The true cost of a kitchen remodel
The kitchen is the most expensive room to redo and the one most often called a sound investment. This takes the quote, adds any loan interest, takes off what the remodel is likely to add to the sale price, and shows what the rest costs for each year you cook in it. It starts with typical US figures. Replace them with your quote.
The true cost of a kitchen remodel
Over 10 years in the house
$10,800
- Cost of the remodel
- $27,000
- Loan interest
- $0
- Added to the sale price
- −$16,200
- Cost per year you live with it
- $1,080
- Ahead if the money stayed invested
- $35,779
You get back $16,200. The other $10,800 is the price of a nicer kitchen.
That is $1,080 a year for the 10 years you live with it. Left invested at 7% instead, the money would leave you $35,779 better off when you sell.
Year by year
The running total paid out. It falls in the final year, when the house is sold and part of the cost comes back. Leaving the kitchen as it is costs nothing, which is the flat line.
Show the figures for every year
| Year | Remodel, this year | Leaving it, this year | Remodel, total so far | Leaving it, total so far |
|---|---|---|---|---|
| 1 | $27,000 | $0 | $27,000 | $0 |
| 2 | $0 | $0 | $27,000 | $0 |
| 3 | $0 | $0 | $27,000 | $0 |
| 4 | $0 | $0 | $27,000 | $0 |
| 5 | $0 | $0 | $27,000 | $0 |
| 6 | $0 | $0 | $27,000 | $0 |
| 7 | $0 | $0 | $27,000 | $0 |
| 8 | $0 | $0 | $27,000 | $0 |
| 9 | $0 | $0 | $27,000 | $0 |
| 10 | -$16,200 | $0 | $10,800 | $0 |
How this is worked out
What the remodel costs
- The job. The full cost, paid in cash or partly borrowed. If you borrow, interest is worked out monthly on the remaining balance, and any loan left when you sell is paid off then.
- What comes back. A share of the cost is added to the sale price when you move. That is taken off, and what remains is the true cost of the new kitchen.
Cost per year you live with it
The true cost divided by the years you stay. A remodel is something you use every day, so this is the fairest way to judge it: is the new kitchen worth that much a year to you?
If the money stayed invested
The calculator also works out what you would have if you left the kitchen alone and invested the money at the return you set, after allowing for what the remodel adds to the sale price. It is the cost of the choice, not an argument against making it.
What is not counted
- Cost overruns. Quotes grow once walls and floors are opened.
- Lower repair or energy bills, if the old kitchen was failing or wasteful.
- Higher property tax, where a permit triggers a reassessment.
- The weeks of living without a working kitchen.
- Tax on investment gains, and inflation. All figures are in the dollars of the year they are paid.
What moves the answer for a kitchen
- Refresh or rebuild. New cabinet fronts, worktops and appliances in the existing layout cost a fraction of a full rebuild. Enter both quotes and compare the cost per year.
- Changing the layout. Moving the sink, the cooker or a wall means new plumbing, gas, wiring and sometimes structural work. It is the main reason kitchen quotes double.
- Cabinets and appliances. These usually take the largest share of the budget, and the premium ranges add cost much faster than they add sale price.
- How long you stay. A kitchen is used several times a day, so a long stay brings the cost per year down quickly. A remodel done just before selling has to earn its keep at the sale alone.
Where the starting figures come from
Cost of the remodel. The average kitchen remodel costs around $27,000, with most homeowners spending between $14,600 and $41,600, according to Angi figures reported by NerdWallet. A major, upscale remodel can cost several times that.
Share you get back. The 60% is from the 2025 Remodeling Impact Report by the National Association of Realtors, which compares what remodelers say a project costs with what estate agents say it adds at sale. It is an estimate of opinion, not a record of actual sales, and it varies a great deal by neighbourhood.
A second opinion. The remodeling trade’s yearly Cost vs. Value Report publishes its own cost and resale figures for common projects, by region. Its figures differ from the Realtors’, sometimes by a lot, which is a good reason to treat any single percentage with caution. Look up your region there and try both numbers.
Our assumptions. The loan rate, the 10 years and the investment return are our starting estimates.