House Remodeling Costs

Current estimates put the average price of new home construction at more than $260,000, but limit the cost of a “major renovation” to only around $45,000-$75,000. Most property owners opt for the one room at a time approach, but those costs are usually far less than house remodeling on a grander scale.

And while tackling multiple rooms all at once may seem overwhelming and difficult to manage, it can be cost-effective. This is because it gets contractors on the premises to do the bulk of their labor at once, instead of multiple and return visits. It ensures the fewest delays and glitches and enables a more organized or systematic approach to the work.

The important thing to remember is that house remodeling costs vary based on the location. For example, there are interior remodeling projects that involve everything from removing interior walls and building materials to replacing entire systems (electrical, plumbing, ductwork, and so on). There are exterior remodels that can include siding, roofing, new doors and windows, and all the rest.

The costliest projects are kitchens and baths, and the next most expensive include new roofing, floors, and siding.

House remodeling: per room, labor included.

Other considerations and costs

• Prices do not reflect the costs for permits and local licensing, though the national average cost for building permits on remodeling projects is $900 or more.
• Prices will vary quite widely based on materials choices, too. For example, there is a tremendous difference between premium kitchen cabinetry and low-cost options, with pricing on something like a kitchen remodel starting as low as $10,000 but easily exceeding $50,000 for top quality materials.
• There is also a need to add a line item to any house remodeling budget to address the issue of hidden costs, which most experts say can be upwards of 15% of any budget and which should be set aside in the event of unforeseen issues. These can include damages done during the work, code violations, damage from mold or pests, difficulty obtaining materials, and inadequate budgeting for supplies, among other problems.
• Change orders are something to avoid, but which may not always be easy to control and are when a homeowner sees the initial outcome of the work or use of material and decides that a change is needed.

Check out our guide if you need a loan for your home improvement project.

DIY considerations

• A house remodel cannot be done as a DIY project. While smaller tasks might be a possibility for the avid DIY enthusiast, the kind of licensed and insured work required for most remodeling means that DIY is out of the question. Additionally, overseeing a remodel is not for the inexperienced, either, and a contractor is essential.

References

• Craftsman Estimator Costbook, complete series year 2019.
• Latest prices found on Home Depot and other vendor Web sites.
• Literature review of DIY Web sites.