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Next Gen Econ > Debt > Home Upgrades That Secretly Lower Property Value
Debt

Home Upgrades That Secretly Lower Property Value

NGEC By NGEC Last updated: July 1, 2025 7 Min Read
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Upgrading your home can feel like a smart move. You want your space to look better, work better, and maybe even boost your property value. But not every upgrade pays off. Some changes can actually make your home less appealing to buyers and lower its value. It’s easy to get caught up in trends or personal taste, but these choices can backfire when it’s time to sell. If you’re thinking about making changes, it’s important to know which home upgrades might secretly hurt your property value.

Here are some common home upgrades that can lower your property value, even if they seem like a good idea at first.

1. Over-the-Top Customization

Personal touches make a house feel like home, but too much customization can turn off buyers. Bright paint colors, themed rooms, or built-in features that only fit your lifestyle can be hard for others to imagine as their own. Most buyers want a blank canvas. If your upgrades are too specific, they might see extra work and cost to change things back. Stick to neutral colors and simple designs to protect your property value.

2. Converting Bedrooms Into Something Else

Converting a bedroom into a home gym, office, or walk-in closet may seem beneficial. But when you remove a bedroom, you lower your home’s official bedroom count. Fewer bedrooms can mean a lower appraisal and less interest from buyers. Most people want as many bedrooms as possible, even if they plan to use them differently. If you need a home office, consider using furniture instead of making permanent changes. That way, the room can easily go back to being a bedroom.

3. Removing Closets

Closet space is a big deal for buyers. Removing closets to make a room bigger or to add a bathroom can seem like a good idea, but it often backfires. Lack of storage is a common complaint among home shoppers. If you take out closets, you make your home less practical and less valuable. Before removing any storage, consider how it will impact your daily living and future resale value.

4. High-End Kitchen Upgrades That Don’t Match the Neighborhood

A fancy kitchen can be a selling point, but only if it fits the rest of the house and the area. Installing luxury appliances, custom cabinets, or imported countertops in a modest home can make your property stand out for the wrong reasons. Buyers may not want to pay extra for upgrades that don’t match the neighborhood. You might not get your money back, and your home could even appraise for less than you spent. Aim for upgrades that fit your home’s price range and style.

5. Wall-to-Wall Carpeting

Carpet used to be a popular choice, but most buyers now prefer hard flooring options like wood or tile. Wall-to-wall carpeting can trap odors, stains, and allergens. It also wears out faster than other flooring. If you replace hardwood with carpet, you might lower your property value. For a cozy feel, consider using area rugs instead. They’re easy to change and don’t hurt resale value.

6. Swimming Pools

A pool sounds like a dream, but it’s not always a good investment. Pools are expensive to install and maintain. They can also be a safety concern for families with young kids. In some areas, a pool can make your home harder to sell. Many buyers see pools as a hassle, not a perk. If you’re thinking about adding a pool, check if homes with pools in your area actually sell for more.

7. DIY Projects Done Poorly

Doing upgrades yourself can save money, but only if the work is high quality. Poorly finished projects, such as uneven tile, messy paint, or faulty wiring, can deter buyers. Home inspectors will notice, and buyers may ask for repairs or lower their offer. If you’re unsure you can do the job correctly, hire a professional. Quality matters more than saving a few bucks.

8. Garage Conversions

Converting your garage into a living space, gym, or extra bedroom may seem like a smart idea, but most buyers prefer a garage for parking and storage. Losing a garage can lower your property value, especially in areas where parking is limited or winters are harsh. If you need more living space, look for other options before giving up your garage.

9. Too Much Landscaping

A beautiful yard can boost curb appeal, but over-the-top landscaping can be a problem. High-maintenance gardens, ponds, or elaborate features can deter buyers who prefer low-maintenance options. Simple, tidy landscaping is best. It looks good and is easy to care for. If you love gardening, keep it simple and easy to change.

10. Removing a Bathtub

Many buyers, especially families with young kids, want at least one bathtub in the house. If you replace all tubs with showers, you might limit your pool of buyers. Even if you prefer showers, keep at least one tub for resale value. It’s a small detail that can make a big difference.

Think Before You Upgrade

Not every home upgrade adds value. Some changes can make your home harder to sell or even lower its price. Before starting a project, consider how it will impact your property value and potential future buyers. Simple, practical upgrades typically yield greater returns than significant, personal changes. If you’re unsure, consult a local real estate agent or appraiser. They know what buyers want in your area.

Have you made a home upgrade that didn’t turn out as planned? Share your story or advice in the comments.

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