Here’s Why Kitchen and Bath Renovations Are Costing More
The 2019 U.S. Houzz & Home report shows that costs have steadily risen in recent years, a trend expected to continue
Spending on renovations of kitchens and bathrooms in the U.S. rose significantly last year, a new Houzz study shows. The increase is likely a result of the ongoing trade war with China.
For kitchens, the median national spending amount jumped 27 percent from 2017 to 2018, according to the 2019 U.S. Houzz & Home report, the largest publicly available survey of residential remodeling, building and decorating activity in the United States. Spending on master bathroom renovations went up 14 percent, while spending for nonmaster bathrooms rose 17 percent. And the trend is expected to continue this year.
“Last year’s 10 percent increase in tariffs on imported building materials is clearly hitting consumer pockets in areas such as kitchens and bathroom remodels that are heavily dependent on imports of cabinetry, countertops, ceramic tile, plumbing fixtures and vinyl flooring from China,” says Nino Sitchinava, Houzz’s principal economist. “We expect similar effects to take place in 2019, given the recent breakdown in trade negotiations.”
For kitchens, the median national spending amount jumped 27 percent from 2017 to 2018, according to the 2019 U.S. Houzz & Home report, the largest publicly available survey of residential remodeling, building and decorating activity in the United States. Spending on master bathroom renovations went up 14 percent, while spending for nonmaster bathrooms rose 17 percent. And the trend is expected to continue this year.
“Last year’s 10 percent increase in tariffs on imported building materials is clearly hitting consumer pockets in areas such as kitchens and bathroom remodels that are heavily dependent on imports of cabinetry, countertops, ceramic tile, plumbing fixtures and vinyl flooring from China,” says Nino Sitchinava, Houzz’s principal economist. “We expect similar effects to take place in 2019, given the recent breakdown in trade negotiations.”
Kitchens Are Still the Most Popular Rooms to Renovate
In 2018, kitchens were the most popular rooms to renovate, whether as part of a remodel of an existing space or as an addition to a home. Guest and other types of bathrooms were second, followed by master bathrooms.
This chart also shows the median spend across the nation for renovations of various rooms in a home. The lowest median spending amount was on closets ($700) and the highest on kitchens ($14,000). The median spending amount on master bathroom remodels was $8,000, while for laundry rooms it was $1,500.
In 2018, kitchens were the most popular rooms to renovate, whether as part of a remodel of an existing space or as an addition to a home. Guest and other types of bathrooms were second, followed by master bathrooms.
This chart also shows the median spend across the nation for renovations of various rooms in a home. The lowest median spending amount was on closets ($700) and the highest on kitchens ($14,000). The median spending amount on master bathroom remodels was $8,000, while for laundry rooms it was $1,500.
Keep in mind that the median here is the midpoint spending amount for each room in 2018, with half of renovating homeowners spending more than the median and half spending less. Economists consider the median a more useful measure than the average (or mean), because the latter can be skewed upward in a misleading manner by one-off projects that cost a lot more than others.
Median Spend on Kitchens Jumped 27 Percent
The spending for a homeowner who spent the median amount rose 27 percent, from $11,000 in 2017 to $14,000 in 2018. As mentioned, the large jump in a single year is likely driven in part by increased tariffs on imported products and materials, like engineered quartz and natural stone, both popular kitchen countertop materials.
These figures are for remodels of kitchens of all sizes, and within a range of project scopes, and they include projects for which homeowners did all or some of the work themselves as well as projects for which homeowners hired professionals (87 percent of homeowners who renovated last year hired pros).
For a kitchen remodel of 200 square feet or more, and for which at least all the cabinets and appliances were replaced, the median spending amount jumped from $33,000 in 2017 to $35,000 in 2018. For kitchens of less than 200 square feet, the spending amount for a similar remodel jumped from $20,000 to $23,000 in the same time period.
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The spending for a homeowner who spent the median amount rose 27 percent, from $11,000 in 2017 to $14,000 in 2018. As mentioned, the large jump in a single year is likely driven in part by increased tariffs on imported products and materials, like engineered quartz and natural stone, both popular kitchen countertop materials.
These figures are for remodels of kitchens of all sizes, and within a range of project scopes, and they include projects for which homeowners did all or some of the work themselves as well as projects for which homeowners hired professionals (87 percent of homeowners who renovated last year hired pros).
For a kitchen remodel of 200 square feet or more, and for which at least all the cabinets and appliances were replaced, the median spending amount jumped from $33,000 in 2017 to $35,000 in 2018. For kitchens of less than 200 square feet, the spending amount for a similar remodel jumped from $20,000 to $23,000 in the same time period.
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Median Spend on Master Bathroom Remodels Rose 14 Percent
The median spending amount for master bathrooms was $8,000 in 2018, a 14 percent increase from the year before. For nonmaster bathrooms, the median cost was $3,500, an increase of 17 percent over the year before.
As with kitchens, some of this significant year-over-year cost increase can likely be attributed to tariffs on imported products and materials. Also as with kitchens, the typical spend on bathrooms includes projects of all sizes and scopes, and includes both DIY projects and those done with the help of one or more professionals.
The median spending amount for master bathrooms was $8,000 in 2018, a 14 percent increase from the year before. For nonmaster bathrooms, the median cost was $3,500, an increase of 17 percent over the year before.
As with kitchens, some of this significant year-over-year cost increase can likely be attributed to tariffs on imported products and materials. Also as with kitchens, the typical spend on bathrooms includes projects of all sizes and scopes, and includes both DIY projects and those done with the help of one or more professionals.
The following figures might help with understanding the national median spending amounts for a major bathroom remodel. For a master bathroom of 100 square feet or larger, in which at least the cabinetry, vanity, countertops and toilet were replaced, the median cost was $17,000 in 2018, up from $16,000 the year before. For a similar project in a bathroom smaller than 100 square feet, homeowners spent a median of $10,000.
Despite the rise in material costs, renovation activity continued at a steady pace in 2018.
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See how much people spent on home renovations in 2018
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Despite the rise in material costs, renovation activity continued at a steady pace in 2018.
Read more results from this study
More on Houzz
See how much people spent on home renovations in 2018
Find a design or remodeling pro
Shop for products and materials
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Here’s a closer look at homeowners’ spending on kitchen and bath renovations in 2018.