Kitchens
The 85.2% national average for the return on investment for a midrange minor kitchen remodel (national average cost $17,928), doesn’t tell the story of the extremes. In San Francisco, a midrange minor kitchen remodel gives a homeowner a whopping 126.2% return. But angle across the country to economically challenged Buffalo and the story changes.
“We have the most affordable housing market in the nation,” says Chris Repp, president of Repp Construction, a design/build company. “Because of that, some people don’t want to invest in their homes.” The average return in Buffalo on a minor kitchen remodel — a “pull and replace” as Repp refers to it, something where he’s not altering structure — is 72.3%. For an upscale kitchen, it’s 63.1%. People don’t want to price themselves out of the housing market, and “when they do remodel, they’re conservative in their choices,” he says. “They’re worried about what the next person is going to buy — even if they’re not moving.”
But in San Francisco, the real estate market offers the most expensive homes in the nation. Although home sales have slowed, prices have remained high. In that market everything is more expensive, including the cost of labor for remodelers.
A minor kitchen remodel “gives you more bang for your buck” says Everett Collier of design/build company Collier/ Ostrom Enterprises, who has done those jobs for resale and even for rentals. His upscale kitchen jobs require much more work — with their custom cabinetry, custom panels for electrical and plumbing, concrete countertops, and range hoods. “We’ve seen undercounter fixtures that take half a day or a day to install. There’s a lot more futzing around,” he says. Yet those jobs, according to the survey, are still returning 110.9%.
“It’s not about keeping up with the Joneses,” Collier says. “The Joneses are not just the people next door. The Joneses are the people who you see on HGTV … or in Dwell or Architectural Digest. A lot of those magazines are driving this trend.”
Minor Kitchen Remodel
In a functional but dated 200-square-foot kitchen with 30 LF of cabinetry and countertops, leave cabinet boxes in place but replace fronts with new raised-panel wood doors and drawers, including new hardware. Replace wall oven and cooktop with new energy-efficient models. Replace laminate countertops; install mid-priced sink and faucet. Repaint trim, add wall covering, and remove and replace resilient flooring.
Major Kitchen Remodel – Mid-Range
Update an outmoded 200-square-foot kitchen with a functional layout of 30 LF of semi-custom wood cabinets, including a 3-by-5-foot island; laminate countertops; and standard double-tub stainless-steel sink with standard single-lever faucet. Include energy-efficient wall oven, cooktop, ventilation system, built-in microwave, dishwasher, garbage disposal, and custom lighting. Add new resilient flooring. Finish with painted walls, trim, and ceiling.
Major Kitchen Remodel – Upscale
Update outmoded 200-square-foot kitchen with 30 LF of top-of-the-line custom cherry cabinets with built-in sliding shelves and other interior accessories. Include stone countertops with imported ceramic or glass tile backsplash; built-in refrigerator, cooktop, and 36-inch commercial grade range and vent hood; built-in warming drawer, trash compactor, and built-in combination microwave and convection oven. Install high-end undermount sink with designer faucets, and built-in water filtration system. Add new general and task lighting including low-voltage under-cabinet lights. Install cork flooring, cherry trim.