Protect your contingency (10–15%) for surprises behind walls and in utilities.
Sample Budget Stack (Percent of Total Reno)
Kitchen refresh: 25–30%
Baths update(s): 20–25%
Flooring: 15–20%
Paint (interior/exterior): 10–12%
Lighting & hardware: 5–8%
Curb appeal & exterior touch-ups: 8–10%
Contingency: 10–15%
These ranges flex by market, property size, and existing condition. Let your ARV comps guide the final mix.
Appraisal & Listing Tips That Boost ROI
Provide your lender/appraiser a scope of work + finish schedule and your hand-picked comps that reflect post-renovation condition.
Stage the kitchen, living room, and primary suite—the three most photographed spaces.
Capture daylight photography with all lights on; add evening exteriors for mood.
List fast after the punch list to reduce carrying costs and keep momentum.
How Devency Capital, LLC Helps You Execute
Fast, flexible fix-and-flip financing tailored to your timeline.
Up to 100% project financing for qualified deals (purchase + rehab), plus JV options to conserve your cash.
Draw schedules that match the renovation phases so crews stay moving.
Investor-friendly underwriting that looks at deal potential, not just traditional metrics.
Need help pressure-testing your scope against ARV? Our team reviews projects every day—we can help you align the budget with what your buyers and appraisers actually reward.
Final Thoughts
Focus your spend where it moves the needle: kitchens, baths, flooring, curb appeal, and a cohesive lighting/paint/hardware package. Execute cleanly, match the comp level—not your personal taste—and keep crews moving. That’s how you turn a good buy into a great flip.
Ready to fund your next fix-and-flip? Talk to Devency Capital, LLC about private and hard money options designed to help you close fast and maximize ROI.
Disclaimer
This article is for educational and informational purposes only and does not constitute financial, investment, or legal advice. Renovation costs, timelines, and returns vary by market and property. Always conduct your own due diligence and consult licensed professionals (contractors, appraisers, agents, legal and financial advisors). Loan terms and qualifications are subject to change.
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