How much can a kitchen remodel add to the value of your home?
The kitchen is considered by many to be the heart of the home. A well-designed kitchen can enhance a home’s overall appeal and functionality. A poorly designed kitchen may make everything feel antiquated and inefficient, which isn’t good if you’re planning to sell. Because it is so vital, many homeowners start with a kitchen remodeling project when undertaking house upgrades. But can a kitchen renovation add enough value to warrant the cost?
Well, yes and no.
The short answer is you likely won’t realize an actual direct profit from a kitchen upgrade. You will enjoy an experience that positively influences the entire home as a more enjoyable place to live.
According to the NAR’s 2019 Remodeling Impact Report, kitchen renovations are the third most popular home improvement, with standard kitchen updates coming in second. However, according to Remodeling magazine’s 2020 Cost vs. Value analysis, the ROI for all kitchen renovations, including mid-range and upscale, is declining. So how do you decide?
Does Kitchen Remodeling Add Value?
Answer: YES. However, raising the value of your home and receiving an actual return on your investment are not the same thing. When planning a home renovation budget and deciding which projects are worthwhile, you shouldn’t make your decision based only on whether you profit from your remodeling when you sell your home.
Remodeling magazine’s Cost vs. Value research suggests that you’ll recoup anywhere from 58% to 77% of your remodeling investment when you sell your home depending on the scope of your kitchen remodeling project and the real estate market when you sell your home.
Home remodeling projects rarely, if ever, yield a 100% return. Determining whether it’s worth spending the price of a kitchen remodel is really about how you will enjoy your home while you’re living in it.
A kitchen remodel does often end up being less expensive when you factor in the value it adds when you sell. Why not take advantage of the benefits now? Look at a kitchen upgrade as a family life enhancement rather than simply a profit and loss question.
But correcting everything isn’t the best way to maximize your investment return (ROI). It’s hard to tell which renovations add value.
Buyers of used homes don’t expect them to be brand new. They may actually be looking for savings, not to subsidize too many upgrades. So, when selecting where to spend money on upgrades to increase your home’s worth, think about what you will enjoy the most without being trapped into feeling like you have to turn a profit on something meant to make your home more pleasant for you and your family.
90 percent of homeowners reported wanting to spend more time in their homes after a complete kitchen redesign, as seen in their blogs. For example, Liz Joy, owner of Pure Joy Home, redid her kitchen and was so pleased she said that she would sleep on top of the new island if she could.
And she can finally stand at the kitchen sink and look out over her yard, a longstanding desire.
What’s the consensus? If you’re remodeling the kitchen, do it for yourself. Because reselling has no guarantees financially.
Box Construction – The Right Choice For Kitchen Remodeling
Over the years, even as our company has grown and evolved, we have maintained a highly personalized level of service for every client. We take the time to understand your objectives and your needs. This allows us to make recommendations that add value to your renovation while keeping your costs as low as possible.
When we’re on the job, we never forget that we’re working in your home. We treat your home as though it were our own, maintaining a safe and clean working environment, and doing everything in our power to minimize the disruption to your daily routine.
Every member of our team – from our project managers to our amazing admin staff – is friendly, knowledgeable, and honest. We care about you and we will accept nothing less than your full satisfaction with our services.
If you would like to know more about us, or if you would like to schedule a no-cost, no-obligation phone consultation to discuss your renovation project, contact us today. We look forward to assisting you and being your go-to kitchen remodeling contractor in Murrieta and Temecula.