Want to increase the return on investment in a costly kitchen remodel? It’s worth taking the time to make sure you’re investing in the right room – and the best upgrades – before you get started. According to Remodeling, kitchen projects that cost below $20,000 get an 83 percent return on investment. In fact, the kitchen scored better than remodeling the basement, bathroom, and home office, and adding on a garage, family room or bathroom. If you’re moving ahead with a kitchen remodel, here’s what you should know.
Value is king
The most important rule in a kitchen remodel is not to invest more money in the project than the home is worth. For example, putting up $35,000 for a remodeling project when your home is worth $175,000 won’t get you the ROI you’re looking for. A diminishing return on investment in the remodel will only leave you with a home that’s worth more than you can sell it. Be careful of the scope of the project. Consider if a minor facelift boosts your home’s value and maintains your competitive edge in the market, before proceeding with a complete kitchen overhaul.
Know what people want
Yes, you should invest in kitchen features that you like, but if you feature your favorite color – orange – in the counters, it’ll prove hard to sell and recoup its value. Savvy homeowners invest in neutral tones and put their money into features that home buyers want to maximize value. It’s best to balance popular features with your own preferences, perhaps bringing in the color orange through accessories that you can put away when you’re showing the home, or swap them out later without spending a fortune.
Investing your money
Here are some of the popular feature people tend to look for in a new home:
Your kitchen remodel should provide a refreshing and investing space to gather with family and friends, but it should also pay off financially. Work with a kitchen designer before you start the project, and discuss the best ways to increase the return on investment in your kitchen remodel.