Will Renovating a Kitchen Add Value to Your Home?

How much value does a renovated kitchen add to your home?

Adding gleaming kitchen appliances to your kitchen will definitely make it look new and sleek. At the same time, it will also instantly improve the saleability of your property. However, before diving into the process of trashing those cabinets and countertops, it is crucial to understand how much value a renovated kitchen adds to your home.

As we all know, renovating the kitchen can be the most expensive among other room renovations. It’s going to be either an update for lifestyle or to make money, so it’s important to know which way you are going to go. If you’re not planning on moving, sure you could indulge in a few extras. However, if you’re looking to sell in the property market soon, it may be better to make your new kitchen a profitable decision rather than a luxurious yet expensive one.

Now, how much you should spend largely depends on your budget and what your home is already worth.

Do not overcapitalise

To start off, look at recent sales results in your neighbourhood and check whether buyers were happy and satisfied to pay a few extras for a new kitchen. Check also if these homes were sold faster than the other competition. How about the design? Do they have similarities?

You can also have a chat with your local real estate agent who is knowledgeable enough to give you advice on how you can renovate your kitchen without overcapitalising.

One way you can also avoid overcapitalising is to think about what kind of return you are hoping to achieve on your investment. For instance, you can’t just go with a marble countertop or install a dish warming drawer just because you like it. Instead, consider what potential buyers might think as a great value to be added.

How much does a kitchen renovation cost?

As mentioned earlier, a kitchen renovation cost depends on your budget and also on how much you’re looking to spend. Normally, a kitchen should cost around two to three percent of the property’s overall value.

Here are a few options for you to consider:

• Simple kitchen – keep your existing kitchen layout and appliances, but add simple improvements such as new tapware, replacement of handles on cabinets, new lighting and re-tiling of splashback. The average cost should be between $1,000 to $4,000.
• Budget kitchen – a flat pack or a pre-assembled kitchen can cost $2,000 to $14,000. However, if you have a small kitchen, it will obviously be cheaper.
• Mid-range kitchen – the cost ranges between $20,000 and $40,000 depending on the room size and any structural or plumbing changes.
• High-end kitchen – new premium appliances, flooring, lighting, structural changes, new plumbing – this could stretch anywhere from $35,000 to $60,000+ to achieve a dream kitchen.

In addition, while it may be tempting to completely rearrange your kitchen layout, it is important to be reminded that anything that involves relocating plumbing or electrical work can add a lot to the overall costs.

Can I renovate my kitchen myself?

Kitchen is the one area in the house where most homeowners don’t mind doing a DIY project. In fact, many flat-pack kitchens now exist and they are even looking impressive.

On the other hand, if you’re not confident putting your kitchen together, you can always hire a tradie to help you with measuring and installation. It’s also a good idea to look for an experienced tiler or electrician to do the jobs that are above your skill level. Just be realistic about the finish you are anticipating.

Best kitchen upgrades for resale

Who wouldn’t want to have a walk-in pantry in the kitchen, right? It’s certainly a must especially if you have the space to do one. Opt for practical storage systems on multiple walls and floor-to-ceiling shelving.

It may also be worthy to add a butler’s pantry if your home is considered to be at the higher end of the market. It can be a great place where you can hide your daily mess like the toaster and other cooking appliances. This usually includes a sink and tap and an additional bench space. Sometimes, it can also include an additional dishwasher, fridge and other appliances, making it look like a second kitchen.

What to avoid?

The number one thing you should avoid when remodeling a kitchen is overspending. This seems to be easy especially when a full renovation is your target, which is why planning is essential to keep yourself on budget. If in doubt, you can seek professional advice from a real estate agent so they can give you an idea of what you need to spend money on.

A few other ways to consider are buying items in bulk which will save you money as well as measuring the appliances to make sure they will fit your kitchen. Don’t leave buying what you need to the last minute and ensure you take time to properly consider the layout or finishes that you want to accompany for your kitchen.

Additionally, if you’re renovating for a profit, choose a classic design that will attract a wider audience when it comes to the day of selling. Opt for blush gold tapware plus your chosen colour scheme, or you could also stick with stainless steel finishes. Don’t forget to also add lighting to make your space feel warm and inviting.

What makes a new kitchen a success?

It is worth noting that aside from the kitchen’s overall appearance, its functionality as just as much important. Kitchens today are no longer just a place to prepare a meal, but it is also where the family congregates, cooks and eats. Prospective buyers will definitely be looking for a satisfying lifestyle and they will want to imagine themselves enjoying with their family and friends n and around the kitchen.

Speaking of which, it is worth considering to connect the kitchen with the outdoors so you can have a spacious area in case you will be arranging parties at your home. This can be achieved by adding a servery window or sliding glass doors opening onto a balcony, deck or terrace.

To sum up, renovating a kitchen is crucial if you are planning to sell your property. However, you need to ensure that you remain emotionally unattached if you really decided to sell or turn it into a rental property.

Hitting the market soon? Feel free to get in touch with us for more advice.