There is an oft-repeated saying in the real estate industry: kitchens sell houses. It makes sense, the kitchen is the heart and soul of the home, where friends and family gather.
It’s also one of the most expensive rooms in the house to renovate.
The cost of a kitchen renovation can depend on many factors including size, layout, materials chosen, labour costs, appliances purchased, etc. Generally speaking, you should expect to spend anywhere from 10 to 25% of the total value of your home on a kitchen renovation. Any more and you may be over budgeting. Forget googling "How much does the average kitchen renovation cost in Australia?", we can tell you that the average cost of a mid-range renovation is about $20,000 whereas high-end kitchen renovations can easily exceed $50,000. That said, you don’t have to spend a fortune to make a big impact in your kitchen.
A budget kitchen renovation can be done for a fraction of the cost, and still, look amazing. Depending on the scope of your renovation, you can cut kitchen renovation costs by doing some of the work yourself and choosing cost-effective materials.
If your current kitchen is channelling the look of yesteryear, and you're thinking that it's time to give it a much-needed update, here is our guide on what to expect in terms of cost and potential return on investment.
How much should you spend on a kitchen renovation?
Wondering how much you should spend on renovating a kitchen? Well, it depends. If you’re looking to recoup some of the costs when you sell, then you need to look at what buyers in your area are expecting and willing to pay for. Generally, spending 10 to 25% of the home’s value on a kitchen renovation is recommended. However, this can change depending on what you are looking to accomplish. If you are looking for a complete overhaul, you may need to spend more.
When you consider a newly renovated kitchen can add up to $60,000 to the value of your home, it’s easy to see that investing in a kitchen renovation is generally worth it.
What factors influence the cost of a kitchen renovation?
Many homeowners want to upgrade the style and functionality of their kitchens, but often do not consider the cost associated with such an undertaking. The cost of renovating your kitchen depends on a variety of factors, including the size and scope of the project. For example, if you intend to update your kitchen appliances, cabinets and counters in your kitchen, you can expect to spend significantly more than if you only updated one or two elements.
Additionally, materials used in the renovation will have an impact on the overall budget. Your best bet is to research and talk to a kitchen renovation specialist who can help outline options and estimated costs for your specific project.
What can I do to lower the cost?
If you are wondering, "What is the cheapest way to upgrade a kitchen?" Here are some tips to help you lower costs and save money when planning a kitchen renovation:
• Use existing materials along with new items
• Invest in energy-efficient appliances
• Recycle old fixtures and appliances
• Shop around for the best deals on materials
• Do as much of the work yourself as possible
Following these tips can help you save money on your new kitchen’s installation costs and keep the cost of your kitchen renovation in check.
Kitchen renovations can be a complex process, and it’s important to think through all the details before jumping in. Here are some key steps to help you get started:
• Establish your budget
• Research materials, appliances and design trends
• Hire qualified contractors
• Create a timeline for completion
• Set up a workspace for your contractors
Kitchen renovations can be daunting and expensive, so it is wise to make sure you are prepared before taking any action. Researching materials, appliances and designs will help you to plan your renovation effectively and decide on the right budget for your needs.
Don’t forget to make sure that any measurements taken are accurate and to think carefully about where different elements will fit within your new kitchen. This will help ensure you don’t waste any valuable time or money.
How much value does a renovated kitchen add to a home?
Wondering how much a renovation will pay off? Generally speaking, the better quality upgrades that you make, the more money you’ll be able to eventually receive from reselling your home. Consider speaking with an appraiser or realtor to get an idea of what improvements might positively impact your house’s overall worth. Remember the saying, kitchens sell houses.
That's because potential buyers often gravitate to the kitchen first, picturing themselves cooking, entertaining and living in the space. Updating with modern features such as stainless steel appliances and recessed lighting can go a long way in making your kitchen more attractive, and ultimately increase the resale value of your home.
What is the biggest expense in a kitchen remodel?
The biggest expense in a kitchen remodel is usually kitchen cabinets and countertops. Cabinets are an integral part of any kitchen, and purchasing quality cabinets can have a huge impact on the overall look and feel of your space.
Countertops are also a major factor in the cost of a kitchen remodel, as they are often made with expensive materials. Natural stones like granite, marble and quartz are popular choices for countertops but can be pricey. Consider looking into more affordable options such as engineered stone, laminate or recycled materials to help keep costs down.
It’s important to remember that a kitchen renovation is an investment. Quality materials, fixtures, and appliances will be more expensive up front, but the payoff can be worth it in the long run. While it may seem daunting to take on a renovation project, taking the time to plan carefully can really pay off when all is said and done.
Setting a budget is a crucial step, and researching design trends, materials and appliances can help you stay within that budget. With the right plan in place, your kitchen renovation project will be well worth it. Your goal should be to create your dream kitchen, while also maintaining financial responsibility.
A renovation loan can help you finance your kitchen project, to make sure it's completed on budget and to the highest possible standard. Rather than paying out of pocket, you can borrow the money and pay it back in manageable payments. Meaning you get to enjoy your new kitchen and add value to your home, all while keeping your budget in check.
Following the tips contained in our guide will help you create a beautiful new space for you to enjoy for years to come. Happy renovating!