In a slow market, smart renovations can move stubborn listings

(Edward Wang, The W Group)

This article first appeared in the 2026 spring edition of Real Estate Magazine 

In 2025, Karen Doering listed a home in a challenging market where comparable properties were sitting unsold.

“Beyond the renovation, we need to address the problems,” says Doering, a sales representative with Bosley Real Estate in Toronto. “People need to walk in and believe the house is ready to go.” The plan focused on addressing visible blemishes and making the home feel move-in ready. Updates included new kitchen hardware, new countertops and updated lighting.

Combined with professional staging and a targeted marketing strategy, the house sold within days while competing listings remained on the market. Doering estimates the improvements contributed about $45,000 to the sale price.

In a perfect world, every new listing an agent prepares for market is in pristine condition, poised to sell quickly and at the best price. In reality, that’s not always the case. With the right plan and budget, a home renovation can strengthen a listing and protect a client’s future resale value. But not every upgrade delivers the same return, and some can even narrow a property’s appeal.

Where renovation dollars go the furthest

When renovating a home you plan to live in long term, designing for personal taste makes sense. But if a listing is on the horizon, that approach can limit return. Mehrdad Amini, owner and general contractor of Amini Construction, suggests that homeowners planning to stay at least five years should “build it to your liking.”

“Highly personalized renovations that fit a client’s lifestyle are more difficult to realize a return on investment,” Doering says. Return on investment should be top of mind for any sales representative preparing a property for sale.

According to Edward Wang, a broker with The W Group Real Estate, the two rooms that typically deserve the most attention are the kitchen and bathroom. “Changing handles and pulls has a big impact on the overall look and feel of a space without doing a full renovation,” he says.

Doering would add another often-overlooked area: storage. Mudrooms, closets and pantries can significantly influence buyer perception. In her experience, storage reflects the overall functionality of a home.“Homeowners are asking, ‘How am I going to live day-to-day with my family in this home?’” she says.

What should newly purchased homeowners tackle first to maximize future resale? Once a client moves in, Wang recommends prioritizing three areas: painting, flooring and the kitchen.“Painting is the easiest thing you can do to immediately update the look and feel of the space and make it your own,” he says.

Flooring is also best addressed early, especially before move-in. “Often, especially when people buy older homes, there can be up to five different kinds of flooring. You should consider updating them to create a more cohesive look throughout.”

When it comes to the kitchen, however, Wang advises living in the home before committing to major changes. Understanding how the space functions — and where it falls short — can prevent costly missteps.

When upgrades miss the mark

What renovations don’t pay off? Some upgrades are more polarizing than profitable. Doering, Wang and Amini agree that in-ground pools can divide buyers. “Pools are 50-50,” Amini says. “They either love them or not.”

In Wang’s experience, assuming two homes have the same layout and condition, he does not typically see a significant price difference based solely on whether there is a pool. “Almost zero,” he says.

Doering also cautions against “over-renovation,” where finishes exceed what is typical for the home or neighbourhood. “In the current marketplace, competition is increasingly based on value determined by comparable sales,” she says. “High-end renovations might not reflect the price realized.”

In some cases, over-customization can lead to what Amini calls “reverse renovations” — converting highly specialized spaces, such as media rooms, back to their original purpose. Adding a bedroom back into a property, for example, can improve resale value by broadening the potential buyer pool.

Doering recalls working with a client whose three-bedroom home had originally been designed as a four-bedroom property. The main bedroom had been expanded at the expense of the fourth bedroom. By restoring the original layout and converting the oversized bedroom back into two rooms, she estimates the price difference at $150,000 to $200,000 — not necessarily the value of the additional bedroom alone, but the impact of opening the property to buyers who would not consider a three-bedroom home.

While every property and budget differ, the principle remains consistent. When Realtors help clients focus on the math, not just the emotion, renovations are far more likely to translate into stronger returns.

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