5 Remodeling Projects that Offer the Best ROI in San Francisco

Maximize value - discover remodeling projects with top ROI

In a city like San Francisco, where real estate values are among the highest in the nation, remodeling projects are more than just cosmetic updates—they’re strategic investments. Choosing the right projects can significantly boost your home’s resale value, rental appeal, and livability. This guide explores the top five remodeling projects in San Francisco that offer the best return on investment (ROI) in 2025.

1. Kitchen Remodel

A kitchen remodel continues to deliver one of the best ROIs in San Francisco. Buyers and renters alike prioritize modern, functional kitchens.

• Minor remodel (new countertops, cabinet refacing, updated fixtures): ROI up to 85%

• Major remodel (new layout, high-end appliances, custom cabinets): ROI 60–70%

In smaller San Francisco homes and condos, a smartly designed kitchen with efficient storage and modern finishes is a game-changer.

2. Bathroom Remodel

Bathrooms are another high-impact area that directly influence property value. Updated bathrooms make a property feel move-in ready.

• Midrange remodel (new vanity, tile, fixtures): ROI around 70–75%

• Upscale remodel (spa-like features, heated floors, walk-in shower): ROI 60–65%

In multi-family properties, adding an extra bathroom can dramatically increase rental income potential.

3. Adding an ADU (Accessory Dwelling Unit)

With San Francisco’s housing shortage, ADUs offer exceptional ROI. They add independent living space and create income opportunities.

• ROI potential: 80%+ through rental income and property value increase

• Average cost: $225,000–$500,000 depending on size and type

Beyond financial ROI, ADUs provide flexibility for multigenerational living, guest space, or home offices.

4. Energy-Efficient Upgrades

Sustainability is not just a buzzword in San Francisco—it’s a selling point. Energy-efficient upgrades improve comfort, lower utility bills, and attract eco-conscious buyers.

• Window replacement (double-pane, energy-efficient): ROI ~65%

• Insulation upgrades: ROI ~60%

• Solar panel installation: ROI varies, but can reduce utility costs significantly and boost long-term value

Many of these upgrades also qualify for rebates or tax incentives, enhancing their overall value.

5. Curb Appeal Improvements

First impressions matter, especially in competitive real estate markets. Exterior upgrades enhance curb appeal and property desirability.

• Exterior painting: ROI ~55–65%

• Landscaping upgrades: ROI ~100% in some cases, especially in front yards

• Entry door replacement: ROI ~70%

In San Francisco’s dense neighborhoods, a welcoming façade can set your property apart immediately.

Other Projects with Strong ROI

• Basement conversions into livable space

• Attic conversions for bedrooms or offices

• Smart home upgrades (lighting, security, climate control)

• Garage conversions, especially when paired with ADUs

Not all remodeling projects are created equal—especially in San Francisco, where costs are high and space is limited. To maximize ROI, focus on projects that enhance everyday functionality, improve energy efficiency, and align with buyer and renter demand. Whether you’re planning to sell, rent, or simply enjoy your upgraded space, these five remodeling projects represent the best value investments for 2025 and beyond.