Why Do Homeowners Remodel and What Projects Satisfy Most?
2025 Report reveals remodeling trends and homeowner satisfaction levels.
Return on Enjoyment is real
What is "Return on Joy?"
It is known in the industry as ROJ, or “the return on joy or enjoyment.” Much like its cousin, ROI, return on investment, this index attempts to measure satisfaction as another reason to invest money in your home besides resale.
The National Association of Realtors released its 2025 Remodeling Impact Report, which reveals:
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- Reasons why homeowners remodel
- The outcome of taking on projects
- The level of happiness in the home after completion
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“The nature of human beings is to build, to make homes their own and better,” says Owner John Murphy, now in his 42nd year as the leader of a the Twin Cities Flagship design/build firm. “It only makes sense that as things settle down economically, people look to their own daily lives for fulfillment of that natural desire.”
Homeowner video: In her own words what satisfied her the most.
inspections involve 10 key components
The 'Joy' Factor: NAR Report Reveals Top Satisfaction Projects.
NARI calculated a Joy Score for each project based on the happiness homeowners reported with their renovations. Here are the projects receiving the highest Joy Scores:
- Primary bedroom suite addition
- Kitchen remodel
- New roof
What are the primary reasons homeowners remodel
Why Homeowners Remodel.Are any of these on your list?
According to homeowners, the primary reasons for remodeling focused on these four goals:
- Upgrading worn-out surfaces, finishes, and materials
- Increasing energy efficiency
- Getting their home ready to sell within two years
- Feeling like it's time for a change
What really does matter in affordability?
Affordability: Mortgage Rates Don't Matter?!
Housing affordability and increased mortgage rates are assumed to be a major factor in remodeling. Surprisingly, 89% of homeowners reported that it wasn't the case. Only 9% of homeowners said elevated home prices and/or mortgage rates prompted them to remodel.
So, how did homeowners pay for their projects? 54% used home equity loan/line of credit, while 29% used savings. Only 10% used credit cards. If costs were not a factor, 92% of homeowners said they would choose to remodel additional areas of their homes.
What matters in terms of outcomes?
Top Remodeling Results.
The most important outcomes from remodeling, according to homeowners:
- Improved functionality and livability
- Enhanced beauty and aesthetics
- Durable and long-lasting materials and appliances
“Remodeling is so very individualistic,” explains President Ben Murphy. “While these reports may give the reader some idea of what’s popular and most desired among those surveyed, every homeowner has their own set of reasons.”
“It may be a desire to stay in the home as long as possible or a promise made 20 years ago by a spouse, but never fulfilled. Our job as a remodeler is to discover what those desires are and bring them to life with the greatest amount of satisfaction possible,” states Murphy.
This month, Murphy Bros. Design Build was awarded another 10-in-a-row homeowner satisfaction achievement badge from GuildQuality. “That’s our fifth 10-in-a-row satisfaction achievement,” explains Murphy Bros. President Ben Murphy, “helping us reach our annual goal of 95%.”
