One of the most significant deciding factors for home buyers is its kitchen. A house’s kitchen is its heart, so it should be functional for cooking while also being a pleasant enough space to spend time in. Explore this blog to learn how kitchen remodeling affects your property value when you are ready to sell.
Cost to Remodel
A kitchen remodeling is not cheap. According to Remodel’s Cost vs. Value Report for 2021, the national average price for a midrange minor kitchen remodeling—where you install cost-efficient appliances and finishes—is about $26,214. The average for a midrange major renovation jumps up to $75,571. The median cost for an upscale major kitchen remodel is $149,079. These estimates have risen in recent years due to natural inflation and international supply shortages due to the pandemic. However, this expensive investment can be worth it if you budget correctly.
Return on Investment
Inexperienced renovators often assume that expensive finishes translate to higher returns, but you will make more money by wisely investing a small budget. Remodel Magazine’s report finds that the average return percentage is 72.2 percent for the midrange minor remodel. Upscale major kitchen renovations only have an average return of 53.9 percent comparatively.
So, if you are making upgrades based purely on financial returns, make sure that you don’t go over budget to the point that you lose money on your investment. Major luxury projects make more sense if you plan on living in a home for a long time before selling. If you plan on selling soon, go for small, well-spent investments.
Which Upgrades Affect Value?
Once you decide that a kitchen upgrade is suitable for your home, be strategic about how you distribute your budget. By prioritizing improvements on the finishes most likely to positively affect your bottom line, you can maximize the financial return of your renovations. Below are a few of the main kitchen features to focus on while remodeling.
Cabinets take up the majority of every kitchen, so they can have a massive impact on the overall aesthetic of your home. Old cabinets can become burdensome, and broken or jammed doors can make your kitchen seem cheaper than it actually is. Upgrading your kitchen with high-quality storage such as Ultracraft kitchen cabinets can immediately give the room a facelift with crisp, finely crafted material.
In addition to getting the perfect cabinets, you need to find the right color and finish for them. Trendy cabinet colors seem as if they are constantly changing, so make sure that your finish isn’t outdated. You can breathe new life into your cabinets by simply repainting them.
When it is time to upgrade their countertops, inexperienced renovators will often pick an expensive stone to give the kitchen a luxury finish. However, you can achieve a similar look with much cheaper materials. By opting for a granite remnant, laminate, tile, or other faux luxury material, you can still achieve that high-end look for a much cheaper price.
Sink and Faucet
When you are upgrading your countertops, a common upgrade that’s commonly done at the same time is upgrading the sink and faucet. Since you and the next homeowner will use these two appliances multiple times a day, it’s important to find a balance between beauty and function. Farmhouse sinks are trendy, but the porcelain can get stained scuffed. Both of these things require a lot of elbow grease to remove. If you’d rather not have a farmhouse sink because it sounds like too much maintenance, stainless steel sinks work well in modern-style homes due to their durability.
A simple way to bring together the overall design of your kitchen is with a backsplash. A new tile backsplash is a cheap investment compared to the other investments on this list. It can also increase the overall worth of your kitchen. You can streamline the design by matching the color with your countertop, or you can choose an elaborate tile to give the space a bold accent.
The most practical way to increase the value of a kitchen is with new appliances. Upgraded appliances are a priority for home buyers, so even though it’s a costly investment, it might be a necessary one. Dated appliances can make your kitchen look like a fixer-upper, which will be detrimental to the final value of your home.
An expensive but effective renovation is upgrading your floors. Wooden flooring is an eye-catching addition, but its sensitivity to moisture can make it a problem in the kitchen. So, you’ll need a more durable option such as tile. When you are choosing the neutral, traditional flooring design is typically best because trendy designs can decrease in value once out of style.
Lighting can have a dramatic impact on the feel of a room. Depending on the placement and design of fixtures, you can manipulate the room’s lighting to enhance its overall aesthetic. When you are picking lighting fixtures, find something that compliments the rest of the room’s design. A cohesive look can have a more considerable impact than an expensive fixture.
If you don’t plan on selling the home directly following the renovation, then consider what features are important to you. Design it the way you want while also keeping future homeowners in mind. If your budget allows, don’t be afraid to splurge on a few select finishes that are important to you.
After exploring how kitchen remodeling affects your property value, hopefully, you have a better understanding of such an investment can move the bottom line. By wisely spending your budget on upgrades to the cabinets, appliances, and other key features, you can increase your return when it’s time to sell. When you are ready to start your remodeling project, check out the catalog at iCabinetry for expertly crafted cabinets.