The Value of Your Home Kitchen Renovation

The Kitchen Master | September 6, 2017

For decades, kitchen remodels have been a surefire way to increase the perceived value of an existing home. Conversely, homes with outdated kitchens often sell below market value and spend a greater number of days on market than those with stylish cooking spaces. Sometimes, however, a decision to remodel prior to putting a home on the market is not so simple.

The Truth About Added Value

Just how much of the cost can be recouped varies, but some studies have shown a return on investment of almost 93 percent. However, there are some qualifiers to that expectation. Major kitchen remodels — those costing more than about $25,000, according to HGTV — don’t fare as well as less expensive updates. Although great kitchens are high on the list of buyer wants, many of today’s shoppers are just as concerned about function as they are with a beautiful kitchen. Even if you won’t re-coup your entire kitchen investment if and when you do sell your home, the years of enjoyment and ease of daily use will more than make up for the initial expense.

New kitchens do pay back some of their expense through energy-efficiency.  New appliances are especially important. You can almost always expect to recover the cost of installing new Energy Star appliances, water-saving faucets and efficient lighting fixtures.

Studies of current buyer trends support the idea that an increasing number of buyers expect to spend some money to update the homes they purchase today. They are, however, looking for great floor plans and adaptability, and are more than willing to consider homes with “good bones” that need cosmetic improvements to make them “move-in ready.” A Zillow survey reported that more than half of recent buyers purchased a home requiring some updating.

The Key to Kitchen Updating

The best advice about kitchen renovation for Chicago area homeowners is to “follow your heart” when thinking about changing the heart of your home. It might be a trade-off between what you really want and what will make good sense from a financial perspective. Certainly, if a kitchen doesn’t meet your needs, you should consider renovating it. If it’s outdated in function and style, you’ll want to bring it up to date whether you plan to enjoy it for years or sell it in a couple of years.