Cost Benefit/ROI for Bathroom Remodel?

Question

Looking to remodel my bathrooms in primary residence.  Planning to do new tub, tile, replace one tub with walk in frameless shower, new countertops and fixtures, toilets, new flooring/tile.  Been quoted a little under $10k for master and maybe $5-7k for guest bathroom.  My question is - is it worth the investment?  What is the typical ROI on a bathroom remodel?

Evan Polaski · Answer

Account Closed, I am going to add to Carson, since he covered the top items.  In the current high demand low supply housing market we are in, from an ROI of raw financials, you probably should not do it.  If other houses are selling in your neighborhood quickly and for high prices, upgrading your bathrooms will likely not pay off.

But as Carson mentioned, if you plan on staying several more years and get the use and enjoyment out of them, there is value to that.

Last bathroom I remodeled was several years ago, was fairly small, and cost over $10k.  We also complete rearranged things, so it was a full gut to studs, moving electric and plumbing around, then rebuild with all new fixtures.  So, $11k sounds reasonable.  I would still ask for references from your potential contractor.  Beyond work quality, I would make sure you understand the draw requirements, if any.  And when talking to references, I would ask about draws, if contractor asked for any early draws, was able to provide invoices for work complete with each draw, etc.  In my experience, most contractors do a pretty good job, although some are better than others.  It is the financial side that separates the good from bad.

If the draws are tied to percentage complete, other than 100% complete, I would not hire the contractor.  Everything should be based on firm milestones, like demo, passed rough in, cement board hung and waterproofed, tile complete, etc.

Account Closed · Answer

@Evan Polaski

Thank you so much for the great insight Evan, I sincerely appreciate it!

Glad to know the quote is not unreasonable, and I have since reached out to two other contractors to get additional quotes as well just to compare.  Originally was quite a bit higher than I was expecting/hoping to pay but after getting more feedback seems like it is in the right ballpark.

Great point on the ROI front and supply/demand - I’ll discuss further with a real estate agent and get a feel for current market.

And very good advice on the draw schedule - I haven’t had experience working with any contractors, but definitely makes sense to pay them based on certain milestones and I will be sure to ask on how their typical payment/draw schedule works before agreeing to commence work on the project.

Thanks again for the feedback and advice!

Best,

Daniel

Account Closed · Answer

@Carson P.

Thanks so much for the insight Carson, very helpful information and perspective.  Yes, it is my primary residence currently so I will indeed try to enjoy it!  Wanted to get a feel for future value I’d derive upon lease and/or sale to see if it’d be worth to do.  My plan was also to do the kitchen in the near future, so glad to hear some anectodotal evidence it is worth the investment.

Glad to know the quote is reasonable - I got an official estimate this afternoon actually and it is almost $11k for the master bath (new shower, tile, cabinets, flooring, countertops, toilet, baseboards).  I have heard it is best practice to get at least 2-3 quotes before selecting a contractor, but I feel based on my interaction with this initial contractor he is trustworthy, reliable and can do good work for a fair price.

And yes, makes sense on the cost for tub replacement only versus shower since there is more tile and the glass itself for the shower is a few thousand!

Thanks again for the feedback!

Account Closed · Answer

@Michael Plante

House should sell today for $340-$350k.  Neighborhood was built in early 2000s.  I have seen some homes with renovated bathrooms, but most that I have seen listed in the past few years many of them are original bathrooms.

Reasonable for one bathroom remodel to be $10k?

Carson P. · Answer

@Daniel Lin

I would talk to a realtor like mentioned above. I also look at it a few ways: are you going to be living there as it’s your primary? If so, is the remodel something you want and will enjoy for some time? I feel sometimes people get too caught up in ROI and maximize the dollar. Enjoy it as well!

That said, typically kitchens and bathrooms have the best ROI as well when selling a house. We always update ours when we do a remodel. We perform all our own work but for renters, they love seeing the new fixtures and same for buyers. It’s intimidating for your average home owner to go through the remodel process so having it done usually will net more or at least sell the house faster.

10k doesn’t get you much now a days. Granted I haven’t got a quote because we self perform, I don’t think 10k is unreasonable. If I was doing a bathroom remodel with a tile shower, I would be charging about that if not more. If it was just flooring,vanity, toilet and a light fixture  that should be a lot less. Bathrooms are small but they are a lot of work to remodel. I found this out on my last gutted bathroom.

Lastly, consider the materials that were quoted. An all tile shower will be more extensive than a tub with tile surround and same with a real wood vanity compared to the particle board version. Just my 2 cents.

Michael Plante · Answer

I do basically all my own work so I am sorry I don’t know

Michael Plante · Answer

How much will the house sell for probably?I would ask the agent you are going to list with.  They should know the market

Do other comparable houses have renovated kitchens and baths?