The humble bathroom can offer brag-worthy ROI
Home renovations don’t just offer a chance to get creative and make things look shiny and new; they can boost your home’s value, and depending on what you choose to renovate, the difference can be huge. Bathrooms provide one of the highest returns on investment of any home remodeling project. Read on to learn how much a bathroom remodel will increase your home’s value, and what to upgrade first for the best ROI if you have a limited budget.
Undertaking home renovation projects with a high return on investment (ROI) can make a big difference to your bottom line, especially when it comes time to refinance your mortgage or secure a home equity loan. Low-ROI projects might create nothing but debt and do nothing for your property’s value. ROI is especially important to homeowners who frequently relocate, either for work or other reasons, because there’s a high likelihood they will need to sell their home quickly after undertaking some upgrades.
Of all the remodeling projects, bathrooms usually have the highest return on investment. The average ROI on a bathroom remodel is between 55% and 60%; in other words, for every dollar you spend remodeling and making improvements, you’ll see a $1.50 to $1.60 increase in your home’s value.
The actual ROI percentage depends on whether you pursue a mid-range, upscale, or universal design remodel. This also dictates the final cost of a bathroom remodel; the overall average is $10,800, but the number can jump quickly based on the scale of the project. Here are some details about each, with statistics from Remodeling magazine’s Cost vs. Value Report:
A mid-range remodel might include replacing all the fixtures, the bathtub, the toilet, the cabinets, and the vanity. It might also include updating the shower controls, replacing the tiles, and repainting or wallpapering the walls.
ROI: 60%
National average cost: $24,000
An upscale bathroom remodel might involve expanding the size of the bathroom’s footprint by as much as 100 feet, and replacing the faucets and fixtures with high-end models. A standard tub might be replaced with a soaker tub, and countertops could be upgraded to natural stone. The tiles would likely be replaced, and the cabinetry would be redone to accommodate more storage and better lighting. In addition, a luxury remodel might also involve installing electric in-floor heating.
ROI: 55%
National average cost: $75,000
A universal design bathroom remodel updates the space to be accessible to people of all physical abilities. It might involve ensuring the space is wheelchair-accessible (widening the door) and installing electrical switches and cabinetry at sitting level (36 to 42 inches above the floor). The bathtub might be replaced with a curbless, tiled, walk-in shower that includes a fold-out seat and highly-adjustable showerhead. Bars and handles might be added throughout to offer stability for those who need it.
ROI: 58%
National average cost: $38,000
Most people don’t have the $75,000 to complete a full upscale remodel of their bathroom, and that’s just fine. Prioritize how you spend your money to get the best bang for your limited budget.
That fancy clawfoot tub is desirable and would look oh-so-Parisian in your bathroom, but start by fixing anything broken or amiss, like old tiles, wonky plumbing, or signs of mold. Improving the ventilation in your bathroom, via a fan or a window addition, is another small fix that can have good returns.
If you can’t redo the entire shower, consider smaller projects that would still revive your bathroom. Repaint the walls, swap out the old hardware, or install bathroom new lighting—these are all easy, mostly DIY fixes that will give your washroom a fresh, modern look, and blue bathroom paint can boost a home’s resale value by more than $5,000. You should also make sure to do a deep cleaning and refresh any caulking. If you aren’t up to DIY these projects, you can hire a local bathroom contractor to help you out.
If you have the space, upgrade to a double-sink vanity with more storage. Ideally, if you can afford it, look for one with strong, modern countertops made from natural stone like granite.
If your bathroom tile is vintage (and not in a cute way) and showing signs of age, it would be wise to redo the flooring. Consider installing heated flooring, which will not only make cold winter mornings more comfortable but will appeal to future homebuyers. Upgrading home flooring has an average ROI of 107%.
