Americans spend $400 billion per year remodeling their homes.
So, which remodeling investment gives the best return when it comes to resale value?
It should come as no surprise, especially leading up to Thanksgiving, that the best money to spend upgrading your home is in the kitchen.
It’s the place where most homeowners spend most of their waking hours.
According to the research from the National Association of Realtors, it’s where remodelers will see the biggest return on investment.
Here is the ranking of various projects in terms of the value it adds to the home:
- Complete kitchen remodel
- Kitchen upgrade
- HVAC replacement
- Owner’s suite renovation
- Bathroom renovation
- Finishing a basement
- Adding a bathroom
Ask a homeowner which room they would most like to improve, and most will point to the kitchen – the starting point for every meal and the heart of the home.
Ask those same people why they don’t move forward with a kitchen remodel, and many will say the project seems so overwhelming they don’t know where to start. If your kitchen needs an upgrade, here are some step-by-step suggestions to get you started.
Gather your thoughts
The steps that follow will all progress much easier if you take time beforehand to form a strong opinion about the desired look and layout of your new kitchen.
Start by reviewing kitchen magazines and photo-heavy kitchen remodeling guides and/or websites. Compiling clippings and printouts in a notebook helps you refine your vision. Clip or print the photos that capture your imagination, add notes, and draw circles and arrows around the things you like most.
Once you have a clearer vision of what you want, search online for better examples and new solutions, if necessary. If you live with a significant other, share your ideas with them and don’t allow yourself to become too committed before getting buy-in from them. Contractors and sales associates will expect a unified front.
Focus on the flow
Another major factor you’ll want to consider is how your new kitchen will be used, and by whom:
- Do you want to cook with others?
- Do you want family and guests to gather in the space while you cook?
- Do you want to serve meals in the kitchen?
- Do you want to display your dishware?
- Where would you like things stored for maximum efficiency?
Imagine yourself happily cooking and entertaining in your new kitchen, then note the key elements necessary to make those dreams a reality. Having a list of your desired kitchen features and storage needs will help ensure your plan meets your vision.
Determine your budget
According to the annual Remodeling Magazine survey of costs, a “midrange,” “minor” kitchen remodel will cost homeowners living on the West Coast about $23,000. Those same folks can expect to pay about $70,000 for a midrange “major” kitchen remodel. Determine what you can afford before you start work to ensure that your vision is within reach, or to help prioritize what’s most critical.
What to do with the cabinets
Replacing the cabinets is one of the most expensive improvements you can make in a kitchen remodel (typically consuming 20 to 40 percent of the overall budget, according to Architectural Digest).
Consider refacing instead. This can include one of the following: 1) Installing completely new cabinet doors and drawer fronts or 2) installing new wood or laminate veneer over the existing cabinet and drawer fronts or 3) simply refinishing the existing cabinet and drawer fronts.
Shopping for contractors
The contractor you choose will determine much of the cost, the pace of your project, the amount of disruption, the final results, and your level of satisfaction. So be thorough in your search:
- Ask friends and family for referrals and advice.
- Interview at least three of the leading prospects in-person.
- Ask to see samples of past work.
- Look for someone who complements your operating style (similar personality and communication style).
- Once you’ve narrowed your choice to one or two, ask to speak with a few past clients.
You’ll be tempted to latch onto the first contractor who gets rave reviews from a friend or family member. But remember: You and your project are unique, and it’s worth the time and effort to be rigorous in your search.
If you’re planning to replace appliances, here are three factors you’ll want to consider:
Finish – Stainless steel is still the most popular option, but beware: smudges, fingerprints, water spots, and streaks will be obvious. Black stainless steel has a warmer feel and is better at hiding spots.
Extended warranty – According to Consumer Reports, extended warranties are hardly ever worth it because today’s appliances are so reliable. And if something does fail, it’s often less expensive to just pay for the repair.
Unbiased testing and reviews – Before making an appliance purchase, use the information resources available through Consumer Reports.
A final note
Moving walls and extending your home’s foundation are both very expensive options. If your kitchen plans call for these architectural renovations, perhaps you’ve outgrown your home and need something larger (with an already-improved kitchen).