We previously answered this question after selling our first house (we bought during the market bubble and sold during the recession), and now we’re revisiting the same calculation for our second sale. This time the timing and circumstances worked more in our favor: the market was a bit stronger and we didn’t have to invest in major structural replacements like a new roof or windows. As a result, the financial outcome looks healthier.
We sold this house for $23,000 more than our 2010 purchase price. From careful tracking, our best estimate is that we invested approximately $14,511 in improvements that remain with the home (not including furniture or decor we took with us). Subtracting those improvements from the sale gain leaves an estimated net gain of about $8,500. Below is a breakdown of the main improvement costs that contributed to the home’s increased value:
- Kitchen renovation (appliances, new flooring, backsplash, lighting, counters, removing/altering a wall, etc.): $6,955
- Deck construction, staining, and sealing: $1,783
- New patio installation: $1,252
- Custom built-in desk in the office (conveys with the house): $124
- Laundry appliances and built-in shelving: $712
- Hall bathroom update: $168
- Guest bathroom update: $51
- Crown molding added throughout the house: $218
- Fireplace upgrade with new tile and mantel: $147
- Board and batten detail installed in the hallway: $57
- Pergola added over the carport: $214
- Front porch column updates: $198
- Window boxes and accompanying plants: $132
- Comprehensive painting and staining for every room, built-in, and exterior areas (not including furniture finishes): $800
- Landscaping, light fixtures, curtains, and other miscellaneous items that remain with the house (including replacement border tile and a main bath toilet): $1,700
- Total: $14,511*
*Some project quotes reflect total costs that included items we took with us—artwork or accessories, for instance—so this tally is an estimate rather than a line-by-line accounting of only items that conveyed with the house.
Even with the caveat about estimates, we’re grateful for the outcome. Over the years we’ve learned how much market timing matters. With our first home we put in effort but saw little uplift from the market; this time around the combination of targeted, cost-conscious improvements and a better selling environment translated to a meaningful increase in value.
At closing we paid a 3% buyer’s agent commission, which reduced the net proceeds. We avoided using a seller’s agent commission, which would have been higher, and that choice helped preserve more of our gains. All told, after closing costs and the improvements, we likely landed roughly even in cash flow terms—so we’re not flipping houses for profit, but we are very proud of the creative improvements and care we invested.
What excited us most is how the equity built across seven years of owning and paying mortgages on two homes allowed us to move into our next house with significantly less debt—nearly cutting our mortgage balance in half. That felt like a big win and made the whole process worthwhile.
Have you ever added up what you spent on a house versus what you recouped at sale? In our experience, kitchens, bathrooms, and additional usable outdoor spaces like decks and patios consistently offer good returns. We’ve also found that relatively small, affordable built-ins can add meaningful function and appeal. The custom desk we built for the office and the built-ins already in the dining area added character and storage, and they were inexpensive additions—both falling well under $125 in at least one instance. Those small, thoughtful touches are likely to appear in our new house, too, because they deliver both practical value and a polished, custom feel without a large expense.
We’re excited to move forward, take the lessons we learned here, and continue prioritizing improvements that make daily living better while also being mindful of resale value.