How much does a kitchen remodel cost?
An inside look at how a kitchen remodeling expert estimates the project cost of a kitchen upgrade for your home.
When starting a residential kitchen project, the first thing the homeowner wants to know is an estimated cost of all expenses for the project, as all renovation projects are typically conducted within some sort of budget. Even those of incredible wealth and seemingly no worries about money will eventually deal with cost issues that fit their expectations (no, I do not possess incredible wealth; I know this because I have worked for years with clients who do possess such wealth). A cost estimate is where to start when remodeling a kitchen (or any area of your home). The estimated cost of a kitchen remodeling project provides the homeowner and the kitchen designer with structured information as to what the overall finished project design and project resources will look like. I find that our clients receive comfort in the estimate for their home renovation journey because it outlines exactly what to expect when it comes to their money and precisely where it is going.
A bit of experience.
In my early years of entrepreneurship, it was commonplace in some industries to be taught never to provide quotes or pricing to clients until a presentation was developed to demonstrate the value of the proposed project. Candidly speaking, this method of obtaining business made me uncomfortable; it was as if we were hiding from something we did not need to hide from (service pricing) and trying to persuade folks into a purchase before providing them with the opportunity to make a well informed decision. Looking back, I remember thinking that the underhanded method for the project estimate process made sales seem a bit sleazy and I still feel that way today.
Gratefully, I can say that I quickly shed things that don’t fit my values or my business operations and in turn, innovative new ideas and/or processes quickly replace the old. After I made the decision to shed the bad sales tactics, I began to assess project trends and gather data from those assessments, which I used to create my own method for estimating the cost of residential remodeling projects. This is the method we still use today!
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Understanding the components of an estimate.
If you are reading this blog, I am assuming that you may be considering a kitchen upgrade or perhaps you have already decided to remodel and you are doing some research to guide you through the process.
Congratulations!
In order for you to get a clear understanding of the cost of your kitchen project, you need to understand the factors and the variables that an estimate entails. I intend to provide you with an inside look at our method and the factors we consider when estimating a residential remodel.
If you ask a contractor to provide you with their method for estimating a home renovation project, you will surely hear varying answers. Please be aware of the answer you are given. For example, if the answer is not straightforward, if you are unsure of their process after their response or if the response does not seem to make much sense to you, please go with your gut and find a new business that will answer your questions with confidence and clarity.
If you are considering hiring a professional to design and/or implement your home renovation projects, you may find the article below a helpful guide when it comes to hiring a residential industry professional.
Top Ten Questions to Ask When Hiring a Professional
I have been in kitchen and bath industry for over 46 years and I have heard a multitude of methods that various salespeople and business folks use to help them break down the cost question when speaking with clients. I do love a good discussion and I always receive an earful when I ask industry associates about their method used when providing a cost estimate to a client. I have heard well thought out responses and have also heard responses about method of estimation that, in my opinion, pay homage to the terrible sales training that I encountered as a young man. Interestingly, I noticed that many professionals in this industry tend to use comparisons and analogies when providing a ‘why’ to their clients for the total of the given cost estimate. I heard it all, everything from comparing the cost estimation process with the experience of buying an automobile to using various analogies, such as a particular one that I repeatedly heard and what I like to call “the grocery cart analogy.”
The grocery cart analogy.
While it is simple, the grocery cart analogy leverages the notion that when one is grocery shopping, the final grocery bill is dependent primarily upon two factors: The quantity of items placed in the basket and the quality preferences/ price preferences that the shopper abides by. Likewise, quality and quantity are the main variable factors (among a few others) in a residential remodeling estimate and these factors remain the same for both a DIY (do it yourself) home improvement project and a contracted home improvement project.
The analogies and comparisons that some of my industry associates use are not sufficient enough to relay an accurate answer regarding the estimate method for a new kitchen because it is not a specific answer. Clients need specifics where their money is to be involved and those that are seriously seeking to add value to their homes by upgrading various household areas initially ask the to see the details of the estimate to develop a budget or price range that they can plan for accordingly. I myself operate this way and I suspect that you do as well.
The estimation method explained.
Our design team strives to impart a positive client experience by ensuring that the estimates we provide are precise and straightforward. We provide estimates which are based on a system that employs a formula and considers a few other factors. While I am going to make a HUGE number of generalizations in this post, I stand behind the numbers and concepts as they work in my business. Colleagues and associates in the industry may take exception, but I like being able to answer the cost question for people without hesitation. Below is the guide that I developed from years of experience providing kitchen estimates and the estimate guidelines that we still use at Hampton Kitchens today.
Max’s guide for estimating a residential kitchen remodel:
To begin with, there are generally 4 areas of a contracted project cost, with each area representing about 25% of the total cost.
Cabinetry and Countertops
Appliances and Plumbing Fixtures
Construction Cost (labor, trades, flooring, demolition, finishing, etc.)
Contractor Fee
Please note that before you all start scratching your heads over the contractor fee, I would like to clarify that this is a general fee for most contractors after all of the expenses and the fee is not a ‘markup,’ it is a percentage of the final pricing. Please note that while this formula utilizes a typical percentage to calculate the contractor fee, there are some professionals who may fall under or below 25% .Additionally, market fluctuations may cause a variance with the contractor fee percentage as well.
Variations and estimate accuracy.
A kitchen renovation project is no small undertaking the operating budget should be well thought out. In order to procure the most accurate estimate possible for your project that best suits your household’s unique needs, there is further fine tuning involved within the categories 1, 2, and 3 above. There are 3 additional factors we consider that stem from a client’s preferences and/or budgetary requirements. These preferences are important factors in an estimate because they greatly affect the total price of a remodeling project.
Quality preferences for the project materials.
Quantity preferences (categories 1 and 2). Households are gloriously unique and some folks may need more to suit their lifestyles than others might need.
Structural Changes to the kitchen footprint. In case you are wondering what a kitchen footprint is, it is the preexisting structural design of the kitchen to be remodeled. The footprint might be structurally changed or redesigned in order to create a more functional space, to improve traffic flow, or to create more space which visually heightens and beautifies the aesthetics of the entire kitchen design.
I provided two scenarios below to demonstrate how variances can occur based on an individual’s personal preferences.
Scenario 1
Let’s say you went shopping around this weekend and gathered costing data for the least expensive appliances and plumbing fixtures. Currently, appliances and fixtures that are on the low end of things should average around $10,000. My experience demonstrates that if the quality level of the appliances and fixtures are parallel to the quality level of the cabinets and countertops, a basic kitchen remodel (tear-out and replacement services within the original kitchen footprint) will end up costing a total of about $40,000 using our formula above. This $40,000 estimate holds true to the current national average of a basic kitchen remodel.
Scenario 2
On the other hand, if you are wanting to upgrade your kitchen design and you prefer remodel with high quality appliances and fixtures, this preference can easily add up to $30,000 - $40,000 for the materials alone. Again, if the quality levels are parallel throughout the project, this variation in quality from the first scenario can translate to a total kitchen renovation that would run from $120,000 - $160,000 (or more) depending on any other variations you might desire, such as a kitchen wall removal or other layout modifications. Yes, there are many residential kitchen remodels these days that run more! I would like to note that the idea of parallel quality levels from one material category to another is not carved in stone, it’s just a rough guideline I employ based on my personal experience with the majority of the clients we have served over years.
About the average cost for a kitchen remodel.
If you are reading this and still wondering approximately what a kitchen renovation might cost you, I’ll loosely hit on a few averages that I procured (from the perspective of my personal business experience) to help you determine which category your kitchen project fits.
An “average” home located in our area of the US (Raleigh/Durham/Chapel Hill NC) runs about $300,000 with a roughly 10’x 10’ “L” shaped kitchen. Similar to scenario 1 above, at the very lowest end of an average estimate for a basic kitchen remodel which includes the procuring the least expensive appliances, countertops and cabinetry. Because the average cost of materials on this level are about $8,000 to $10,000 the final estimate will be around $35,000-$40,000; however, please keep in mind that this is a minimum starting average.
If you are seeking an above basic kitchen remodel and an uptick in the quality of the materials, then the next cost range your kitchen may fall in may be the $50,000-$75,000 range.
What about those who are not willing to settle for average? These clients are usually seeking structural alterations and design elements such as custom cabinetry and premium integrated appliances. The majority of our clients are in this type of preferential category. The kitchen remodeling projects these clients desire fall in an average range of $75,000-$150,000.
The takeaway.
When asking, “How much will it cost me to remodel my kitchen?” The answer is that the cost for your kitchen remodel is that the final cost estimate depends upon your unique personal preferences or budget, your personal expectations and whether any floor plan changes are desired will ultimately be the driving factor in the final cost of your kitchen project. Therefore, the more information and details that you provide your licensed CMKBD and residential contractor regarding the quality of materials you desire, any layout changes or modifications to be implemented and your general project expectations, the final cost estimate of your kitchen project will be highly accurate and you and your family will be exceedingly happy at the end of the project and with your updated and magazine-worthy kitchen.
Cheers and here’s to a beautiful renovation journey!
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Credits
Kitchen photo 1 (kitchen project with globe shaped lighting): Interior Design by Michelle Murphy, MPM Interiors
Photography by Catherine Nguyen Photography
Kitchen photo 2 (kitchen project with all white cabinets): Interior Design by Lily Karas Cooper, Lily + Luxe Design Co Photography by Beth Singer