For homeowners thinking of renovating their home, getting the best result often means finding a way to navigate several conflicting objectives. They must look at various factors before they settle on the upgrades that they consider the best ones.
The three most common goals homeowners try to meet when renovating are:
- To make the home more pleasant from the owner’s point of view. That means doing updates that cater to the home’s joy score; that is, how an upgrade makes the owner feel about their house.
- Homeowners also think of what the home needs. These updates make real improvements to the way a home works. They address the functional rather than cosmetic issues, which plague the house.
- Thirdly, homeowners look for improvements that will make the most impression on potential buyers and lead them to offer more money for the property, says SCUDO Real Estate. These upgrades usually address a combination of functional and aesthetic issues.
Since it is hard for a single renovation to accomplish all three objectives, owners have to choose the objective that is most valuable to them. If that objective is to make the home more saleable, the best renovations are often those that improve the bathroom and the kitchen.
Why is this?
Why kitchen and bathrooms are homeowner’s favorite renovations
Estate agents commonly say that “kitchens sell homes.” That is true because the kitchen is one of the rooms homebuyers consider when deciding if they like the home and if it’s worth its list price. Whatever makes the kitchen better improves the overall attractiveness of the house.
That is also why kitchens serve as a showpiece for the rest of the home. They serve as a barometer by which visitors measure the house. That is part of why homeowners like to entertain visitors in the kitchen; it gives them a chance to show off.
Bathrooms, on the other hand, are central to our sense of physical wellbeing. They are essential for getting us into the right frame of mind in the morning and helping us unwind in the evening. Bathrooms should be very inviting and also, somewhat, luxurious.
Homeowners are guaranteed the most attention from buyers when they renovate these two areas of their home. Kitchen and bathroom renovations can help a home sell faster and for more money. But they do this in different ways.
How bathroom renovations improve the home’s value
ROI on bathroom renovations varies and depends on the scope of the project. A bathroom renovation may be minor, mid-range, or upscale. Whatever renovation owners do, they have a chance of earning as much as $0.71 on every $1 they spend on the home.
Basic bathroom renovations will cost anywhere from $3,000 to $12,000. Mid-range projects cost a maximum of $18,000 – $20,000. The costs of upscale projects hover around the $55,000 mark, with some projects going up to $65,000.
Bathrooms typically return 58% – 75% of the homeowner’s costs. However, a renovation project’s returns depend more on the brainwork than the expense. A few of the bathroom projects with high returns are:
- Adding double sinks and modern faucets, especially, if they have multiple flow and water saving features.
- Installing a rainfall showerhead with a walk-in shower inside a glass shower enclosure.
- Improving the vanity by refacing or repainting it and adding a contemporary mirror and recessed medicine cabinet.
- Installing new tile and grout around the sink or new tile floors.
- Improving lighting by allowing more natural light into the bathroom and adding lights to reflect different moods.
- Improving the energy efficiency by installing sinks and showers that optimize flow and energy efficient lighting.
- Repainting the bathroom.
How kitchen renovations improve a home’s value
The kitchen renovations that work best are those that:
- Replace outdated or damaged parts of the kitchen.
- Improve the function of the kitchen by adding new features.
- Expand the kitchen space or make better use of existing space.
If an update does one or two of these, it can improve the home’s value by 60% – 80% of the renovation’s cost (renovations rarely return 100% of their amount). Depending on the specific upgrades done, renovating a kitchen can cost anywhere between $8,000 and $126,000.
For low-budget DIY upgrades, costs can be as low as $8,000. Total remodels, which involve gutting the kitchen and changing its layout, can cost as much as $120,000. But most kitchen renovations will cost homeowners between $35,000 and $55,000.
And some of the specific kitchen upgrades that offer the best ROI are:
- Adding new storage or improving existing storage; usually by incorporating smart storage ideas.
- Re-facing or repainting kitchen cabinets, as well as replacing the hardware on them with modern ones.
- Updating lighting to make the kitchen brighter; adding layers of decorative and functional lighting.
- Replacing old appliances or improving the look of old but functional appliances by repainting them.
- Repainting the kitchen in modern colors.
Posted in Kitchen & Bath, Remodeling
