The ROI for a Bathroom Remodel | USA Bath

Schedule a free design consultation Contact an agent

what is the RIO on remodeling a bathroom

Every homeowner has the same question: what renovations will bring the greatest return on investment? Without a doubt, one of the renovation projects with the biggest bang for your buck is a bathroom remodel. Remember, bathrooms weren’t always the spa destination that homeowners expect now, nor did homebuilders consider accessibility until recent years. If you have an older home, it can be cramped, awkwardly arranged, and located in an unfortunate spot.

Ensuites were an unheard-of luxury at one time, too. Now, it’s expected, and some newer homes even have bathrooms attached to every bedroom. The bath remodels ROI, while significant monetarily, can also provide returns on functionality and enjoyment of your home. Suppose you’ve invested in an older home or even inherited the family home to maintain its value and bring functionality into the 21st century. In that case, you need to consider a bath remodel.

What Kind Of Bathroom Remodeling ROI Can I Expect?

While you can expect significant ROI on bathroom renovations, it can vary according to Zillow. They quote some numbers based on the type of renovation effort and the level of finishes from Remodeling magazine’s Cost vs. Value Report.

Here are the categories of remodels cited:

  • Standard – Significant changes require the replacement of some items, not just aesthetics like lighting and paint.
  • Midrange – Nice but not luxury finishes, like new surrounds and floors, chrome fixtures, solid surface counter, standard toilet, and single-lever shower handle.
  • Upscale – Think luxuries, like heated floors, stone countertops, double sinks, expanded or optimized layout, top-of-the-line lighting and fixtures, rain showerheads, roll-in showers, and freestanding soaker tubs.
  • Universal design – With the focus on accessibility and the growing popularity of aging-in-place homes, universal design is becoming more commonplace and desirable. It can include wider doorways and more room between fixtures, lower vanities with room for a wheelchair, roll-in shower access, a taller toilet, shower seating, and more.
  • Addition – Adding a new bathroom can significantly add value to your home, particularly when the bedroom-to-bathroom ratio is significantly off.

The following ROI numbers are based on national averages.

Standard Bathroom Remodel

According to Cornerstone Home Lending, with an average spend for a standard remodel of between $15,730 and $18,546, you can expect a return on investment of anywhere from 64.8% to 68.4%.

Midrange Remodel

The national average bath remodels ROI is 70.1%. That’s based on an average cost of $19,134, with an average return of $13,422.

Upscale Remodel

With an average cost of $61,662, the average return for an upscale bathroom remodel comes in at $34,644, or 56.2%.

Universal Bathroom Design

The average ROI on a universal design renovation for a bathroom is an impressive 70.6%, based on a cost of $16,393 and a return of $11,581.

Bathroom Addition

The specifications of a bathroom renovation, as well as its additions, may differ in size and finish. The ROI you can expect from a midrange addition could be up to almost 60%, while the upscale addition comes in at almost 55%.

Areas That Give The Most Bathroom Remodeling ROI

While it is tempting to start from scratch to create the bathroom of your dreams, it is not always economically feasible. The good news is that when you consider that the average overall for a bathroom remodel is 70%, you should see a significant return on investment with any professional bathroom renovation. Your bathroom renovation doesn’t have to be a major one to provide significant ROI. If you want to concentrate on what will generate the highest return, consider the following upgrades.

Upgrade Backsplash And Floors

Some of the most neglected areas in an older bathroom are the backsplash and floors. Old-fashioned, ugly, or missing grout is a real turnoff to buyers and residents alike. If you want to impress, you have a wide variety of options and patterns for a custom look. Just be careful not to get too taste specific, or it may work against you by dating the room or eliminating buyers looking for a more classic aesthetic.

Replace Bathroom Countertops

There was a time when tiled counters were all the rage in bathrooms. Obviously, those days are over. Slab countertops are what most home buyers are looking for in kitchens and bathrooms. They are not only beautiful, but they are also durable and easy to maintain, giving any room an instant high-end facelift. The choices are almost endless, with quartz, porcelain, natural stone, and engineered slabs that look just like natural stone but without the cost of sealing maintenance of natural surfaces.

Incorporate Universal Design

As already disclosed, universal design is becoming not only more common but more requested by older homeowners. Accessibility can be a more impactful selling point than high-end finishes. It allows your home to be marketable to people of all abilities, and the prospective homeowner can feel confident that they won’t have expensive renovations in their future to allow them to age in place.

Tips To Decrease Costs And Increase Your Bath Remodel ROI

One of the easiest ways to increase ROI is to decrease expenses. Of course, this doesn’t mean skimping on proper installations, cut-rate fixtures, or safety. However, when you are trying to stay within a budget, you can prioritize the work to optimize your return.

If It Is Broken, Fix It First

This is the other side of the adage. If it isn’t working, your guests and potential buyers will definitely notice. Not only that, but everything that needs work will show up on any inspection report. If you’ve ever bought or sold a home, you know the panic that a long list of even minor repairs on an inspection report can cause in a potential buyer.

Some of the most common areas to repair or replace include:

  • Cracked, chipped, or broken sinks, shower surrounds, tubs, or toilets
  • Faded, outdated, or bad paint jobs
  • Peeling, moldy, or mildewed caulk
  • Dirty, missing, stained, or mildewed grout
  • Broken fixtures
  • Damaged, scratched, or water-stained shower doors
  • Outdated or broken lighting

Pay attention to the natural light and ventilation in the bathroom. Make sure your exhaust fan is quiet and functional. If you don’t have a window, try finding money in the budget to add one.

Prioritize Layout

A cramped or dysfunctional layout is a real turnoff to prospective homebuyers. A toilet placed inches from the doorway or right against a bathtub, a cabinet door that blocks the shower, or a cabinet where you can hit your head when leaning over should all be on the top of your “must-go” list. If you can, install a water closet, so your toilet is separated from the rest of the bathroom.

Keep the design neutral

When it comes to full bathrooms, homeowners should keep their designs neutral and light. Larger rooms like this should be appealing to as many buyers as possible and really shouldn’t focus on personal tastes. For example, although some may want to take the opportunity to express themselves with a bold wallpaper style, more often than not, it doesn’t pay off in the end.

Research from Zillow backs up this advice, showing that homes with a periwinkle blue bathroom (with gray-blue tints) can sell for $2,786 more on average than similar homes without one. While this might seem excessive for something so minor, it does reinforce the importance of maintaining neutral design elements throughout your home so that potential buyers see themselves being able to live there comfortably. Neutral designs are timeless classic choices that will continue to appeal year after year, no matter what styles come and go in interior design trends.

Try slight bathroom upgrades

Upgrading your bathroom, even on a budget, can have a dramatic effect on buyers. Instead of spending money to replace cabinetry or fixtures, consider some of these cost-effective options. One option is to give existing cabinetry a facelift with paint or refinishing. This can include freshening up trim and molding around the cabinets and repainting any wood surfaces.

For an affordable new look, opt for a modern white toilet with comfort height and elongated bowl—luxurious for such a small investment. To further update the bathroom’s look, add in new lighting fixtures like wall sconces—aim for styles that feel upscale but don’t break the bank. To complete the look, install a new mirror or revamp your storage space with a mirrored-front medicine cabinet. All of these simple changes can combine to make your bathroom actually provide an enhanced ambiance and sophistication that will be sure to wow any potential buyer.

Hire A Respected Professional Bathroom Remodeler

To get the best ROI for your bathroom remodel, choose USA Bath. Satisfied homeowners throughout Northern California and Northern Nevada can attest to the high-quality products, reasonable prices, and professional installation process we provide. Contact us today for more information.

FAQ Section:

Does the local market show demand for new bathrooms?

The demand for new bathrooms in the local market is something that will vary from region to region and between neighborhoods. In some markets, a newly constructed bathroom can increase the overall value of a home significantly, as it offers additional features and/or aesthetic updates.

It’s essential to look at what other homes in your area are selling for when considering whether or not to install a new bathroom in your home. Looking at recent comps or having your real estate agent run the numbers can help you decide if there is any sort of demand in your market for new bathrooms. You might also take into account if there is a lot of new construction happening near your target listing price and how much you would need to invest in order to make sure your home stands out from the competition and adds value in return. Ultimately, while it might not always yield high returns on investment, having an updated bathroom could very well attract buyers who wouldn’t have considered your house otherwise.

Does the bathroom already need repairs?

When deciding whether or not to repair your bathroom, it is important to consider the room’s condition. If your bathroom has superficial flaws, such as dated materials, remodeling may not be necessary, and you might just need to make smaller changes, such as touch-ups and accessories, to get the desired look. Updates such as new lighting can update a bathroom quickly for a better look overall.

However, if there are more serious issues in your bathroom, such as water damage, structural problems, or electrical issues, then a full remodel will most likely be necessary. Not only would fixing any of these flaws improve the look of your bathroom, but they could also save you money in the long run if you are planning on selling your home.

Featured Image: Andy Dean Photography / Shutterstock