How to Remodel Your Kitchen
Use a home equity loan to help finance kitchen remodeling projects
One of the best investments you can make in your home is updating the kitchen: According to Remodeling Magazine, a middle-of-the road, partial remodel can earn a 72 percent return on investment. Upgrading your kitchen with more luxurious enhancements can bring a 63 percent return on investment.
Such a major undertaking can certainly get costly. To turn your dream kitchen into a reality, look into financing the remodel by leveraging your home equity. By applying for a home equity loan or line of credit, you may be able to do a more extensive remodel. Of course, this depends on the size of the loan. But, if you're looking for ideas on how to go about kitchen remodeling, get started here.
Determine how extensive your kitchen remodel will be
If your kitchen is in otherwise good shape and just in need of some freshening up, you may decide to keep things simple and invest in paint, new light fixtures and updated curtains or art.
But, the trend of gathering in the kitchen during parties and the positive effect a nice kitchen has on resale value may have you thinking of more extensive changes. If this is the case, the cost of the changes will be higher, but the end result will be worth it. Decide if you want to partially remodel your kitchen, changing and updating just a couple elements, or if you really want to gut the whole thing and re-do it from the ground up.
Tips for partially remodeling your kitchen
If you're going to confine your kitchen remodel to just partial, be sure you properly budget and research your planned changes to make sure they will work. For example, only updating the countertops is not generally a good idea because countertops are designed to fit your cabinets. If you remove the countertop, it could damage the structure of your cabinets. Plus, ordering a new countertop could be difficult because the standard sizes of cabinets and countertops change with time.
The other secret to partially remodeling your kitchen is to set and follow a budget. As with any home improvement project, one change can cause you to make several others. Before you know it, your kitchen project is taking months longer than expected and way over budget as you decide to just replace everything! So, be sure to do your research up front, consulting home improvement experts as to which changes would make the most impact without pushing your project over budget and over deadline. At the same time, you don't want to sacrifice your personal taste in this process. You want to be sure you're making updates that you'll enjoy.
Look for elements that will add value
When deciding the projects to prioritize in a partial remodel, you want to be sure you choose wisely. If you can only make a few changes, try to make the ones that have the most impact on your home's value. Here are some ideas for remodeling your kitchen. They are listed in order of impact, but of course, that will vary according to your budget and needs.
- Flooring: Tearing out an old, dirty floor and replacing it with new laminate or wood can be a striking improvement.
- Cabinets: Equally as noticeable as the floor, replacing outdated or broken cabinets with fresh ones will help diminish the appearance of other flaws in the space.
- Counters: With new cabinets come new counters to ensure they fit well and match. Since you'll be using your home equity funds, opt for solid countertops or granite. Laminate will not be as nice or as appealing to potential buyers.
- Backsplash: Replace a dated backsplash with new tile or more modern mediums like glass or sheet metal. Also, try to stick to neutral colors, as those tend to fare better upon resale.
- Sink/faucet: This focal point of the kitchen can turn off buyers if it's chipped, covered in water deposits or just plain ugly.
- Appliances: Installing new appliances will not only update the feel of the kitchen but also save on utility bills as newer models tend to be more efficient.
- Adding an island: This major enhancement to your kitchen can be costly but it's a really appealing change to potential borrowers. However, adding an island only works if you've got 42" clearance all around. Otherwise, it will crowd your space.
Apply for a home equity loan to finance your remodel
Of course, your kitchen remodeling project is entirely up to you and the updates that will suit your style. At Citizens Bank, we can help you finance the project with a home equity loan or home equity line of credit. If you have questions about how these work, reach out to a Citizens Bank Home Loan Originator or start the home equity application process online by answering a few questions about your borrowing needs.