5 Home Improvement Projects That Can Add Value to Your Minnesota Home

When planning a home improvement project, it is natural to think about what will make your home more beautiful, functional, and enjoyable. But it is also smart to think about long-term value. Whether you are preparing to sell in the future or simply want to make confident decisions about where to invest, certain projects can offer a stronger return than others.

For homeowners in Minnesota, value is not only about resale. It is also about how well your home handles cold winters, humid summers, growing families, entertaining, storage needs, outdoor living, and everyday comfort. A project with a strong return on investment should improve the way your home works now while also making it more appealing to future buyers.

The 2025 Cost vs. Value Report compares average remodeling costs with estimated resale value across 119 U.S. markets, offering helpful insight into which projects tend to retain value after completion. Nationally, projects such as minor kitchen remodels, deck additions, bathroom remodels, window replacements, siding replacement, and basement remodels continue to show meaningful resale value when planned well. (Journal of Light Construction)

At AOS Home Solutions, we believe the best home improvements are the ones that balance beauty, function, craftsmanship, and long-term performance. Here are five home improvement projects that can help Minnesota homeowners invest wisely.

1. Kitchen Remodels: Improving the Heart of the Home

The kitchen is one of the most important spaces in a home. It is where people cook, gather, host, organize, and often spend a large part of their daily routine. Because of that, kitchen updates can have a major impact on both daily living and buyer appeal.

A kitchen remodel does not always have to mean tearing everything out and starting from scratch. In fact, the 2025 Cost vs. Value Report shows that a midrange minor kitchen remodel had one of the strongest national cost-recouped percentages, with an estimated 113% cost recouped. That type of project typically focuses on improving a functional but dated kitchen rather than completely reworking the layout. (Journal of Light Construction)

This is important for homeowners because it shows that strategic updates can sometimes be more financially efficient than oversized renovations. Replacing outdated cabinet fronts, updating countertops, improving lighting, refreshing hardware, adding a new backsplash, or replacing aging appliances can make the kitchen feel dramatically more current without overbuilding for the home or neighborhood.

For Minnesota homeowners, it is also wise to consider durability and function. Quartz countertops, quality cabinetry, practical storage, easy-to-clean surfaces, and timeless finishes can help the kitchen feel fresh for years. If you are planning to stay in your home, the goal should be a kitchen that supports the way your family actually lives. If resale is part of the long-term plan, the goal should be a kitchen that feels updated, welcoming, and broadly appealing.

2. Bathroom Remodels: Small Spaces with Big Impact

Bathrooms may be smaller than kitchens, but they carry a lot of weight in how a home feels. An outdated bathroom can make a home feel older, while a clean, updated, well-designed bathroom can create a sense of comfort and care.

According to the 2025 Cost vs. Value Report, a midrange bathroom remodel nationally recouped an estimated 80% of its cost, while a universal design bathroom remodel recouped an estimated 61%. (Journal of Light Construction) These numbers are helpful, but they should be viewed alongside the practical benefits of the project. A bathroom remodel can improve storage, lighting, accessibility, ventilation, water efficiency, and daily comfort.

For homeowners planning a bathroom update, it is smart to focus on choices that feel both beautiful and practical. Updated tile, durable flooring, improved lighting, a quality vanity, modern plumbing fixtures, and better ventilation can all make the space more enjoyable. Features like low-flow toilets and faucets can also help reduce water waste without sacrificing function.

AOS Home Solutions often approaches bathroom remodeling with both usability and longevity in mind. That means thinking beyond the surface-level finishes and considering layout, moisture control, materials, lighting, and how the bathroom will serve the household over time.

3. Deck Builds: Expanding Your Living Space Outdoors

In Minnesota, outdoor living space is something homeowners truly value because our warm-weather months feel worth enjoying. A well-built deck can create space for grilling, relaxing, entertaining, watching kids play, or simply spending more time outside.

Deck additions continue to perform well from a value perspective. The 2025 Cost vs. Value Report found that a wood deck addition nationally recouped an estimated 95% of its cost, while a composite deck addition recouped an estimated 89%. (Journal of Light Construction) That makes decks one of the stronger home improvement categories for homeowners who want both enjoyment and resale appeal.

The right deck material depends on your priorities. Wood can offer a classic look and strong value, but it typically requires more maintenance over time. Composite decking often has a higher upfront cost, but many homeowners appreciate its lower-maintenance appeal, durability, and consistent appearance. For busy homeowners, that maintenance difference can matter.

Design details can also influence how useful the deck becomes. Built-in seating, stairs that connect naturally to the yard, lighting, privacy elements, planters, and a layout that supports dining or lounging can make the space feel more intentional. A deck should not feel like an afterthought. It should feel like a natural extension of the home.

4. Energy-Efficient Upgrades: Comfort, Savings, and Buyer Appeal

Energy-efficient upgrades can be valuable because they support both comfort and long-term operating costs. In Minnesota, where homes need to perform through extreme cold, snow, wind, humidity, and seasonal temperature swings, energy efficiency can make a noticeable difference.

Common upgrades include new windows, exterior doors, insulation, air sealing, HVAC improvements, and energy-efficient appliances. The 2025 Cost vs. Value Report found that vinyl window replacement nationally recouped an estimated 76% of its cost, wood window replacement recouped an estimated 70%, and HVAC electrification recouped an estimated 72%. (Journal of Light Construction)

Federal tax credits have also made certain energy-efficient upgrades more appealing for homeowners. The IRS states that qualifying energy-efficient improvements made after January 1, 2023, may qualify for a tax credit, with certain improvements eligible through December 31, 2025, subject to annual limits and specific requirements. The credit can include qualifying expenses for improvements such as building envelope components, residential energy property, and home energy audits. (IRS) ENERGY STAR also notes that homeowners may save up to $3,200 on taxes for qualifying energy-efficient upgrades through December 31, 2025, including certain heat pump technology, insulation, windows, doors, and related improvements. (ENERGY STAR)

Because incentives can change, homeowners should always verify current eligibility before starting a project and talk with a tax professional when needed. From a remodeling perspective, the key takeaway is this: energy efficiency should be part of the planning conversation, not an afterthought.

5. Basement Remodels and Functional Additions: Creating More Usable Space

Adding usable space can be one of the most meaningful ways to improve how a home functions. For some homeowners, that may mean finishing a basement. For others, it may mean adding a bedroom, office, bathroom, sunroom, mudroom, or expanded living area.

The 2025 Cost vs. Value Report found that basement remodels nationally recouped an estimated 71% of their cost. Primary suite additions had lower national cost-recouped percentages, with midrange primary suite additions recouping an estimated 32% and upscale primary suite additions recouping an estimated 18%. (Journal of Light Construction) This does not mean additions are a bad investment. It means homeowners should be thoughtful about why they are adding space and how that space supports the home’s long-term function.

A basement remodel can be especially practical in Minnesota because many homes already have lower-level square footage that is underused. Finishing that space can create a family room, guest area, office, workout space, playroom, bathroom, or entertainment area without changing the home’s footprint.

Home additions can also be valuable when they solve a real problem. If a home lacks enough bedrooms, has no dedicated office, needs a larger gathering area, or no longer supports the family’s lifestyle, an addition may make the home more livable for years. The key is making sure the new space feels seamless with the original home in layout, exterior design, materials, and craftsmanship.

Choosing the Right Project for Your Home

The best ROI project is not always the one with the highest national percentage. It is the one that makes sense for your home, your neighborhood, your budget, and your goals.

If you are planning to sell soon, you may want to prioritize visible updates that improve first impressions, such as a kitchen refresh, bathroom update, deck improvement, siding, windows, or exterior repairs. If you plan to stay in your home for many years, comfort and function may matter just as much as resale value. A basement remodel, home addition, or energy-efficient upgrade may improve your day-to-day life in ways that are hard to measure with numbers alone.

The National Association of REALTORS® Remodeling Impact Report also looks beyond resale value by considering homeowner satisfaction, buyer demand, and the overall reasons people choose to remodel. That is a helpful reminder that home improvement value is not only financial. It is also emotional, practical, and personal. (National Association of REALTORS®)

Plan Your Next High-Value Project with AOS Home Solutions

Home improvement projects are a major investment, and the right project should do more than look nice when it is finished. It should improve how your home functions, support your long-term goals, and add value in a way that makes sense for your family.

Whether you are considering a kitchen remodel, bathroom update, deck build, basement remodel, home addition, window replacement, or energy-efficient upgrade, AOS Home Solutions can help you think through the project with craftsmanship and long-term value in mind.

If you are ready to invest in your home’s future, contact AOS Home Solutions to start planning a project that supports comfort, function, and lasting value.

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Energy-Efficient Home Upgrades: Why They Matter for Minnesota Homeowners