How Much Does a Kitchen Remodel Add to a Home’s Value
Most people in the US tend to gravitate towards general contractors for this purpose since that way, you get an expert for cabinets, plumbing, countertops, and backsplash, all in one. Join us as we dive into the world of kitchen remodeling, the way it affects real estate value, and the multiple different approaches you can take when remodeling your kitchen.
Types of Kitchen Remodeling
Minor Kitchen Remodeling
Mid-range Kitchen Remodeling
Major Kitchen Remodeling
How Does Kitchen Remodeling Add Value
How Much Value Do Specific Kitchen Renovations Add
Depending on how much of the kitchen you want to redo and what you’re willing to invest, the value can increase or decrease. According to the national averages and our experience in kitchen remodeling, here’s the value rate you can expect from each type:
- Minor Remodel Value. When you opt for a minor remodel, that means you’re looking to invest anywhere between $25,000 and $50,000. Since the average minor renovation cost is about $28,000 and the expected property value increase is about $20,000, you’ll get a return of over 70%. This is the highest margin.
- Mid-range Remodel Value. Mid-range renovations typically cost between $50,000 and $100,000, and if you were to take the average expense of $80,000 as your benchmark, you can expect to increase the value by $45,000. When you calculate the percentage, this comes out as a return on investment of over 55%.
- Major Remodel Value. Major kitchen remodels can cost you anywhere from $100,000 to $160,000 based on what you want to accomplish, but they also increase your home’s value by $80,000+. That means that you’ll see a return on investment of about 50%, which is a significant improvement.
Key Costs to Consider
Though remodeling your kitchen is quite an undertaking with many moving parts, you should understand the elements that can drive up your home’s value the most. Let’s explore which kitchen features you should prioritize.
We live in an era of fast-developing technology in every aspect of our lives, and this includes kitchen appliances, regardless of whether they’re blenders, fridges, or dishwashers. One thing to keep in mind when it comes to the value of a kitchen is that while you should prioritize the quality of your appliances, you should also match the design and color to the kitchen’s theme.
How to Save Money
- Refurbish the Cabinets. If your cabinets are in a good state, even if slightly outdated, you don’t need to throw them out and replace them with new ones. Instead, you can choose to uninstall them and repaint them. You can also add new touches, such as better handles that will make the cabinets seem like an entirely new feature.
- Put an Accent on the Backsplash. The backsplash is actually one of the cheapest parts of a kitchen remodeling. If you were to invest in getting brand-new tiling for your kitchen, it would be much cheaper than changing an entire set of cabinets. You can also get playful with the backsplash colors.
- Don’t Overspend on Appliances. Appliances are very important to the overall functionality and appearance of a kitchen. However, this doesn’t mean you should buy new ones when you decide to remodel. Most modern appliances are designed to blend in with most environments. If they still do the job, keep them.