A roof replacement comes with a high return on investment, especially if you are remodeling or selling your home. So how much value does a new roof add to a house? Does an old roof affect appraisal? If you are looking for answers to any of these questions, we are here to help you out.
At Trusted Roofing, we try our best to educate homeowners about the roofing industry, safety measures, and how they can get the best value for their homes. In this article, we’ve explained how much value a new roof can add to your home and answered the following questions:
- What is the return on investment for a new roof?
- Does an old roof affect appraisal?
- Is buying a new roof tax deductible?
- What color roof is best for resale?
So, let’s discover the financial and personal benefits of a new roof!
What Value Does A New Roof Add To Your Home?
We’ll dive deep into these details, including its impact on resale value, attracting potential buyers, and overall cost savings. We will also discuss the numbers, like the return on investment, to give you a better understanding of the financial benefits a new roof brings.
Drastic Increase In Resale Value
One of the most significant benefits of a new roof is the potential increase in the resale value of a home. A new roof can make a home stand out on the market and attract potential buyers– a central selling point for people looking is the energy efficiency of a new roof. When potential buyers spot a new roof, they know they won’t have to worry about replacing it anytime soon, which could otherwise be an enormous burden on them. So, it’s a win-win for both homeowners– current and future.
So, what is the return on investment for a new roof? A new roof can recoup up to 109% of its value, which means you are making a profit! It also reduces maintenance costs, and the addition of a new warranty makes it more attractive to potential buyers.
Reduced Energy Bills
A new roof can also help reduce energy costs in various ways. A properly insulated and sealed roof can prevent heat loss in the winter and heat gain in the summer. This will reduce the time and energy HVAC units need to heat and cool a home accordingly. The results are reduced energy bills and a good lifespan for HVAC units.
Installing a new roof with light-colored architectural shingles is more energy-efficient than old, darker shingles. They reflect heat and UV rays, which may otherwise reduce a roofing system’s lifespan and heat up a house.
According to recent studies, a new metal roof offers a 61% return on investment, increases the resale value by 6%, and saves almost 40% on energy bills! Isn’t that something every homeowner would want? It’s no wonder why a metal roof is the most economical and energy-efficient roof on the market.
So, how much can you save monthly and yearly on electricity bills?
Savings On Energy Bills
The U.S. Energy Information Administration states that the average monthly energy bill per household is $121. If 40% of this amount is reduced every month, that will save 48.40 monthly and $580.80 yearly.
Reduced Maintenance & Repair Costs
An old, worn-out roof can be prone to leaks, mold, and other issues that can lead to costly repairs. On average, an old shingle roof may need repairs costing $150 to $1,500 every year. On the other hand, in most cases, a new roof will not require maintenance and repairs for almost a decade! This means homeowners will save thousands of dollars over a period of 10 years!
Additionally, many new roofing materials come with extended warranties, which can provide peace of mind and protect homeowners from unexpected costs. A well-maintained roof also prolongs a home’s life by protecting its structural integrity from moisture damage, pest infestation, and many more issues. All of these are major selling points for potential buyers.
Extended Manufacturer Warranty
A new roof also comes with a comprehensive manufacturer warranty when a manufacturer-certified roofing contractor is chosen for the roof replacement project. Many roofing manufacturers offer warranties ranging from 15 years to 50! These warranties can cover the cost of repairs or replacement if the roofing material fails due to manufacturing defects. This security will provide peace of mind and make the home even more profitable and appealing to potential buyers.
Tax Benefits: Is Buying A New Roof Tax Deductible?
Not all remodeling projects qualify for tax returns, but a cool roof does. Using ENERGY STAR rated roofing materials allows homeowners to get 10% federal tax returns on a roof replacement, which can total up to $500. Metal roofs with cool coatings and asphalt shingles with cooling granules are two common examples of ENERGY STAR-rated roofing materials.
Benefits Of Insurance Premiums & Claims
Many insurance companies may not consider shingle roofs older than 20 years for claim approval. Those who do, set a high premium amount. If new owners want to insure the roof or their home, they may find it challenging to do so without a roof replacement. On the other hand, it’s effortless to get insurance discounts on a new roof. The discounts range between 5% to 35%, depending on the insurance policy and roofing materials used. So, an old roof is ultimately a burden on anyone who lives under it. Additionally, if the roof isn’t maintained or repaired on time, problems might arise during roof insurance claims.
If you are confused about how an old roof affects a home’s value, read on to find out what you should know.
Does An Old Roof Affect Appraisal Of A Home?
Yes, an old, worn-out roof affects the appraisal of a home. When it comes time to sell a home, an appraiser examines the condition of the home, especially the roof. If the roof is dirty, moldy, or in poor condition, it can lower the value of a home by as much as 10% to 15% and increase a lot of unnecessary expenses without giving the homeowner a chance to claim roof insurance or product warranties.
If you make up your mind about a roof replacement, make sure you get a roof that looks appealing within your neighborhood, and to potential buyers. Otherwise, it could affect the value of your home.
What Color Roof Is Best For Resale?
The shingle colors or metal panel design chosen for a roof makes a difference when it comes to aesthetics and curb appeal. Most importantly, the roof color should be in harmony with the overall look and feel of the home.
It’s essential to choose a neutral color or pattern (beige, brown, gray, dark red) as they are the best roof shingle colors that will attract a large number of buyers, and won’t make a bold statement in the community.
Also, consider your area’s climate and pick a color accordingly. For example, a light-colored roof will be the right choice for areas that receive good sunlight throughout the year. If you live in Hendersonville, Nashville, or anywhere else in Mid-Tennessee, we can help you make the right decisions and guide you during your roof replacement project.
Let Us Solve Your Roofing Doubts!
At Trusted Roofing, you can trust our experts to guide you in making the right decision for your home. Our skilled and knowledgeable team has years of experience in the industry and will provide you with a personalized, professional consultation, and a roof replacement service. We will evaluate your current roof, assess your needs, and provide you with the best options to increase your home’s value while keeping your preferences and budget in mind.
Being a part of the Tennessee community, we can help you navigate the financing options and local tax benefits that may be available to you. We’ve helped hundreds of homeowners get an energy-efficient and attractive roof that increased the value of their homes, and provided them with long-term savings.
We hope our article, “How Much Value Does A New Roof Add”, was helpful to you. Contact us at (615)-714-4300, and we will be happy to provide you with a free estimate on your roof replacement cost.