When embarking on any new home renovation, you typically have two goals. Firstly, you’d like to create a more liveable, usable, and enjoyable space for yourself and your loved ones. But secondly, it’s important to consider how the renovation will affect your home’s value should you decide to sell. That’s important for resale reasons, though it can also make a significant bonus if you choose to tap into your home’s equity.
There are lots of home renovation projects that can significantly increase your home’s value — and some that can even expand your pool of potential buyers! But not all home renovations are practical for every seller and every budget. For example, updating a garage door or adding an exterior deck are considered renovations projects with an excellent return on investment – but if you don’t have a garage or outdoor space, then those upgrades are obviously not in the cards.
If you need to pick a single upgrade – just about every home has a kitchen. Here’s why updating your kitchen is proven to be the best renovation to undertake, to improve the value of your home:
A kitchen renovation is the easiest choice for increasing your home’s value and desirability
The majority of potential buyers will really spend the most time looking at the essential amenities of the house – namely the kitchen and bathroom, and the first thing that the average buyer looks at in a home is the kitchen. It’s the biggest ticket item in their minds, and therefore, if it needs remodelling, it can easily strike that home off their list entirely.
The key is to avoid going overboard on renovations. A major upscale kitchen remodel may be so expensive that you might not get the return that you were expecting. However, a minor kitchen remodel costs less, and often delivers a much higher return on investment.
Being the home’s hub is only part of the reason why a kitchen renovation is so smart. Kitchen trends have changed substantially over the past few years – and in many cases drastically. Because of these changes, both in style and colour, kitchens that are designed to feel trendy at the time of construction can begin to look outdated and old very quickly.
What should I consider updating?
Contemplating what to renovate in your kitchen? Era-trending kitchen features such as dark wood, ornate cabinets, earthy colours, and tumbled marble backsplashes have proven to date quickly and make the space feel enclosed or restricted.
Sticking to white, light gray, or even black cabinets, simple countertops and modern fixtures and appliances can all significantly add to a potential buyer’s positive first impression of your home.
Another feature that tends to be outdated in the kitchen? Flooring. Many kitchens have outdated tile or vinyl, and refreshing the flooring is important when a kitchen is remodelled because once everything else is new and current, the flooring needs to be current, too. Simple, minimal and modern!
If you want to step it up to a higher-range kitchen remodel, homeowners may typically choose to include a new stainless steel appliance package, updated cabinets and countertops, or a new kitchen island.
What quick kitchen fixes could give me the best return on investment?
The key to getting a good return on your investment is knowing when and where to save costs. A good start is looking at smaller upgrades that can be completed in a DIY manner and won’t break the bank. A perfect example might be updating the kitchen backsplash, since this small renovation typically costs less than $500, and can give your kitchen an instant updated look.
And if you have older-looking oak cabinets, sanding them down and painting them white is another easy boost to add immediate value. Although it may seem like an initial hassle, it will pay off very quickly. White kitchen cabinets are a quick and modern addition that can make your kitchen look practically brand new for less than $1,000 – and don’t date with time.
When you consider that the kitchen is the main focal point and where most of the gathering takes place, it’s no surprise that this is the area to really focus on when looking to increase value.
Disclaimer: This article is not intended as legal, financial or investment advice and should not be construed or relied on as such. Before making any commitment of a legal or financial nature you should seek advice from a qualified and registered Australian legal practitioner or financial or investment advisor.