Remodeling and renovating are commonly used interchangeably, although they are two completely different projects. It is important to understand the benefits both projects produce, while also taking into consideration the key differences.
Renovation updates the look and feel of a room or an entire structure without changing its intended purpose. Renovation examples include but not limited to: tile remodeling, flooring, repainting, resurfacing, installing new light fixtures, and updating new appliances.
Remodeling is altering the home’s structure or layout and functions more towards the transformation of the property. Remodeling examples include: changing the whole layout of a room, raising the ceilings, removing walls or combing two rooms into one.
Deciding whether to renovate or remodel your property can be a big decision. If you are settling into the property for the long haul and you are not happy with the look and/or functionality, a full remodel may be in order. If you are looking to update a few aesthetic areas or increase the value of your home in time for a sale, a quick renovation may be your best bet. You will want to consider your budget (what can you afford and how will you cover the costs?), time (how available are you and when do you want the project completed?) and your final goals for the property. Some major components that may influence the project specifically are the materials (paint, flooring, wood, etc.), the price of (appliances, fixtures, cabinets, hardware, etc.), the size of the space being renovated or remodeled, the overall labor, contractor and consulting fees and the age and condition of home.
It is paramount to consider the potential return on investment, especially if you want to increase the property value or resale value.
According to Remodeling Magazine’s 2021 Cost vs. Value Report, the highest-ROI home projects include:
• Garage door replacement (93.8% of your costs recouped)
• Stone veneer siding addition (92.1% recouped)
• Minor kitchen remodel (72.2% recouped)
• Siding replacement (68.3%–69.4% recouped)
• Window replacement (67.4%–68.6% recouped)
• Deck addition (63.2%–65.8% recouped)
• Steel entry door replacement (65% recouped)
• Fiberglass grande entrance (60.9% recouped)
• Asphalt shingle roof replacement (60.7% recouped)
• A mid-range bathroom remodel (60.1% recouped)
Before you decide on which is right for you, be sure you know the ultimate goal for your project and what you'll likely get back in greater home value over time. You'll have to weigh the scope of what you want to do, the condition of your home, the current cost of materials, and more.