How Even a Little Money Can Pay Off Big Time
Often times when building a home, homeowners don’t realize that investing in their bathroom and kitchen can really pay off. Owning a house can be as dizzying as it is exciting. As a homeowner you have to attend to many moving parts on a regular basis: what if the furnace goes out next week? What about renovations and remodeling? And most importantly, what about your long term strategy for increasing the value of your home?
Let’s focus on that last hypothetical, which is arguably the most important: determining a long term investment strategy for increasing your home’s value.
Simply put, it pays to focus on your kitchen and bath. But you may be wondering what’s so special about the bathroom and kitchen? Here are some quick facts to warm the waters on this topic.
- The bathroom and the kitchen are always in the top 3-5 most important rooms for maximizing a home’s value.
- When staging a home, real estate agents usually look to the bathroom and kitchen first to increase property value and sell homes quickly.
- Jennifer Billock says in a post that “bathrooms can be deal breakers or makers” in prospective home sales.
- According to a telling infographic produced by the National Association of Realtors in 2017, the top three interior projects were kitchen renovations, upgrades, and bathroom renovations.
But this is just a small section of the overall picture. Investing in kitchen and bath can lead you down a wider path of prosperity.
Some Quick But Important Bath and Kitchen Considerations
Fortifying your home with interior additions and renovations can be one of the smartest investments you make. But you will not want to spend a ton of money for a modest return on investment.
Keep this in mind: remember that the state of the housing market and your location will shape the overall amount of money you gain back. Checking in on the local market is the smartest choice before you invest in your bath and kitchen.
But as Cost Vs. Value data has shown, national averages since 2018 have only increased for bathroom and kitchen remodels or additions. So, you can definitely bank on investing in your bath and kitchen.
The Tangible Value of a Nice Bathroom and Kitchen
A recent Forbes article highlighted a nice kitchen and bath as being number 1 for increasing your home’s value. As told within, even just replacing old appliances with newer models can help. And look no further than replacing older cabinets for a much needed touch-up in the kitchen.
On kitchen remodels, financial expert Dave Ramsay says that your kitchen needs will vary from your neighbor. It all depends on your long term goals. But You can almost guarantee a 75% ROI with some of the smaller kitchen investments.
On the other end of the spectrum, there are bathrooms. A 2018 annual report by Home Advisor, bathroom remodels and additions are much more popular with homeowners, showing that about 25% reported they would work on their bathrooms in the future.
With a bathroom upgrade–or even just by regrouting the tile–you can expect to increase the value of your home. According to Pocket Sense, adding a new bath can add 20% to your overall home’s value. That is certainly something to consider!
Some homeowners work their way up to investing in individual parts of the house at a much later time. But as trends continue to reflect, investing in your bath and kitchen will always be a surefire way to increase your home’s value and ensure a strong ROI! Contact Fruth Construction to see how we can help turn your custom dream home into a reality.