Whether you’re planning to sell your home or you just want to improve an outdated decor, you need to be aware of how much a renovation project will affect your home’s value. This is especially true if you are planning to add a new bathroom or renovate your kitchen. Both of these spaces will require you to redo plumbing fixtures, replace cabinetry, or update the wiring in your home. This can be an expensive project, but it will be worth it in the end if you’re smart about your renovations.
Adding Value with a New Kitchen
Generally speaking, a new kitchen will always be a good investment if you’re looking to add value to your home. You can expect to get about 80 to 90 percent of your renovation’s value back, meaning a $30,000 kitchen renovation project could add up to $27,000 to your home’s value. Of course, this number will change depending on whether you put more or less money into your project. Simply repainting your kitchen or installing new cabinets probably won’t add a lot of value to your home, but redoing everything in your kitchen down to the sink and the floors will have a bigger impact providing you can afford to pay the price tag.
Renovating or Adding a Bathroom
A new bathroom can also add a lot of value to your home. How much value it adds will depend on the size and style of your bathroom. The average cost of renovating a bathroom or installing a new bathroom in 2017 was $43,232. This can increase a home’s value by a little over $23,000. That isn’t as much of a return of investment as a new kitchen, but it’s still a significant change if you plan to refinance or resell your home.
Bathrooms also present a few more options than kitchens. People with large homes and large families can add a new bathroom or even a half or three-quarter bathroom to their homes. This kind of bathroom obviously has its advantages to anybody living there, but this smaller project will still increase a home’s value without requiring the owner to spend as much money. It’s a smaller investment, but it’s still a wise one.
Getting an Estimate
The only downside to renovating a kitchen or bathroom is that it does cost a lot of money. Yes, you’re adding value to your home, but that doesn’t do a lot of good if you cannot afford the initial investment. If you want to make sure that you’re making a wise decision with your potential new renovation, find a good contractor and local plumber who handles renovations to give you an estimate. The right contractor will talk you through any ideas that either of you might have so you can be sure that your renovation will be right for your house and your budget.