How to Increase Your Home Value with a Kitchen Remodel

Shortlist these kitchen renovation projects to boost your property’s resale value

open kitchen

(Above) Sweeten homeowner Katy’s renovation

An outdated kitchen is not the only reason to remodel. Needing more storage space and providing a refresh after years of wear-and-tear also top the list. Luckily, doing a kitchen remodel allows homeowners to recoup costs via resale value. Whether you want to sell next year or next decade, it’s wise to plan your upgrades carefully. Here, Sweeten lays out how to boost the overall value of your home through a range of kitchen remodeling projects.

Sweeten matches home renovation projects with vetted general contractors, offering guidance, tools, and support—for free.

Kitchen remodels recoup their value

A kitchen remodel has a high return on resale value because it increases the value of your home. In a 2021 report on Cost vs. Value, 72.2% was the cost recoup value for mid-grade kitchen remodeling projects. The report also showed that a mid-grade renovation is the 3rd highest home improvement investment.

According to Statista, only about 8% of homeowners carry out kitchen renovations to improve the value. With a kitchen project, you are not only improving the look of the kitchen but, most importantly, you are improving the function and quality of life.

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Upgrade the kitchen through a rip-and-replace

One of the most common changes to a kitchen is the upgrade of cabinetry and appliances. A rip-and-replace project includes removing old materials in the kitchen and swapping them out for newer modern ones.

Unlike other forms of kitchen projects, in a rip-and-replace, the walls, plumbing, or electrical elements maintain their positions. You can reface, refinish, or replace your cabinets and swap stoves, fridges, and other fixtures with newer and better models.

Changing the layout of your kitchen

Whereas a rip-and-replace does not affect the position of items in your kitchen, changing the layout of the kitchen does. It focuses on maximizing the square footage, functionality, and work surfaces in your kitchen. Additionally, it involves more construction than installation.

With a revised layout remodel, you can install new appliances and change their old positions. This can involve moving or upgrading plumbing and/or electrical which increases the budget.

Moving walls by borrowing from adjacent areas or bringing down walls to create an open concept also allows for renewed functionality and more space. Also, a one-wall turned into an L-shaped layout creates more space in your kitchen, which will increase property value. According to real estate agents, potential buyers usually search for bigger living spaces in their new homes.

Refresh on the finishes

Just as the name states, this type of kitchen renovation places the spotlight on the design and materials of your kitchen. From your countertops and backsplash tile to paint and flooring, this remodel revitalizes and optimizes the style of your kitchen.

If you are renovating the kitchen for personal use, customize your choices to your taste in materials, colors, and patterns. You can match your kitchen to the design in the rest of the house or switch to an edgy style. Just get creative!

If you plan to sell your home within five years, keep in mind kitchens are a primary decision-maker for potential home buyers. So, remodeling with more neutral colors and classic patterns will attract a range of buyers.

Prepare your kitchen renovation budget

A general contractor’s site inspection and cost estimate for the renovation is the best way to prepare your budget. However, there may be other issues that the construction team will uncover once demolition takes place. It is advisable to prepare for timeline changes and additions to the budget in the event of such discoveries.

During the first inspection for an estimate, provide the contractor with details about the house. These details should include the history, age, and other vital details about the building. With that information, the contractor can discuss worst-case scenarios based on the existing conditions of the space and how old the building is.

Sweeten suggests having an extra cash reserve for larger gut remodels. This contingency will give peace of mind should issues arise once walls and floors are broken into. Prepare an extra 10% or 15% to the initial budget cost if your renovation project will include extensive construction work.

Kitchen renovations are a great way to increase your property value. Understand the different scopes and which ones align with your budget, and you’ll be on your way to a new cook space that will give back.

Sweeten handpicks the best general contractors to match each project’s location, budget, scope, and style. Follow the blog, Sweeten Stories, for renovation ideas and inspiration and when you’re ready to renovate, start your renovation with Sweeten.

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