Remodeling your bathroom can be a lucrative investment in your home. In fact, where the housing market is in good shape, a sensible bathroom remodel can often net you more than 100% of the cost for the work. However, if you fall into some common traps, you can often reduce your profit margin substantially.
The good news is that it isn't too difficult to make the right moves with your bathroom project. By understanding a few decision-making concepts, you can be certain that your remodeling money is well spent.
Key Concept #1: Keep Things Understated
If you're trying to create your dream bathroom, feel free to go crazy with decorative concepts and expensive features. On the other hand, if you're serious about maximizing your return, you don't want to design your bathroom to any eccentric, expensive tastes. Remember, you're building the bathroom for the buyer, not yourself.
Instead, remember that the best financial approach to a bathroom remodel is to create simple, affordable style. Some tips for this include:
- Keep the color palette neutral and subtle
- Choose typical, inexpensive configurations for the toilet and sinks
- Avoid using premium tile in the shower enclosure
By doing so, you'll avoid paying too much for features and style factors that won't cause the average buyer to part with more of their hard-earned money.
Key Concept #2: Consider Your Home's Current Value
While a $50,000 bathroom renovation will likely be gorgeous and luxurious, it will also be out of place in a $150,000 home, and you'll to find it difficult for your bathroom to cause your home's value to skyrocket. Instead, aim for a 10 percent rise in value after your remodel is complete.
That means the owner of a $200,000 home shouldn't create a project that costs more than $20,000 to complete. This will certainly limit the remodeling options in quite a few homes. That said, you'll find buyers much more likely to return your investment when it comes time to sell. You also won't find yourself in the unenviable position of being the highest priced home in your neighborhood.
Key Concept #3: Don't Skimp on Function
Top-end luxury items can attract some buyers while turning off others. Sensible utility, on the other hand, has universal appeal.That means you should look for inexpensive ways to ensure that your bathroom functions properly and offers practical features that would appeal to most home shoppers.
Consider purchasing traditional fixtures and cabinet pulls at a mid-range price point. Designer faucets can cost $3,400 or more. On the other hand, an old, leaky faucet makes a horrible impression. Also, install a double sink if at all possible in any master bathroom..Even a small unit provides a great deal of inexpensive utility, making it money well spent.
Key Concept #4: Bathrooms Need to Be Reliable
It's easy to get caught up in the aesthetic features of your bathroom. Again, if you're taking on a project for personal enjoyment, feel free to do what feels good. You should always take a good look at the invisible components of a bathroom, though. The most beautiful bathroom is worthless if it doesn't work.
Consider hiring a plumber to consult on a bathroom remodeling project where the water pressure is poor. Fixtures should be tight and drains should work perfectly. Leaky faucets and tubs can turn a buyer off just as quickly as the wrong color tile or an ugly cabinet. These areas don't appear to be profit opportunities at first glance, but investing in them will certainly help you sell your home.
It's certainly possible to create a bathroom that improves both your quality of life and the value of your home. By making sensible choices within a reasonable budget, you can enjoy all the benefits of a successful, profitable remodel.