Whether you're selling or refinancing your home, a third-party appraiser will be hired to estimate your property’s value.
The appraiser will go over the quality and condition of your home and an upgraded kitchen will certainly make a good impression on your home’s appraisal value.
Ask any real estate agent and they will tell you that the Number 1 upgrade with the highest return is the kitchen.
“80% of home buyers placed the kitchen in their list of top three most important spaces." - Realtor.com
According to a recent survey by Realtor.com, "80% of home buyers placed the kitchen in their list of top three most important spaces. 69% of those surveyed said they would have paid more for new appliances, and 55% said they would have paid more for granite counters."
But renovating a kitchen can get expensive, especially when it comes to the finishes and materials.
Be careful not to overspend because you don’t want to end up being the most expensive home on the block as you won’t be able to recover the costs.
“37% said they wanted to update their kitchen all along and finally have the means." - Houzz.com
According to a 2020 Houzz study, "34% of respondents remodeled because they could no longer stand the old kitchen. Kitchen deterioration is at the highest level seen in our five-year history of tracking kitchen project motivators and is a testament to the aging housing stock in the U.S. 37% said they wanted to update their kitchen all along and finally have the means."
If you don’t have the funds for a kitchen renovation, speak with one of our loan experts to see if a cash-out refinance is right for you.
You can put your current home equity to good use by taking out the cash and using it towards a kitchen renovation that will in turn boost your property value.