KITCHEN BUDGET

Really helpful websiteS:

  • Maybe Highlight some of the great tools and links that Homeadvisor has

  • Add kitchenmaid and Cliq cabinets, From Cliq Studios - https://www.cliqstudios.com/kitchen-remodel-budget/

The overall costs of a kitchen build, remodel or refresh can have the largest range between the high and low end of the overall costs.   There are many factories that we will discuss that will effect the cost, however this typically the typically the space that has the highest return in invest for the Toal value of your home.  The average kitchen remodel 20k-50k. This can fluxiaute depending on : where you live, home value, product selection and project scope.    What level of construction is involved?  Will you have to move utilities (electrical, plumbing and HVAC) (Much of this section, we have obtained the estimated budgets and costs from one of the most amazing and helpful websites in the Home renovation/decorating industry, Home Advisor.  )

Facts that you should know before you start building your Budget

HOW MUCH SHOULD YOU SET ASIDE FOR YOUR RENOVATIONS

  • It is a common recommendation that the overall renovation costs of you home should equal 5% to 15% of the overall estimated current value of your home.

FACTORS INVOLVED IN THE BUDGET

  • Size of the Space

  • Labor

  • Materials

    • Cabinets

    • Appliances

    • Counters

    • Flooring

    • Tile

    • Lighting, Pluming etc

NATIONAL AVERAGES

  • It is a common recommendation that the overall renovation costs of you home should equal 5% to 15% of the overall estimated current value of your home.

  • The average kitchen remodel is $25,000, 

  • The average cost per square foot $150

  • Most homeowners spend $13,000 to $37,000 

  • Most Homeowners spend $75-$250 square foot

MAJORITY OF PROJECTS IN THE UNITED STATES

  • Minor remodel $10,000-$15,000

    • Upgrading your sink and faucet

    • Installing or replacing your countertops with inexpensive materials like (laminate, vinyl, tile)

    • Adding a backsplash tile

    • Installing stock cabinets

    • Upgrading appliances

    • Painting walls and ceilings

  • Mid range $15,000 - $30,000

    • Replaing counters with High quality materials (stone, quartz or wood)

    • Semi Custom cabinets 

    • Island

    • Appliances 

    • Recessed Lighting

    • Flooring

  • Major $30,000 and up

    • Highend Appliances

    • Custom Cabinets

    • High end Countertop (marble and granite)

    • Installing new sink and faucet

    • Hardwood flooring

    • Additional lighting in addition to recessed (pendants over island/breakfast table)

AVERAGE COSTS BY SIZE (national average costs)

  • Small kitchen $10,000 - $15,000 (<70 sq/ft)

  • Medium Kitchen $15,000 - $40,000 (100 - 150 sq/ft)

  • Large Kitchen $30,000-60,000 (200 sq/ft plus)

  • High-end large kitchen remodel $75,000 to $100,000 plus

BREAKDOWN OF A BUDGET

  • 20% -Contingency -20% of your budget for the inevitable surprises and unexpected costs

  • 20%-35%. - Labor (varies depending on size and complexity of job)

  • 30% Cabinets

  • 14% - Appliances

  • 10% Countertops

  • 2% - 5% - Flooring 

  • 4%-5% Plumbing

  • 5% Electrical

CABINETS

  • Take up about 30% of the budget. 

  • They are what you see

  • The do most of the heavy lifting in the kitchen both functionally and esthetically.

  • This is something that you really want to make sure you select a good quality, by going cheap on the cabinets you can actually lower the value of the home. If good quality cabinets cannot fit into the budget, if might make sense to wait a little longer.  One great option is to reface or refinish your existing cabinets.

COUNTERTOPS

  • 10% of your budget

  • They are very important on how practical and functional your kitchen will be

  • There are many choices, see our tile guide to help narrow down your selection

  • Materials that will increase the value of your home

    • Marble, Quartz & Stone

  • Include link to “Cost t Build Kitchen Countertop”

FLOORING

  • 2% - 5% - Flooring

  • This cost is involves the material, amount of material.  A major factor of this cost can be the actual installation of the flooring

  • Materials that will increase the value of your home

    • Wood, Stone or Slate

  • Include link to Kitchen Floor remodel costs

APPLIANCES

  • 14% of your budget

  • According to Home Advisor, “appliances will erect the price  as well as the perceived value”

  • Take into account that the energy star rating of the appliance should also be considered into the budget. 

  • It is recommended that in this area that you really do your research on your selections

  • Home Advisor recommends that you invest in the best appliances that you can afford.  “appliances pay off in higher resale home prices, they can also last longer, provide better warranties and save you money on your utility bills”

  • Cost to install each new appliance ranges fro $100-$300

  • Include link on “New Kitchen Appliance Cost”

WAYS TO SAVE

  • Labor - Keep the layout in the same place to avoid moving utilities.   If you have to move your kitchen sink, that can be involved and can increase the cost greatly.

Is remodeling your kitchen a good Investment? (from Homeadvisor)

For potential buyers, the kitchen is the room that can make or break the sale,” writes Kristen Hampshire at HGTV. “An upgraded, attractive kitchen can make your home irresistible.”

Kitchen remodels continue growing in popularity. For one reason, they often give a huge boost to home resale value. In 2019, a $66,000 kitchen remodel recouped an average of 62% of the cost upon the sale of the house. A smaller $22,000 remodel netted an average return of 80%.

Smaller remodels can have greater ROI because they tend to aim at solving functional problems. They are often designed with more versatile styles. More expensive projects tend to place a high priority to personal style and aesthetics. Although potential buyers will care that the plumbing and appliances work, most will not need a highly ornamented kitchen.

Unless your goal is to immediately sell your house, it’s best to design a kitchen you’ll love. Ultimately, your kitchen is more than an investment. It’s where you provide for and nurture your family. The kitchen is where you entertain friends and guests. It’s the living and breathing hub of your home, where thinking, conversing, and resting happens.

If you’re living in your home for the years to come, then pick out what you want and enjoy it. The Research for Cooking & Kitchen Intelligence found that 40% of homeowners say they wish they had spent more money on their kitchen renovation. Their biggest regret was not adding more organizational features.

 

CREATING YOUR BUDGET

Introduction :  Sticking to your budget is critical.  Be prepared that you are going to see really amazing appliances and tile that will sweep you off your feet, and crush your budget.  Stay strong and focused on your budget.

What you will need to Consider:

  1. How long do you intend on living in your home?

  2. How much money can you invest in your home and get most of it back when you sell it?  Look at the homes comps around you and see what they are selling for?  If you intend on not living in your home for a long period of time, it would be smart to make investments that you know you will get most of it back.  Talk to a local realtors about this (expand on this)

  3. What percentage of the value of your home do you think you want to invest in your kitchen (5%, 10%, 15%). If you live in a $300,000 do you feel comfortable spending $30,000 on your kitchen renovation. It is a common recommendation that the overall renovation costs of you home should equal 5% to 15% of the overall estimated current value of your home.

  4. Who is going to oversee the work? Yourself or a GC.  (List the pros and cons on this topic)

    • GC - If I you hirer a GC (one that you have vetted and know has a great reputation) your process should be much more efficient, the subcontractors will work much more closely together, less information will fall through the cracks and will be completed.  This will increase the overall cost substantially, but if you can financially swing it, it is worth every penny, and could save you money in the long run. 

    • We cannot stress enough that you should get as many referrals as you can on the contractor.  Speak to every past client they have.  Including their last job.   The contractor that comes in at the lowest price is not always the cheapest.  Having a good contractor is literally the golden ticket.  A bad contractor can sink a project very quickly.

  5. Are you changing the layout or adding it new space:

  6. If you are just upgrading the existing space that is a more manageable cost (see if we can find an example of cost)

  7. If you are changing layout you will need to consider that you willl have to hire electricians to move wires. Plumber to move pipes, or HVAC....you will need to have walls repaired, plastered and painted.

  8. If you are opening up walls and move in walls this will greatly increase the cost but also the reward. 

    TIP //Be very clear and transparent on the locations of everything in the space.  Take pictures of all the open walls of the locations of wires, pipes and beams.  See if they contractors are willing to collaborate with each other so that they don’t have to go back and redo work (that will cost you

  9. What other projects do you plan on doing over the upcoming years and make sure you can plan accordingly on how much you want to allocate of that money to the kitchen renovation.  If you plan on selling your home in the near future, do you want to make sure to get all of that money back?  If so, make sure that you stay within your comps.

    TIP // Imagine that right now I am looking at your straight in the eyes, grabbing you by your shoulders and gently giving you a good little shake so that you hear me:  Do your research, plan in advance, know exactly what you want, talk to as many people as you can and know your budget before you start.  Take as much as the guess work of it in advance.  Plant both feet on the ground and be prepared.  This will all run much more smoothly and less costly if you do this.

  10. Plan for 20& of your budget for unexpected surprises.

  11. Review where you need to splurge and where you can save. See how we like to Prioritize Projects

Create a working budget. 

Intro, including a link to our spreadsheet

For reference: This is a consistent way to breakdown the overall costs in the budget

  • 20% -Contingency -20% of your budget for the inevitable surprises and unexpected costs

  • 20%-35%. - Labor (varies depending on size and complexity of job)

  • 30% Cabinets

  • 14% - Appliances

  • 10% Countertops

  • 2% - 5% - Flooring 

  • 4%-5% Plumbing

  • 5% Electrical

Don’t forget to include in the budget

  • Taxes

  • Freight & delivery charges

  • Materials

  • Labor

  • Trash removal

  • Design fees

  • 20% of overall budget for surprise expenses

Ways to keep on budget

  1. Don’t get distracted by shiny things.  Stay focused on your goals and what you have planned in your budget. 

  2. Unless it is totally necessary work within the existing footprint of your kitchen.  If you moving walls and utilities you will increase the cost substantially.  If moving walls or the utilities around will really increase your enjoyment and the function of the space, talk it through with your contractor to understand the costs that you are looking at.           

  3. Don’t start your work until you know exactly what you want.  If you have to move things like lighting.  It will require getting electrician back, opening up walls, retiring, patching walls, plaster and paint.  (That is 3 separate subcontractors  that would be required to come back to move a light fixture)

  4. Create a ordering schedule of everything that your project will need.  Find out when you will need the following items and make sure to have them onsite as needed to keep things moving.  See section on “ORDERING SCHEDULE”

  5. Get everything in writing.  Any changes mid project, will increase in costs.  Your contractor or subcontractors might not explain that to you while you are talking it through. So always ask what the increased cost would be.  Ask for updated project costs as the project progresses.

  6. Work with good people.  A bad contractor could crush your budget in wasted costs, etc.  (EXPAND)

  7. Create a timeline and stick to it 

  8. Avoid custom products.  

  9. Put your money towards the permanent items that matter like the cabinets, counters & appliances.  These items are hard to replace.  Their quality sets the tone for the space.  See our section on Prioritizing

  10. Staying in the same footprint of the existing space will save a substanical amount on labor costs of having to move the utilities.