Should I Renovate My Kitchen Before Selling My House This Year?
With the hot real estate market this year, many homeowners are considering putting their house on the market. If your home has an outdated or dysfunctional kitchen, you may be wondering if doing a renovation to help it sell faster and for more money makes sense.
While kitchen remodels can pay off in increased home value, especially in strong markets, not all renovations end up being smart investments. Focusing on the right scale updates to improve functionality and flow while giving your kitchen a fresh, modern facelift can maximize your return on investment.
When Does a Kitchen Remodel Make Sense for Resale?
Certain conditions make pre-sale kitchen remodels a wise move:
- You're in a hot real estate market where homes sell quickly above asking price
- Your current kitchen layout is extremely outdated or damaged
- Renovations are needed to fix major problems that would turn off buyers
- Comparable homes in your area have updated kitchens
Your Local Housing Market
The state of your local real estate market determines how much your renovations can boost home value. In slower markets, even extensive high-end remodels may not translate to a worthwhile bump in sale price. But in competitive, fast-moving markets where demand outpaces inventory, renovations make a bigger impact.
Your Current Kitchen Condition
Evaluate the current condition of your kitchen cabinets, appliances, layout, flooring, and fixtures. If your kitchen is fairly modern and functional but just a bit dated, small cosmetic updates may be best. If it's badly outdated or no longer functions efficiently, more significant changes could be worthwhile.
Cost vs. Value of Kitchen Remodels
According to the annual Remodeling Cost vs. Value Report, the scale of your kitchen remodel determines how much money you can expect to recoup at resale:
Minor Kitchen Updates
Cosmetic improvements like painting or refacing cabinets, replacing hardware, installing a backsplash, new sink fixtures, and upgrading appliances recoup over 70% of their cost on average. Granite or quartz countertop installation also falls into this category, recouping about 75% of cost.
Major Kitchen Remodels
More extensive projects like cabinet replacement, upgraded countertops, tile or hardwood flooring, reconfigured layouts, new sinks, adding an island, and high-end stainless steel appliances typically recoup around 60-70% of costs.
Luxury Kitchen Overhauls
Ultra-high-end renovations with premium materials and extensive custom touches may not boost your home's value proportionately. The extra investment in luxury upgrades often gets a lower return compared to mid-range major remodels.
Tips for a Successful Pre-Sale Kitchen Remodel
If your kitchen is in need of an update, focus on changes that make the space look fresh, modern, and appealing without going over-the-top. Smart renovations to consider include:
- Painting cabinets and replacing outdated hardware for an updated look
- Installing new stainless steel appliances to replace worn-out older models
- Changing outdated tile backsplash to on-trend materials like marble or travertine
- Replacing worn vinyl or dated linoleum floors with wood-look luxury vinyl plank
- Adding extra cabinets or pull-out shelving for increased storage
- Upgrading old laminate countertops to quartz or granite
- Adding statement pendant lighting over an island or peninsula
- Maximizing natural light with a new window over the sink or skylight
Avoid personalized design choices like bold paint colors or eclectic materials. Stick to neutral palettes and materials like white cabinetry, marble counters, wood tone floors, and metal finishes for the widest appeal.
After finishing kitchen renovations, stage the space by removing clutter and decor that distracts buyers from imagining themselves living there. Add some fresh flowers, fruit bowls, and neutral accessories to give it an inviting, spacious look ready for the market.
With strategic planning and smart scale renovations tailored to your market, redoing your kitchen before selling can pay off. But avoid over-improving for your neighborhood or going overboard on luxury touches unlikely to give you a good return. Focus on the updates that will maximize value for prospective buyers.