An overlay is new asphalt paved over the old surface. A replacement tears everything out and rebuilds from the base up. At our example rates the overlay runs $3.25 per square foot against $4.50 to $6 full depth, so the overlay wins on price every time it is honest to sell. The whole estimate comes down to whether it is.
Example math on a 600 sq ft driveway
| Job | Example rate | 600 sq ft total |
|---|---|---|
| Overlay / resurface | $3.25 / sq ft | $1,950 |
| New driveway, 2 in | $4.50 / sq ft | $2,700 |
| New driveway, 3 in | $6 / sq ft | $3,600 |
Example rates from our calculators, not market prices. The overlay saves $750 to $1,650 on this driveway at these numbers, mostly because it skips demolition, hauling, and base work. Check your own spread on the asphalt overlay calculator and the asphalt driveway calculator.
An overlay is only as good as what is under it
New asphalt over a failed base is a countdown, not a repair. Cracks in the old surface reflect up through an overlay, and alligatored areas mean the base is moving and will crack the new lift the same way it cracked the old one. An honest overlay quote starts with a walk. Sound surface with age and minor cracking: overlay. Widespread alligatoring, soft spots, drainage failures: replacement, or at least cut-and-rebuild of the failed sections first. The same tell covered in sealcoating vs repaving applies here.
The height problem
An overlay raises the driveway a couple of inches, and those inches have to go somewhere. At the garage they can leave a lip against the slab or crowd the bottom of the door. At the street they change the apron transition and can send water somewhere it never went before. Edges that used to sit flush with lawn or walkway now sit proud.
Every overlay quote should walk the perimeter: garage face, apron, walks, drains. Sometimes the answer is milling down the old surface first, and that cost belongs in the quote, not in a surprise phone call later.
Which driveway gets which
Structurally sound, drainage works, height has room: overlay, and pass the savings on. Failed base, standing water, or a driveway already tight at the garage door: full replacement. When it is close, quote both and let the owner pick with real numbers in front of them.
PriceDesk runs overlay and full-depth as separate rates, your rates, itemized in a text in about ten seconds. Free 14-day trial, no card.