In most cases, you can count on your updated kitchen to increase the value of your home. It's no surprise that buyers are willing to pay more for high-end finishes and thoughtful upgrades. According to a recent survey, 80% of homebuyers placed the kitchen on their list of the three most important spaces. A new kitchen can increase the value of the home.
In general, value is expressed as the percentage of the money spent on remodeling that the homeowner recovers after the sale of the home. Better Homes and Gardens says homeowners can expect a return of around 52% on their investment in a new kitchen if they sell their home. The exact amount you'll recover depends on a few factors, such as the value of your home, the value of the homes in your neighborhood, and the quality of the project. Real estate agents in some cities report that major kitchen renovations actually provide significant positive returns on investment.
Yes, a new kitchen is likely to attract new buyers, but quartz countertops and a Viking range won't save the deal if a home inspection reveals serious problems elsewhere in the home. Value Report However, the return on investment for all types of kitchen renovations, including mid-range and high-end remodeling, is declining. The key to keep in mind here is that just as an impressive, renovated kitchen can sell a home, an outdated kitchen can hinder a sale. If you plan to continue living in your home for some time after the renovation, you may want to think more about remodeling the kitchen.
National ROI averages for kitchen renovations vary depending on the scale and cost of the remodeling in question. Major kitchen removals with highly sophisticated finishes have a national average ROI of around 54 percent. So, as you go through your long to-do list, you'll need to decide if the benefits outweigh the time and money involved in renovating a home. If you're in a booming housing market with lots of newly built homes, a larger renovation could be worthwhile, as it competes with new kitchens.
While these advantages are impossible to accurately calculate in your ROI, they are clear benefits that expect to be reaped from a well-thought-out and appropriate kitchen renovation project. Instead of spending thousands of dollars installing new wall and base suspended kitchen cabinets, simply replenish and upgrade the hardware and final finish of your cabinets. Homebuyers first evaluate kitchens and bathrooms when considering a purchase, and kitchens today have become meeting places. Just as kitchens impact home prices more than other rooms, certain kitchen features have more selling power than others.
You're probably not planning on such an extensive upgrade, involving the installation of French doors, a gas fireplace with stone fireplace, and a private kitchen, to name just a few features. Most real estate agents will tell you that kitchens sell houses, but increasing the value of the home and getting a big return on your expenses is not the same thing. However, giving your kitchen a mini face wash can be enough to compete with other houses on the market without breaking the bank.