Kitchens - 11.10.19
Will a new kitchen add value to my house?
Most of us like to do as much as we can to increase the value of our property and maximise our return on investment. We spoke with a London-based professional estate agent about which aspects of home improvements add the most value to residential property. Here’s what we found out.
Kitchen renovations are best
The good news is that a new kitchen can increase your sale price as well as make your home quicker and easier to sell. In addition, “because the kitchen is regarded as the heart of the home, it’s a priority in the eyes of prospective buyers,” says Peter Davey MNAEA, MARLA. On average, a new kitchen adds up to 6% to the value of a property. The exact return your renovation will bring depends on a number of factors including the value of your property as it stands, the spec and scale of the renovation work and the property market.
The current state of your kitchen
If your existing kitchen is modern, with state-of-the-art furnishings and design elements, renovating it is unlikely to add much value. If it’s outdated and hasn’t been renovated or worked on in years, on the other hand, a renovation will have a large effect on the value of your property. \
The extent of the renovations
Instead of overhauling your entire kitchen, there are low-cost options which can significantly improve the look of your kitchen. Upgrading the units and lighting fixtures, for example, are a good option if you’re looking for smaller upgrades. They can change how the space feels as well as how it appears. Updating your tiles or adding a feature wall can also make a kitchen feel different and sometimes brand new. These options won’t add value but they can make your property more appealing to buyers.
When it comes to renovation projects, Peter and his team of estate agents are finding that those which incorporate an extension, or merging rooms to create open plan living are the most beneficial to the sale price. In fact, “of all home extension options, kitchen extensions specifically give the highest return on investment per m2,” says Peter.
The climate of the property market
In a warm property climate where competition is high and luxury homes are in high demand, any home improvements can increase the amount buyers are willing to pay for your property. It costs less to make smaller upgrades and the appeal these add to a property in a warm property market could mean you still enjoy a noticeable increase in your property’s value. But this isn’t guaranteed and depends entirely on the current state of the property market.
Increased saleability vs increased value
There’s no guaranteeing how much monetary value your renovated kitchen will add to your property but it can still be a worthwhile endeavour. It can make your house more likely to sell (that is, perceived as more valuable to a prospective buyer) without demanding a higher asking price. It may feel like a bad investment if you don’t see a direct monetary return, but a new kitchen could be the difference between your property being sold or not selling at all.
If increasing the value of your property when you do sell is the number one priority, it’s recommended to do this shortly before you put the house on the market to ensure the design and spec is in line with the most recent trends. If you’re not looking to sell at the moment and you’ll be living in the property for a significant period before selling, a kitchen upgrade may be justified simply for you to enjoy it in the meantime. It’s transformative and can improve your wellbeing.
Order our free brochure for inspiration on ways to renovate and add appeal to your kitchen. At Burnhill, we pride ourselves on providing bespoke solutions to your kitchen needs. If you spot something in our brochure that isn’t exactly what you’re looking for, our expert designers will be more than happy to design furnishings and appliances exactly to your specifications.