Remodeling a bathroom brings the possibilities of water saving fixtures, clean tile and upgraded lighting. But with a large project like this, there are many details to decide as well as cost and time factors to consider. How do you know if this type of project is “worth it?” Unfortunately a lot of homeowners don’t compare the cost versus value before they remodel — only to find out the project they thought would add value, didn’t. Just because you’re remodeling a room in your house doesn’t mean you will actually earn more when you go to sell it. That is why it is imperative you consider the cost versus value when remodeling.
Bathrooms are popular on every homeowners’ to-do list. No one likes an outdated bathroom space. But, before you start planning your remodel, you’ll want to look at the cost versus value to make sure you’re making a sound investment.
How cost versus value works
Cost versus value assesses the total cost of the project versus how much value you’re adding to your home. Then, it gives you an ROI or return on investment percentage. There are projects that break even, while others yield a positive return — meaning you add more value than you spend on the project. But, each is measured by geographical averages. Also, just because your report says you will yield a positive return doesn’t mean you will sell your home for that amount. You will still want to consult a real estate agent to see what market comparisons are for your area and how they will affect your selling price.
What is the cost versus value for a bathroom remodel in Boston?
In Boston, the average cost of a bathroom remodel is $16,956. But, you will get back $12,477 in value — or 74 percent of the total cost. That means you will not earn back as much in value as you do spend on the project.
This average is based on a full remodel, however. If you do a minor remodel, such as reglazing the bathtub, leaving the fixtures and changing the paint, you may experience a higher return.
Compared to the rest of the country, which averages 72.5 percent return, Boston does have a better market for remodel returns. Also, as the housing market continues to grow, the percentages could get higher as well.
Only you can decide if remodeling your bathroom is right for you. If you are remodeling just to sell, you may want to do other updates rather than spend money you will not get back at resale. If, however, you plan to stay in your home for a while, you may find the cost worth it.
Top image credit: Flavin Architects