The Price of a Bathroom Remodel has Increased by over $10,000 in the Last Decade

House Method is launching a series on the most popular home renovation projects and how they affect a home’s value. We’ll address what costs come with each project and the return on investment (ROI). We surveyed American homeowners who have recently tackled remodeling projects to gain insight into home renovation goals and outcomes.

According to our 2022 State of Remodeling in U.S. survey, bathrooms are the most popular home renovation project. While bathroom remodeling costs vary significantly across states, the return on investment rate remains consistent and high. This means that no matter where you call home, a bathroom remodel could be a solid investment.

Key Findings:

• Mid-range bathroom remodeling projects have an average ROI rate of 70%. Upscale renovations have an average ROI of 60%.
• Of the 71% of American homeowners who completed home renovations in 2021, 45% reported renovating their bathrooms.
• A bathroom remodel can up your home’s value by 3%. Minor renovations yield an approximate $1.70 increase in your home’s value for every dollar you spend on the project.
• Nationally, the average bathroom remodel costs $26,574 in 2022 and can expect a return on investment of 60.22%
• 93% of homeowners reported a better quality of life after a home renovation

The Cost of a Bathroom Remodel and ROI in Every State

This section will look at how certain states stacked up in regards to ROI, price, and value.

We compared each state’s average bathroom remodel costs in 2022 to the same number in 2012. We analyzed how much homeowners in each state can expect to recoup from their renovation today compared to a decade ago. These – sometimes steep – increases illustrate how prices and percentages of investment recoups have changed.

The table below shows how prices and recoup percentages have evolved in the past decade.

Most Expensive States to Remodel a Bathroom

Now, let’s look at the states with the highest remodeling project costs. Most of these locations are also some of the most expensive places to live, which points to inflation consistencies across the board.

However, a large investment doesn’t necessarily mean a sky-high recoup rate – even in states with higher overall costs. Despite their high project prices, the average ROI among these states is 62.59%, which is slightly higher than the national average of 58.9%.

Here is how these states’ high project costs stack up to their ROIs:

Least Expensive States to Remodel a Bathroom

Luckily for homeowners on a budget, a less expensive remodeling project doesn’t necessarily produce a lower ROI. Our research found that the 10 states with the least expensive bathroom renovations have an average ROI of 59.04% – which is still above the national average of 58.9%.

Between the most and least expensive project markets is a $14,000 price discrepancy. This means you’ll pay $14,000 more to remodel your bathroom in New York than in North Dakota. Despite paying more for the project in New York, the ROI comes out at 56.40%, which is over 2% less than North Dakota’s ROI of 58.90%.

How Bathroom Costs and ROI Differ by State

As we noted above, most homeowners can expect around a 60% to 70% ROI, depending on the scale of the renovation. However, this isn’t the only factor determining how much you’ll get back on your investment. Location, labor shortages, supply chain issues, and inflation also hugely affect ROI rates across the country.

To learn more about how bathroom remodel ROIs have changed over time, we compared the current rates to those from a decade ago. We found that some states’ average ROI rates decreased by approximately 6% from 2012 to 2022. This dip is likely due to rising inflation rates, recent supply chain crises, and labor shortage issues.

One state, Alabama, had a 2012 recoup rate of 81%, which dropped to 75% in 2022. This state’s cost for mid-range bathroom renovations has also increased by over $10,000. At the same time, some states haven’t seen much change over the years. A project in Delaware has a recoup rate of around 77%, regardless of the year. However, a project today costs around $10,000 more than it did in 2012.

Meanwhile, other states saw significant jumps in project costs. Vermont saw the biggest price increase, with a jump from $13,975 to $35,251. This increase was followed closely by Montana, which jumped from $14,540 to $32,000 across the decade.

Here are the top 10 states with the highest price increases

States with the Best ROI in 2022

Now that you know the nitty-gritty of each state’s project costs and increases, it’s time to see which states are the winners for the highest ROI rates. You’ll make the most back on your investment by remodeling a bathroom in:

• Maine – 88.5%
• Hawaii – 77.7%
• Delaware – 77.2%
• Tennessee – 76.5%
• Washington – 75.8%
• Alabama – 74.8%
• California – 74.4%
• Wyoming – 72.6%
• Indiana – 71.0%
• Florida – 69.2%

Maine comes in first place with a return on investment rate of nearly 89%. This is over 10% higher than the state with the second highest ROI, Hawaii. Maine’s recoup rate has risen over 20% in the past decade, partly due to an increased interest in energy-efficient appliance replacements.

Hawaii’s ROI rate for bathroom remodels is an interesting case. Despite its percentage of costs recouped dropping from 98.6% to 77.7% from 2012 to 2022, the state still has the second highest recoup rate of any state. This consistently high rate is likely a result of Hawaii’s hot housing market and coveted home sales.

Renovation Cost by Bathroom Type

At this point, you may be wondering – what determines the cost of a bathroom renovation? The answer is the scope of the renovation. Along with the countless bathroom design options and functional purposes come full and partial renovations.

A full remodel involves gutting the bathroom – fixtures, appliances, design elements, etc. – and starting from scratch. On the other hand, a partial remodel involves replacing or refreshing certain elements of the room instead of the whole thing. Sometimes, a new countertop or fresh flooring is all the homeowner needs for an updated bathroom space.

Here’s a quick breakdown of common bathroom layouts and their full and partial renovation costs:

Cost Breakdown of Bathroom Upgrades

Bathroom renovations typically involve replacing or refreshing the space’s plumbing fixtures, appliances, flooring, or cabinetry. Among American homeowners’ most coveted bathroom remodel features are natural woods, statement marble countertops, rain showers, double vanity sinks, and energy-efficient appliances.

As you can imagine, these trendy upgrades summon a lofty price tag. We found price estimates for several bathroom features on the low, middle, and high tiers of the price range to help you know what to expect.

Project Costs for Low- to High-End Plumbing and Appliance Renovations

Project Costs for Low- to High-End Countertops, Cabinetry, Floors, and Fixtures

If you completed a full low-end remodel with every upgrade listed in the tables, you’d pay around $4,200 for the project. A full high-end renovation project jumps up to about $47,600. For a middle-tier quality and cost renovation, you’re looking at around $21,500.

How Bathroom Design Trends Have Changed Over Time

While clean lines, fresh white walls, and statement bathtubs are the current trends in bathroom design – this hasn’t always been the case. Bathrooms have changed a lot since the mid-20th century, both in appearance and functionality. The timeline below shows how these essential home spaces have transformed from a necessary evil into a coveted oasis.

1940-1960

The 1940s, 50s, and 60s saw an uptick in delicate pastel hues and patterned wallpapers. Light pink, mint green, and baby blue were popular color choices for wall tiles and countertops. Whimsical flower designs and fuzzy toilet seat covers coincided with the arrival of the late 60s psychedelic scene.

1970s

The 1970s brought earth tones, laminate countertops, patterned vinyl, and shag carpeting into American bathrooms. It wasn’t uncommon for bathroom designs to include combinations of cherry reds, lime greens, and bold yellows. These colors were included in everything from the carpets and shower curtains to the toilet bowls and vanity sinks, which were eventually replaced by pedestal-style sinks throughout the decade.

1980-2000

The idea of a bathroom as an “oasis” launched in the late 20th century. By the start of the 1990s, America was in a period of economic prosperity, which led many homeowners to spend big on luxurious remodels. Bathroom designs during this time included jetted bathtubs, double vanity sinks, Hollywood lighting, and neutral color palettes.

2010-Now

The past 20 years have ushered in a spa-like bathroom design with clean lines, white and gray color schemes, granite countertops, and glass showers. The past decade’s technological advancements have also introduced smart lighting, energy-efficient appliances, and stunning rain showers.

Why Trends Matter for ROI

So, why is it important to understand the evolution of the bathroom across the decades?

First, you must know what’s currently on trend to understand what buyers are looking for. Potential buyers may steer clear if your home still has the same bathroom layout and style from the 80s. They’ll likely anticipate post-purchase renovation costs to bring the room up to the current decade.

Similarly, you need to know how your bathroom stacks up to current trends to know which parts to renovate. You may be able to incorporate some old designs into a partial remodel for a vintage chic space. Otherwise, a full remodel may be your best bet for a higher resale value and ROI.

How to Get the Best ROI on Your Bathroom Remodel

House Method’s research found that Americans are performing a lot of bathroom renovations. Among those renovations is a high variance in what people are paying and how much they’re recouping on those investments.

New York is the most expensive state for a bathroom remodel, with costs often exceeding $35,000 per project. Our data shows that homeowners in this state pay $14,000 more for remodeling projects than homeowners in the least expensive state, North Dakota.

You’d think a higher investment would generate a higher ROI, but this isn’t necessarily the case. Return on investment rates are instead determined largely by the homeowner’s location, and the scope of their bathroom remodel. This means that you may invest a much higher dollar amount than a homeowner in another state, only to get back a lower ROI.

Understanding which features yield a better ROI and how to meet those requirements with fewer renovations is key to saving money during your remodeling process. The most important thing to remember is that aesthetics and functionality are on equal playing fields in the 21st century. Creating a space that’s as visually appealing as it is practical can make all the difference for your home’s value.

Methodology

We analyzed remodeling data from each state for the past 10 years (2012 to 2022) to compile average material and labor costs, geographical ROI statistics, and historical data. Material prices were collected from trusted contractual and supplier resources. Using this data, we were able to decipher which states have seen the largest increase in home remodeling costs in the past decade, as well as which ones garner the greatest return on investment.

Using a third-party survey platform, House Method surveyed 1,000 Americans to identify homeowner sentiments about the renovation process and learn details about the overall outcome of their projects. This survey informed us of a bathroom remodel’s high popularity and value, prompting us to start our ROI series with this room.

The age of survey respondents ranged from 18 to 54, with the majority falling in the 25 to 44 age range. The sample size was about 52% female and 48% male.