Guide to Budgeting a Kitchen Remodel

Guide to Budgeting a Kitchen Remodel

A kitchen budget starts with fair market value.

The kitchen represents 10-20% of the fair market value of a home.

  • Investing less than 10% of the fair market value may result in a kitchen that doesn’t meet expectations.
  • Exceeding 20% makes it more difficult to recoup expenses when you sell your home.
  • 50-65% of the cost should be designated for cabinetry and countertops (or 50% for cabinetry and 15% for countertops).
  • Another 15% can be expected for appliances, flooring and other goods like lighting, plumbing fixtures, etc.
  • The remaining 20-35% includes the costs of labor, design elements, contracting services, etc.

For a home worth $100,000

Category% of Total BudgetAmount
Cabinets and countertops50%-60%$10,000 – $13,000
Appliances, flooring and other goods15%$3,000
Labor, design, contractors, etc. 20%-35%$4,000 – $6,000
Total Budget$20,000

For a home worth $250,000

Category% of Total BudgetAmount
Cabinets and countertops50%-60%$25,000 – $32,500
Appliances, flooring and other goods15%$7,500
Labor, design, contractors, etc. 20%-35%$10,000 – $17,500
Total Budget$50,000

For a home worth $300,000

Category% of Total BudgetAmount
Cabinets and countertops50%-60%$30,000 – $39,000
Appliances, flooring and other goods15%$9,000
Labor, design, contractors, etc. 20%-35%$12,000 – $21,000
Total Budget$60,000

For a home worth $400,000

Category% of Total BudgetAmount
Cabinets and countertops50%-60%$40,000 – $52,500
Appliances, flooring and other goods15%$12,000
Labor, design, contractors, etc. 20%-35%$16,000 – $28,000
Total Budget$80,000