If the kitchen is the heart of the home, what does it say when yours is falling apart? Outdated fixtures, old appliances, or a dysfunctional layout might have you daydreaming about a full kitchen renovationâbut how much will it cost to remodel your kitchen?
Before you begin your kitchen remodel, you might want to consider why youâre remodeling, how much work it will require, when youâll schedule the renovations, and how youâre going to pay for it all, not to mention the obvious: if, ultimately, it will add value to your home.
Why Should I Remodel My Kitchen?
Zillow Housing Aspirations Report , 76 percent of Americans said theyâd prefer to spend on upgrading their home rather than using the money as a down payment for a new home.
Homeowners remodel for different reasons, but itâs important to consider the cost, have discussions with your spouse or partner around the kitchen table, and evaluate what the average return on the kitchen remodel will be before diving into plans or spending a large portion of your overall home renovation budget.
Do you plan to live in your place a few more years and enjoy your new kitchen, or strategically upgrade for a more appealing home sale in the near future? The answer will probably influence where and how you spend money on your kitchen.
What is the Average Return on a Kitchen Remodel?
The truth is you may have a difficult time recouping the total cost of a kitchen remodel in a home sale. When it comes to making money off of a kitchen remodel, the best bang for your buck may be less costly but visually impactful minor renovations: things like replacing the fronts of cabinets, upgrading countertops, replacing fixtures like faucets or lights, repainting, or putting in new flooring.
According to Remodeling Magazineâs Cost vs. Value Report 2020 , the national average return on investment (ROI) for that work is approximately 78%. An upscale remodel, on the other hand, yields a 53.9 percent ROI on average.
If youâre looking at a kitchen renovation solely to add value to your home in a sale, you might want to consider other upgrades that are higher in return and lower in cost, as well. In a Zillow survey , 58 percent of buyers said having their preferred style of kitchen was âextremely or very important to their home-buying decision.â Thus, if youâre considering selling your home in the near future, small, strategic updates instead of a full-blown kitchen remodel could potentially help the sale of the home.
How Much Should I Spend on a Kitchen Remodel?
The budget for your remodel will vary widely based on the amount of work you want done and the quality and cost of the materials you choose. On average, homeowners spend between around $22,000 for a minor kitchen remodel up to $116,000 for an upscale kitchen remodel. With such a wide range to consider, it might be wise to think about what your budget is before calling in contractors.
Consider what overall changes you want to make to your space. Will the kitchen remodel be a simple update of appliances, or do you want to change the entire layout and design?
Once you have an idea of what you want in mind, consider how to budget for it. What items or updates are must-haves in your kitchen remodel? What could be removed if the tally for your overall kitchen renovation ends up being too pricey? A prioritized list of updates or changes with the estimated cost for each project attached can be a helpful guide when trying to stay on budget within a certain price range.
Deciding how much you want to spend on your remodel is entirely up to you. If youâre looking for guidelines, HGTV recommends spending between 6 and 10 percent of the value of your home to get the best ROI.
But even the best planned budgets might go awry, so including a line item in your budget for unexpected expenses can help down the line. Use our Home Improvement Cost Calculator to get an idea of how much your kitchen remodel will cost.
Where Can I Cut Costs Remodeling My Kitchen?
If youâre trying to keep costs down on your kitchen remodel, keep in mind that certain design choices are likely to drive the budget up. In a full-scale kitchen remodel, new kitchen cabinets are typically the biggest expense, generally accounting for 20 to 40 percent of the project budget. If youâre looking to cut expenses in your kitchen remodel, you might consider trying to refinish or reface your existing cabinets, as well as adding new hardware for a more modern look.
10 to 12 weeks ; however, note thatâs simply an expectation. The reality could be very different, and the time of year will also come into play.
A recent kitchen remodel can be a big selling point for potential buyers if you intend to sell your house in the next few years. Renovating your kitchen also can be a way to add functionality to a home you plan to live in for years to come.
When beginning the process of plotting out your kitchen remodel, set a budget and prioritize what facets are most important to you. Look at the average return on a kitchen remodel investment and also consider how much of the work you potentially can attempt yourself versus what youâll need to hire a contractor to do.
While cabinet finishes, new appliances, and fresh countertops can be exciting, setting aside a budget often is not. If it looks like your ambitions could outspend your budget, you might consider taking out a personal loan.
Personal loans from SoFi have low interest rates available for those who qualify, and offer fixed monthly payments. These 100% fee-free unsecured loans might be just the recipe to getting your perfect kitchen.
Find out more about using a SoFi personal loan to update your kitchen.
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