Discover smart budgeting tips for a successful kitchen or bathroom remodel that maximizes your home value.
A kitchen or bathroom remodel is one of the most valuable upgrades you can make to your home.¹ These spaces see heavy daily use, and thoughtful improvements can enhance comfort, function and resale value. The key to success is clear: make a realistic budget from the start.
Create a Realistic Budget Range
Research typical remodeling costs in your area and decide what you are comfortable spending. As a general guideline, homeowners often invest about 10 to 20 percent of their home value on a major kitchen remodel, with bathroom remodels typically costing less depending on size and scope.²
A multi-level vanity and sink customized to the user’s needs
Prioritize Your Home Remodel ‘Musts’
Prioritize Your Home Remodel ‘Musts’
Make a list of must-haves versus nice-to-haves. For kitchens, this might include cabinetry, countertops, appliances, and layout improvements. For bathrooms, priorities may include plumbing fixtures, tile, vanities, storage and lighting. Knowing your priorities will help you allocate funds where they matter most.
Break Down Major Cost Categories
Your budget should account for:
- Labor
- Superstructure (aka walls)
- Cabinets, vanities and hardware
- Countertops and surfaces
- Appliances and fixtures
- Flooring and tile
- Plumbing and electrical
- Design fees and permits
Plan for Unexpected Costs
Set aside 10 to 20 percent of your total budget as a contingency fund.³ Older homes can reveal hidden issues behind walls or under floors that require attention once work begins.
A kitchen with varied colors of cabinetry and countertops gives a modern vibe
Pick Materials that Balance Durability and Style
Look for materials that are attractive, easy to maintain and built to last. Options such as laminate, solid surfacing, and other engineered materials offer design flexibility while helping control costs.
Get Multiple Estimates and Clear Timelines
To avoid surprises, request detailed estimates from contractors and suppliers to understand the true costs. A clear scope of work, a schedule and a payment structure will help keep your project on track and on budget.
Editor’s note: Installation costs for laminate are typically lower than other options because the product does not require a specialized installer.
With careful planning and smart budgeting, your kitchen or bathroom remodel can deliver lasting beauty, functionality and value for your home.
This bathroom with a laminate countertop is stylish on a budget.