Study after study has shown that kitchen and bathroom remodels are wise home investments. Potential homebuyers provide further proof, putting offers on homes with updated bathrooms and kitchens. If you have a chunk of money available to improve your living space, it’s best to put it towards a bathroom or kitchen remodel.
Sure, adding a pool will markedly increase your quality of life, but it may not be the best investment if you want to recoup your money. It’s the age-old questions homeowners have mulled for years: If I want to get my money back, where should I invest it? The answer, over and over, has been in the bathroom and kitchen. Here’s why:
- Even small budgets make an impact. We spoke to the experts at Classic Granite and Marble about upgrading kitchens and bathrooms. They routinely advise clients to invest in value. If a homeowner has $15,000 to spend in the kitchen and you’re wise with your decisions, the project can result in as much of an aesthetic improvement as a complete kitchen redesign.
- The return for a kitchen remodel is more than half. According to a recent Remodeling report on the cost vs. value of remodeling jobs, kitchens return about 66 percent. In addition, potential buyers look at the kitchen first. A large but out-of-date kitchen won’t attract buyers.
- Bathrooms get a hefty return, too. Yielding about 62 percent of a return for the home investment, remodeling the bathroom is a wise move. Larger bathrooms with two sinks, optimal lighting and unique showers are what prospects are looking for.
- Keep it within reason. You may have always dreamed of a gourmet kitchen, but that type of project may price you out of a return. For example, your $80,000 home doesn’t warrant a $60,000 kitchen. Investing a fraction of that money in a kitchen facelift – new countertops, flooring and hardware – can have a significant impact on the room’s quality.
- Know your neighbors. Understand the value of homes in your neighborhood, too, when it comes time to make improvements. Don’t invest in a massive kitchen overhaul that will price your home out of the market. You’ll never get a solid return on this home investment. Be aware of what homes in the neighborhood are going for and keep costs within this realm.
- Keep it neutral. The best way to ensure a solid return on investment in a kitchen or bath remodel involves using ideal styles and colors. Fire-red counters may appeal to you, but few buyers will be attracted to that style. You should ideally stay with neutral colors for cabinets, flooring and countertops and a universal style that appeals to many home buyers.
When investing in home improvement projects like a bathroom or kitchen remodel, keep two factors in mind. You’ll have to live with the changes, so choose a style and color that you and your family like. But also know that these choices will come back to you when it comes time to sell. Work with a trusted home improvement professional to get advice about the best investments to make in the bathroom and kitchen and to ensure a return.