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Siding Resources

Calculating the Return on Your Siding Investment

No matter how nice a house is on the inside, if it has old or damaged siding, buyers will be deterred. A low curb appeal will also hurt your home’s value, minimizing the effectiveness of other renovations. Luckily, revamping your home with new siding offers one of the highest return on investment rates among home improvement projects.

In addition to boosting your home’s value, updated siding can make your home more energy-efficient and better protect it from the outside elements. Calculating your siding ROI  isn’t very complicated, but it’s important to understand how different material types can impact your project cost, and how much value each will add to your home.

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Siding ROI for Different Materials

According to the 2019 Cost vs. Value report,  your siding ROI on average can yield 76 percent, but the many different siding materials each carry their own rates to consider.

For example, the most common — and least expensive — siding material is vinyl which has an ROI of nearly 80 percent. This compared to the more expensive stone siding, which estimated to have a lower 60-70 percent ROI rate due to its higher up-front cost.

The estimated siding ROI rates for various materials are as follows:

  • Vinyl – 80 percent
  • Wood – 77 percent (This can be lower for more expensive woods like cedar, and higher for engineered wood)
  • Stucco – 70-75 percent
  • Stone (veneer) – 97 percent
  • Natural stone – 60-70 percent
  • Aluminum – 77 percent
  • Brick – 65-75 percent
  • Fiber Cement – 77 percent

One additional factor to consider is how long you plan to stay in your home versus the lifespan of the siding. While brick siding, for example, might have a higher price tag, it can also last over 100 years with proper care. Vinyl, while more affordable in the short term, only has a lifespan of 20-30 years. 

Selecting a siding material that coincides with your long-term goals can help you maximize your ROI and make the difference between replacing your siding once or two (or more) times.

Using the above information, along with a siding cost calculator, will provide you valuable insight in estimating your project cost and how much you stand to recoup.

Energy Efficiency of Siding Materials

While the upfront cost is certainly a deciding factor for many home improvement projects, it’s not the only one. When it comes to siding, selecting a material that most effectively insulates your home from the weather specific to your location can lower monthly energy costs.

The energy savings you’ll see from new siding won’t be as much compared to other renovations, but it can become a significant amount the longer you stay in the home. And, with most siding installations including a lifetime warranty, these savings can add up.

Additionally, there are plenty of government incentives for energy-efficient home improvements. Check out the Database of State Incentives for Renewables and Efficiency (DSIRE) to search for energy-efficient incentives in your state.

What It Means For Your Wallet

With an average ROI of over 80 percent — and even higher for certain materials — installing new siding on your home is one of the best ways to add value to your home and increase curb appeal while still recouping a majority of your investment.

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