Canals homeowners who own a home long enough will eventually need to renovate their kitchen. The problem is that the project can be very expensive without providing a corresponding increase in resale value. This means that homeowners may spend a lot of money on parts of the project that do not feature an adequate return. Fortunately, there are a few aspects to kitchen renovations that do offer a higher return on investment. Selecting these options will help homeowners target their money to upgrades with the greatest benefit.
How to Approach Kitchen Upgrades
With kitchen renovations, the sky is the limit. People could spend half of their home's value on the kitchen, and this level of expense usually does not carry a high rate of return. The kitchen typically needs a significant overhaul about once every 15-20 years. However, the cost to update it does not necessarily require a lot of expense. In fact, the less people spend to get quality materials and appliances, the better their ROI in an increased resale value. Homeowners who spent $20,000 on a kitchen upgrade will often get a better return on their investment than people who spend $40,000.
Since kitchen appliances only last about 10 years, there is a high likelihood that homeowners will need to replace them more often than a major kitchen remodel. Appliances can represent as much as a third of the total budget, but the payoff in resale value is generally higher. Energy-efficient appliances with a stainless-steel finish usually have the biggest long-term benefit. Homeowners should remember the appliance's lifespan in relation to their plans to sell. If they upgrade the kitchen 7-8 years before they plan to sell, they will probably have to replace the appliances again just before the sale.
As a common area of the home, the kitchen needs good flooring that will stand up to humidity and foot traffic. For the kitchen, home buyers tend to prefer a few flooring types:
- solid hardwood
- porcelain or ceramic tile
- natural stone tile
The choice significantly affects the price. Tile made of porcelain or ceramic tends to be the least expensive of these choices. People might pay 10 times as much for certain types of stone or exotic hardwoods. Homeowners who are planning to upgrade years before selling should also consider upkeep needs. Stone tile and hardwood flooring have a high ROI, but they require a lot of care to avoid damage.
Some homeowners save money on their kitchen upgrade by repainting their cabinets instead of replacing them. For a simple, minor update, this often makes sense. Older cabinetry made of solid wood might last for decades longer than newer products made of plywood or medium-density fibreboard. Homeowners who are completely redesigning the kitchen may want to start with new cabinets so they can get the right sizes and a perfect match. Otherwise, changing the doors and pulls is an efficient way to dramatically change the cabinets' appearance without significantly increasing the cost.
Like flooring, countertops are one area that homeowners should not skimp if they hope to get a higher resale value. Laminate countertops cost a fraction of solid granite or marble slabs, but home buyers tend to prefer higher-end surfaces. Homeowners may be surprised to learn that solid-surface countertops have come down in price in recent years. However, the highest quality and least-accessible materials still cost a great deal. People who buy quartz or a moderately priced granite can usually get a great look that will appeal to buyers years down the road.
Because they tend to cost more, kitchen upgrades can be difficult to negotiate for a high ROI. By making these choices, homeowners have a better guarantee of getting a good return on their investment when they are ready to sell.