Flooring and home value at a glance

What does the research say about hardwood flooring and resale value?

The most frequently cited flooring return comes from the National Association of REALTORS® and National Association of the Remodeling Industry's 2022 Remodeling Impact Report.

That report estimated:

• Refinishing hardwood flooring recovered 147% of the project cost.
• Installing new wood flooring recovered 118% of the project cost.
• New wood flooring and hardwood refinishing both received a perfect 10 out of 10 homeowner Joy Score.

For new wood flooring, remodelers estimated an average project cost of $5,500 and REALTORS® estimated that the project added $6,500 at resale. For refinishing, the estimated project cost was $3,400 and the estimated recovered value was $5,000.

Those numbers are encouraging, but they should not be treated as a guarantee.

The report compared national project-cost estimates supplied by remodeling professionals with resale-value estimates supplied by REALTORS®. It did not measure the actual sale price of every house before and after installing a floor. It also reported “new wood flooring” as one category rather than providing separate returns for solid and engineered hardwood.

The more recent 2025 Remodeling Impact Report gave new wood flooring a 9.1 out of 10 Joy Score. It also found that 46% of buyers had become less willing to compromise on a home's condition.

That last point matters. Flooring can create value by making a house feel finished and well maintained, even when a buyer or appraiser does not assign a separate dollar amount to the material.

Why hardwood appeals to buyers

Hardwood can influence a buyer's perception of the entire home.

A well-chosen wood floor can make connected rooms feel larger, establish a consistent design foundation and suggest that the property has been maintained with durable materials.

The National Association of Home Builders' What Home Buyers Really Want study found that hardwood flooring in the main living area was rated essential or desirable by 81% of surveyed buyers.

That does not mean 81% of buyers will pay a specific premium. It means hardwood is broadly accepted and unlikely to be viewed as a highly personal or unusual finish.

Hardwood also offers qualities buyers can recognize:

• A real natural material.
• Unique grain and board-to-board variation.
• Long-term design appeal.
• The possibility of recoating or refinishing.
• Compatibility with many interior styles.
• A more permanent feel than many replaceable floor coverings.

The value is strongest when the floor suits the home's price point and architecture. Wide-plank white oak may support the appeal of an updated open-plan home, while a traditional narrow-strip oak can look appropriate in an older property.

Does refinishing existing hardwood add more value than replacing it?

If a home already has salvageable hardwood, refinishing is often the best flooring investment.

Refinishing preserves a material buyers already recognize as valuable while avoiding the cost of removing and replacing the entire floor. It can repair surface wear, remove an outdated stain and make connected rooms feel substantially cleaner and newer.

Consider refinishing when the floor has:

• Surface scratches.
• A worn or yellowed finish.
• A dated stain color.
• Minor gaps or isolated board damage.
• Uneven sheen.
• Discoloration that does not extend deeply into the wood.

Replacement may be necessary when the floor has extensive water damage, severe movement, widespread pet staining, structural problems or too little usable wood remaining for another sanding.

Before covering existing hardwood with another product, ask a flooring professional whether it can be repaired or renewed. Concealing salvageable wood beneath a floating floor may solve an immediate appearance problem, but it can also leave potential value unused.

Solid hardwood, engineered hardwood or LVP: which adds the most value?

There is no universal dollar premium for each material. The likely effect depends on how buyers interpret the floor within the particular house.

Does solid hardwood increase home value?

Solid hardwood usually carries the clearest traditional value signal because each plank is natural wood from top to bottom.

It can be sanded and refinished multiple times, allowing the floor to be renewed or restyled rather than replaced. That long service life can make it especially appropriate for:

• Higher-value homes.
• Historic or traditionally designed properties.
• Living rooms and dining rooms.
• Main-level bedrooms.
• Homes expected to remain in the family for many years.
• Markets where buyers commonly expect real wood.

Solid hardwood is not automatically the best investment everywhere. It generally costs more, reacts to changes in moisture and humidity and is not normally the first choice below grade.

Installing an expensive solid hardwood floor in a basement, laundry room or entry-level property may not produce enough additional buyer appeal to justify the cost.

The question is not simply, “Will buyers like hardwood?” It is, “Will this particular home and market reward the added cost of solid hardwood?”

Does engineered hardwood increase home value?

Quality engineered hardwood can add meaningful value because it is also real wood flooring.

The visible surface is natural hardwood. Beneath it is a layered wood or specialized core designed to improve stability and expand the floor's installation options.

According to the National Wood Flooring Association's wood flooring guidelines, engineered wood flooring is real wood flooring, although the construction varies by manufacturer and product.

From a buyer's perspective, a well-installed engineered floor can provide:

• The natural grain and variation of real wood.
• A premium appearance in main living areas.
• Wider plank formats.
• Better suitability for certain concrete subfloors.
• Greater dimensional stability than comparable solid wood.
• Possible future recoating or refinishing, depending on the wear layer.

Engineered hardwood can be particularly valuable when it allows the homeowner to install real wood where solid hardwood would be difficult or expensive to use.

The resale result depends on quality. Buyers may not ask how many millimeters of wood are present, but they will notice whether the floor looks natural, feels solid, is properly installed and remains in good condition.

A thin, poorly milled product with repetitive visuals or visible movement will not create the same impression as a stable, well-finished engineered floor.

For help comparing the construction, read How to Choose Engineered Hardwood Flooring: 7 Specifications That Determine Quality.

Does LVP increase home value?

LVP can increase home value when it replaces flooring that is worn, damaged, inconsistent or inappropriate for the room.

It generally does not carry the same traditional premium as solid or engineered hardwood because its wood appearance comes from a printed design rather than a natural wood surface.

However, buyers do not evaluate materials in isolation. They also care about:

• Condition.
• Appearance.
• Water resistance.
• Maintenance.
• Pets and children.
• Continuity between rooms.
• The amount of work needed after moving in.

A quality LVP floor may make a home easier to sell when it creates a clean, cohesive and practical result. It can be an especially strong decision in:

• Basements.
• Bathrooms.
• Laundry rooms.
• Mudrooms.
• Rental properties.
• Homes with frequent pet accidents.
• Entry-level and midmarket renovations with controlled budgets.
• Areas where water exposure makes real wood less practical.

LVP is less likely to support a premium perception when it is installed throughout a luxury home where buyers normally expect natural materials.

Product quality also matters. Repeated grain patterns, excessive shine, weak locking joints and obvious artificial texture can reduce the finished effect. A restrained color, realistic texture, low-sheen surface and greater pattern variation usually create a more convincing result.

If you are deciding between real wood and resilient flooring, read Engineered Hardwood vs. LVP: Which Is Better for Your Home?.

How flooring affects an appraisal

A flooring invoice does not automatically add the same amount to an appraisal.

Appraisers develop an opinion of value using comparable sales, the home's overall quality and condition, local buyer behavior and other market evidence. Fannie Mae's appraisal guidance requires actual differences in property quality and condition to be analyzed, even when two houses receive the same general condition rating.

That means new flooring may contribute to value by improving the home's overall condition and competitiveness rather than receiving a separate line-item adjustment.

For example, a new floor may:

• Move the home closer to the condition of renovated comparable properties.
• Remove an obvious deferred-maintenance issue.
• Improve photographs and first impressions.
• Reduce the amount of work buyers expect after closing.
• Help the home compete against newer or recently updated listings.
• Prevent buyers from mentally deducting an exaggerated replacement cost.

A $20,000 flooring project does not guarantee a $20,000 appraisal increase. The result must be supported by what comparable buyers have paid for similar homes in the local market.

The three ways a floor can create value

Homeowners often think only about a higher selling price. Flooring can influence a sale in three different ways.

1. Price

A desirable, appropriate floor may help a house command more than a similar home with worn or dated flooring.

This is the most visible form of value, but it is also the most difficult to isolate because buyers purchase the entire home rather than one finish at a time.

2. Marketability

A cohesive floor can make the home photograph better, show better and appeal to more buyers.

Improved marketability may lead to:

• More showings.
• Fewer immediate objections.
• Stronger emotional response.
• Less pressure to offer a flooring allowance.
• More confidence in the home's overall condition.

3. Enjoyment before resale

Flooring begins producing value as soon as it is installed.

In NAR's 2025 research, new wood flooring received a 9.1 out of 10 Joy Score. That matters for homeowners who expect to live with the renovation for several years before selling.

A floor does not need to recover every dollar at resale to be worthwhile. Part of the return can come from years of improved appearance, comfort and use.

What buyers notice most about flooring

Material matters, but it is not the first or only thing buyers see.

Condition

Scratches, stains, broken locking joints, water damage and visible gaps can create concern even when the underlying material is expensive.

A modest floor in excellent condition can show better than premium flooring that needs immediate work.

Continuity

Too many flooring changes make a home feel divided.

Using one material across connected spaces can make the floor plan appear larger and more deliberate. Where materials must change, transitions should occur at natural boundaries such as doorways.

Color

Highly specific colors reduce the number of buyers who can imagine their furniture in the space.

Natural, warm and restrained wood tones generally provide a more adaptable foundation than heavily gray, red, orange or artificially distressed finishes.

That does not mean every floor must be beige. It means the color should work with the home's fixed finishes and architectural character.

Installation quality

Buyers may not know the cause of an installation problem, but they notice the result.

Common warning signs include:

• Hollow or moving areas.
• Open joints.
• Uneven transitions.
• Poorly undercut door jambs.
• Missing or mismatched moldings.
• Repetitive plank placement.
• Short boards concentrated in one area.
• Inconsistent stain or sheen.
• Floors installed over an uneven subfloor.

Installation quality can matter as much as the flooring category.

Fit with the home

The floor should feel appropriate for the property.

A premium natural material can support the positioning of an upscale home. A durable and attractive LVP can be entirely appropriate in a busy family home, lower level or moisture-prone space.

Value falls when the choice feels noticeably below the home's standard—or when the homeowner overspends on a specification buyers in that market will not recognize.

Which flooring adds the most value by room?

Always confirm that the specific product is approved for the room, grade level, subfloor and installation method.

When should you replace flooring before selling?

Replacing flooring before listing makes the most sense when the existing floor is likely to become a major buyer objection.

Consider replacement when:

• Carpet is visibly worn, stained or odorous.
• Multiple adjoining rooms use unrelated flooring.
• Laminate or LVP has widespread edge damage or broken joints.
• Water damage is visible.
• The flooring makes the entire house appear dated.
• Repairs cannot produce a consistent result.
• Comparable renovated homes offer noticeably better flooring.
• Buyers are likely to overestimate the cost and inconvenience of fixing it.

Before replacing everything, consider whether cleaning, repairing or refinishing will solve the problem.

A near-term seller should generally prioritize:

1. Repairing safety and moisture problems.
2. Refinishing salvageable hardwood.
3. Replacing visibly failed flooring.
4. Creating continuity across the rooms buyers see first.
5. Selecting a broadly appealing finish.
6. Avoiding expensive specifications the local market will not reward.

Ask a local real estate agent to compare the home with competing listings before making a major investment. Flooring expectations can differ substantially by neighborhood and price range.

When should you replace flooring for long-term ownership?

If you expect to remain in the home for years, the financial calculation changes.

You have more time to receive value through daily use, and long-term durability becomes more important than immediate resale recovery.

Choose solid hardwood when:

• You want the maximum potential for future refinishing.
• The room and subfloor are appropriate.
• You expect to own the home for decades.
• Traditional real-wood construction matters to you.

Choose engineered hardwood when:

• You want real wood with greater installation flexibility.
• The project involves concrete or a location where dimensional stability matters.
• Wide planks or factory-finished visuals are priorities.
• You want a balance of premium appearance and project economics.

Choose LVP when:

• Water exposure is a central concern.
• Pets, children or frequent spills will drive daily use.
• The project includes a basement, bathroom, laundry room or mudroom.
• Lower maintenance and controlled project cost are more valuable than a natural-wood surface.

Flooring mistakes that can reduce resale value

Choosing for trend rather than the home

A highly fashionable floor can date quickly when it conflicts with the home's architecture or permanent finishes.

Using several nearly matching wood looks

Two almost-matching wood visuals beside each other can look accidental. A deliberate contrast is usually better than an unsuccessful match.

Ignoring the complete project

Flooring material is only one part of the finished result. Transitions, stair noses, baseboards, door clearances and adjoining floor heights all affect perceived quality.

Installing over unresolved moisture

A new floor cannot correct an active moisture problem. Failures caused by moisture may create more concern than the original dated flooring.

Selecting by price per square foot alone

An inexpensive material can become an expensive project after adding preparation, underlayment, adhesive, moldings, freight, removal and labor.

Installing premium flooring poorly

Buyers see gaps, movement and bad transitions before they see wear-layer thickness or wood species.

Assuming every buyer wants the same thing

Real wood may be the strongest general resale choice, but a buyer with large dogs, young children or a basement may place more value on a well-selected waterproof floor.

How to compare the financial decision

Start with the complete project cost:

Flooring material + overage + removal + subfloor preparation + installation materials + moldings + labor + freight = complete project cost

Then compare three forms of return:

Likely resale benefit + improved marketability + years of personal enjoyment

Do not make the decision using an online ROI percentage alone.

Ask:

1. Can the existing floor be repaired or refinished?
2. How long will we live with the new floor?
3. What materials are typical in comparable homes?
4. Which rooms matter most to buyers?
5. Will the new floor create continuity?
6. Does the material suit the room's moisture and traffic?
7. What is the complete installed cost?
8. Will buyers recognize the added specification?
9. Does the color work with the home's fixed finishes?
10. Can the floor be maintained or renewed?

How to compare flooring samples for resale appeal

A resale-friendly floor still needs to work inside the actual home.

Order samples from more than one material category if you are undecided. Compare solid hardwood, engineered hardwood and luxury vinyl plank in the rooms where the floor will be installed.

Check the undertones

Place each sample beside cabinets, countertops, tile, trim and adjoining flooring. A sample that looks neutral online may appear pink, yellow or gray in the room.

View it throughout the day

Morning sun, artificial light and shadows can change both color and sheen.

Look from a standing distance

Buyers experience the whole room, not a six-inch sample held near their face. Place the sample on the floor and step back.

Consider the full installed pattern

Review installed-room images and the product's expected variation. Real wood varies naturally; printed flooring depends on the number and quality of its visual patterns.

Test how visible normal wear will be

Matte finishes, visible grain and subtle texture often disguise fine marks more effectively than glossy, highly uniform surfaces.

The final decision

Hardwood flooring can increase home value, but material cost alone does not create the return.

Solid hardwood offers the strongest traditional signal and the greatest long-term renewal potential. Engineered hardwood provides real-wood appearance with greater installation flexibility. LVP creates value through durability, waterproof performance and more controlled project economics.

For a near-term sale, begin by repairing or refinishing what you already have. Replace flooring when its condition or inconsistency is likely to become a buyer objection.

For a long-term renovation, choose the material that fits the room and how your household actually lives. A floor that looks appropriate, performs well and remains in good condition will usually be more valuable than a more expensive product selected for the wrong application.

The best flooring investment is the one buyers appreciate later—and you appreciate every day until then.