Does a Kitchen Renovation Increase Home Value?A well-designed kitchen can elevate the appearance and functionality of your entire home. In contrast, an outdated and inefficient kitchen can really bring down the look and feel of the house. The kitchen is considered one of the top 3 most important spaces in your home according to homebuyers. Here are some interesting statistics about kitchen renovations and home value:
- A kitchen renovation is the 3rd most popular type of home improvement. General kitchen upgrades are the 2nd.
- Of buyers who bought homes without certain features, 69% said they would have paid more for new appliances and 55% would have paid more for granite countertops.
The Cost of a Kitchen RenovationEven so, for most homeowners, the cost of a kitchen renovation is a determining factor in the decision to renovate or not. Even when you carefully plan a cost-effective kitchen renovation and manage to keep it within your budget, a kitchen remodel is a big commitment. You want to be sure it’s worth the investment. Of all home renovations, a kitchen remodel is in the highest category with an estimated return on investment (ROI) of 75-100%. That said, the ROI on your kitchen renovation will depend on how much you spend, the scope of the project, and where you live. For a home valued in the low or mid-range, a luxurious high-end remodeled kitchen could actually hurt the resale value of your home. But if most of your neighbors have granite countertops while yours are basic laminate, for example, upgrading your countertops to granite would likely be worthwhile.
How to Improve ROI on Your Kitchen RenovationApart from the temporary inconvenience of a dismantled kitchen, there’s really only one potential disadvantage of a kitchen renovation: the risk of a low return. However, it’s a risk that can easily be avoided to ensure your kitchen renovation is cost-effective. Here are 7 ways to improve the ROI on your kitchen renovation:
- Time your renovation strategically.
- Use a neutral color scheme.
- Stick to transitional styling.
- Keep the tile simple.
- Invest in a quartz countertop.
- Choose stainless steel appliances.
- Match the quality of the rest of your home.