While no price tag can be placed on the enjoyment homeowners will get out of their high-end home improvement projects, when it comes to re-sale, less is more.  According to Zillow, data shows spending a ton on a renovation doesn’t necessarily increase your home’s resale value more than spending a lot less money.

Zillow's data also shows bathrooms are where you'll get the most bang for your buck when it comes to resale value.  But it's the mid-range remodels that will return $1.71 per dollar invested versus only $.87 recovered on upscale bathroom remodels. Turning a low-end bathroom into a functional space is a lot more valuable to prospective buyers than upgrading a room that’s already in good shape.

There's no shame in getting that luxury spa-like bathroom you've always dreamed of; the rewards of a high-end remodel come in the form of long-term enjoyment. But when thinking about selling, homeowners will generally consider the areas that might need a little pre-listing TLC, and bathrooms are commonly on the list. Here are some tips for increasing the return on a bathroom remodel.

Consider the Local Market

The ROI of a bathroom remodel largely depends on your local real estate market. Ask your real estate agent for the home features that sell best in your area. If buyers in your area aren't seeking out newly remodeled bathrooms, you won’t see much of a return on your investment.

First, Fix what Doesn't Work

Focus on what is going to look bad to a buyer touring your home, or more importantly, to the home inspector. There are a number of issues you'll likely be required to have repaired anyway, so doing them in advance of listing is a smart move.  A few examples are cracked tiles, peeling caulk, water damage, mold, and cracked grout or tile.

Prioritize Functionality

Above all else, bathrooms should be functional.  If avoidable, don’t place a toilet next to a tub, make sure there’s enough clearance for the shower door and cabinet doors, don't forget a place for a toilet paper holder near the toilet, and be sure to include electrical outlets near the vanity countertop.

Keep it Neutral

To appeal to a broad range of buyers, bathrooms should be light and neutral. If it's lacking natural light, installing a window (if possible) can let in much-needed light and make small space seem larger. 

Try Some Minor Upgrades

Minor upgrades can make a big Impact. Consider painting the cabinets, installing a new toilet, updating the hardware, replacing the lighting, adding some open shelves, or including a fashionable new mirror.