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LogicalChaos | Which one would add more value to a house? A kitchen remodel or an addition? |
So me and my mom have been arguing about this lol. She wants to add more equity to the house so she thinks that adding an addition would do it but I think remodeling and upgrading the kitchen would result in a larger return? So am I right?
I know real estate differs from state to state and even neighborhood to neighborhood but it seems that kitchens always sell houses? |
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Brenda W
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If you'll look at properties in your area currently under contract, you'll find your answer as to "buyer demand."
Typically, the kitchen is where you want to put your money if in fact it's outdated or not at a level of optimal functionality. However, IF your house is a single-dwelling family home and you've only one bathroom and/or two bedrooms, it's what we call "functional obsolecence" because it does not meet the needs of your typical family today. IF however, the target market of the subject property is your single professional or retiree, then a 2-bdrm, 1-bath may work/may sell, in which case, an updated kitchen is an absolute plus!
You are correct in that kitchens (and bathrooms) sell houses. Just keep in mind, functionality first, then condition and quality. Case in point: Recently, I showed a beautiful home, great price, but because the kitchen, when remodeled (granite counters included), lost its pantry, the buyer decided against buying that house.
I hope I've helped in bringing clarity to your situation. One last thought: Updating is one thing and remodeling is quite another. Either way, think "organizers" if rethinking the re-do of your kitchen. Best of luck! |
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glenn
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A room addition poorly done can hurt the value of the home, but if you are in a two bedroom home in a neighborhood where people expect a three bedroom then adding that third bedroom is important.
If you add on a useless room you have wasted your money.
If the kitchen is updated and you sell 15 years later then it is still a dated kitchen. But generally I think money spent on a kitchen has a bigger return. |
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iceblendedmochajavo
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it depends on the house, number of rooms... think about the average buyer, may be a family or single. so the house should be functional for all. if you already have enough bed rooms and bathrooms, say 3 bedrooms 2 baths, then focus on remodeling. yes kitchen is always better. extra bed rooms and living rooms are not beneficial.
bathrooms can be very costly. generally more windows and a brighter open/airier places are more attractive. unless you live in a very hot place pools and central AC are not that important. |
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troll
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to biggest investment that resell a house are bathrooms and kitchens add on should be if your house is supper small or plan on keeping the house |
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Chris
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Definitely more value in a brand new kitchen - I took a couple of clients out to look at homes a month ago - we saw some pretty awesome homes in that price range - however, the one house we looked at that we put a contract on had just done a $30k remodel of the kitchen - granite, stainless, cherry cabs, the WORKS - all bosch - to make a long story short, even though this home was smaller than some of the others (it was a ranch with 2 small bedrooms and master and finished basement) they wanted to put an offer on this one - they fell in love with the kitchen! My experience has always been that a client will find something to fall in love with to buy a home - price, kitchen, bathroom and backyard are the three biggies - an addition will not add to the value of your home at all - - if your home warrants an addition, why not just move - save the money for your new bigger home! A woman spends most of her time in two places - the kitchen and her bedroom - a bonus with a whirlpool tub she can escape to - and 9 times out of 10, the woman makes the decision as to whether to buy or not to buy - your mom will understand - ask her how much she loves her kitchen - then take her to a home improvement showroom and show her what an updated kitchen looks like - that will convince her!
Good Luck! |
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godged
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The kitchen remodel will add more value, but it is unlikely you will receive a 100% return on your investment, more in the high 80s low 90s range.
You are right, tell mom to check out http://www.hgtv.com - there is an article that addresses return on home improvement dollars, and the kitchen remodel is #1. |
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La Vie Boheme
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We need more info. How many bedrooms and baths are in the house now? Does the kitchen really need updating..is it stuck in the 70's? |
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Mark C
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Remodel the kitchen, it will give you a bigger return, as long as you do not go overboard with expenses. |
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Ella E
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In most cases kitchens and bathrooms provide a better return on your money. However, if the home is small or has a flow challenge, it may be prudent to add on also.
Before you do anything, get home prices in your area and try to get an idea of the types of kitchens and baths they have. Also, have there been any sales in your area lately that are like yours?
As far as the addition goes,just make sure you do not overbuild for your area. If you want the space for yourself, then the personal use is your equity. |
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TM
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If I were the buyer, I would look more to the kitchen. If I like the way it looks, I would give an offer. A room addition can be done after I bought the house |
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Rush is a band
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No one has said this yet -- You aren't likely to get 100% of the cost of either back in equity. The kitchen will most likely be closer than an addition, but it won't be 100%.
The only way an addition is valuable is if the house is seriously lacking something compared to it's neighbors. Also with an addition you have to not outgrow the area or you will get a VERY poor return on the money.
A kitchen will generate interest, but only if done very conservatively. Also note that if you are staying, realize that you are doing this for yourselves and don't worry so much about increasing value. Some kitchen choices will be very dated in ~5 years.
good luck! |
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Expert Realtor
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Kitchens and bathrooms sell the house. |
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