If the kitchen or bathroom in your home has worn-out items and outdated fixtures or it is not as functional as it could be, then it is probably due for an update. Every day, new and better versions of the fixtures, appliances, and components that you have in your home are being rolled out.
Also, the dominant design trends that homebuyers want are constantly changing. This means that homeowners who allow their properties to lag in style and function find that their houses are shunned or underpriced by prospective buyers.
Updating different parts of a home is the way homeowners ensure that they retain, or even boost, the value of their property, points out Bigham & Associates. And given that bathrooms and kitchens are two main areas in a home that buyers look at, it makes sense to start with them. Updating all or parts of a home’s kitchen or bathrooms offers greater returns than other home upgrades.
Apart from boosting the home’s value, they impact homeowners’ enjoyment of their property the most. But how much do these upgrades affect a home’s value? And what home improvement projects offer homeowners the best returns on their money.
How much will a kitchen upgrade improve your home’s value? No upgrade is guaranteed to return 100% of your costs, but most kitchen upgrades will return 60%-80% of what you spend. But this figure depends on the specific upgrades you carry out and the extent of the remodeling project.
Prices for kitchen remodeling projects vary widely: from $35,000-$55,000 for minor upgrades to $80,000-$120,000 for major upgrades, and $66,000 for mid-range upgrades. But there is also room for budget upgrades that cost far less than a major upgrade. Happily, though, the rate of return on a kitchen renovation does not depend on how much you spend on it.
Here are the kitchen upgrades that consistently deliver the highest return on homeowners’ investment:
- Changing hardware: You may not realize it but your kitchen’s hardware actually directs attention away from your cabinets. Changing hardware will improve the look of everything around them.
- Update your lighting: Changing the lights to more stylish and brighter versions will improve the kitchen at once. You should use combinations of recessed and pendant lighting, plus chandeliers.
- Change the backsplash: Changing the backsplash adds more visual appeal to the kitchen without costing you a lot. You can add a splash of color to make other kitchen features pop.
- Replace sink and faucet: Kitchen faucets and sinks are best changed together. And given that faucets, like hardware, are magnets for visitor’s eyes, this upgrade is highly recommended.
- Repaint: Repainting your kitchen is one of the quickest and cheapest ways to update its style. And repainting is not limited to walls alone. You can repaint cabinets and appliances that still work well but have lost their shine.
- Added or improved storage: This is a highly functional and desirable upgrade; buyers always want more storage. You can add new storage and just use some open shelving.
Just like kitchen upgrades, bathroom upgrades are unlikely to return 100% of your costs. But being one of the most important rooms in the home, updating it will help your home sell faster.
Bathroom upgrades are either cosmetic or functional. And the ROI ranges from 58% to 75%, with basic remodels costing $3,000-$12,000; mid-range renovations hovering around the $18,000 mark; and upscale renovations costing up to $57,000.
The cost of a bathroom renovation also depends on whether the project involves upgrading an old bathroom or adding a new one.
The bathroom renovations that offer the highest returns are:
- Repaint the bathroom: A new coat of paint in modern colors will bring the bathroom up-to-date even if you don’t change anything else. When choosing colors, aim for neutral shades with wide appeal.
- New tile and grout: Changing the tile around behind the bathroom sink will add a statement wall. And if you replace the white grout around the tiles with darker shades, you will ensure that the whole area needs less maintenance.
- Brighter lighting: Brighter lighting will make the bathroom look more spacious and it doesn’t cost a lot to implement. Efforts to improve lighting should also aim to add more natural light.
- Updated cabinets and vanity: Cabinets present major opportunities and there are many ways to go about this. You can reface or repaint them, change their hardware, or install new ones altogether. Or you can do a more extensive upgrade that includes the whole vanity area.
- New plumbing fixtures: Fixtures are magnets for eyes. Simple changes like a rainfall showerhead and faucets with modern design will give the bathroom a more luxurious look.
- Walk-in shower: Adding a walk-in shower with an updated showerhead and glass enclosure will make the bathroom feel a lot bigger.
- Energy-efficient updates: Options here include toilets, showers, and sinks with the optimized flow as well as energy-efficient lighting.
Finally, to get the most from your kitchen and bathroom renovations, decide your objectives, and create a plan before you begin. This will ensure that whatever updates you choose will deliver the most returns on your investments.