In the hottest housing markets, according to the industry
experts at HGTV and the National Association of Realtors, springing for a kitchen or bath remodel is a sure-fire investment, often returning more than 100 percent of the cost! In Baltimore, for instance, a $9,400 bathroom remodel recouped 182 percent of its cost at resale, according to Remodeling’s 2004 study. The markets in Washington, D.C., Minneapolis, Chicago, Atlanta, San Francisco and San Diego also offered triple-digit returns on a bathroom remodel. Minor kitchen remodels (average cost: $15,273) also provided returns of more than 100 percent in cities including Providence, R.I., Miami, New Orleans and, of course, San Diego, where a $17,928 investment netted $27,000 on resale.
Kitchens and baths are the areas in a home “where you can tell if money has been well spent or not,” says architect Steve Straughan, a partner in Los Angeles-based KAA Design Group. “They’re the most expensive areas of the home in terms of construction. And they’re where people spend time in their homes.”
Here are some considerations to keep in mind:
So exactly what should you improve when you redo your kitchen or bathroom? Think traditional: all-wood cabinets, commercial-look appliances, natural wood or stone floors and stone countertops. Walk-in showers have replaced whirlpool tubs as the must-have cleaning machine in bathrooms, Straughan says. His clients will “forgo the tub to have a big walk-in shower” if they don’t have room for both. “Most people don’t have time to take a bath,” Straughan points out. “So a lot of time you’re giving away all that square footage for a tub that rarely gets used.” Floor-to-ceiling steam showers are also hot (so to speak).Two key points to consider, however: First, don’t spend money remodeling the bathroom if it’s the only one you’ve got. Your money is better spent adding a second bath. Many people love “the charm of older homes,” says Long Beach, Calif., based realtor Dick Gaylord. “But a number of older homes lack a sufficient number of bathrooms. So if you’ve got a four-bedroom, one-bath home, it’s certainly going to pay to add a second bathroom.” A National Association of Realtors study by Florida State University professors G. Stacy Sirmans and David Macpherson found that adding a bathroom increased the sale price of a home by 8.7 percent, more than twice the rate for adding a bedroom.
Second, if you’re not planning to move in the near future, spend your money remodeling in a way that you’ll most enjoy. Realtor Ron Phipps recently showed a house with a kitchen that had been remodeled just two years ago. “I opened the Viking range and the original packaging was still inside,” Phipps says. The homeowners “are not cooks. The kitchen is terrific, it’s magnificent, but they don’t use it.”
In other words, you can’t measure the value you get out of your use and enjoyment of the home improvements you make. “Even if you get less than 100 percent of your money back, you’re really ahead of the game over time because you get the use of all that space,” says Sal Alfano.
If you’re ready to invest in your home and your lifestyle with a kitchen remodel in Oakwood or a bathroom renovation in Centerville, let the Dayton Ohio remodeling company of Spectrum Contracting give you a complimentary evaluation and suggestions on how to get started today.
About Spectrum Contracting: A second generation home builder, Spectrum Contracting has over 30 years experience in custom home building, home remodeling, historic renovations, and fire and water restoration. For a complimentary consultation on your next home renovation, email Scott or call 937.477.7325.