How Much Does a New Bathroom Increase the Value of a House?

An extra bathroom can dramatically increase a home's value.

An extra bathroom can dramatically increase a home's value.

Adding another bathroom to your home might do more than solve arguments about who gets the first shower each morning: It can boost your home’s value. While it’s difficult to pin down exactly how much your new bathroom boosts your home’s value -- it depends on factors such as your home’s condition, location and size of the bathroom -- you can break ground on the project knowing your investment should be reflected in your property value.

National Averages

The average midrange bathroom addition project in 2011 and 2012 cost $40,096, and boosted a home’s value by $20,455, according to Remodeling magazine. For every dollar spent on these projects, homeowners could expect their home’s value to rise 51 cents. Going for a luxury project didn’t do much to boost the rate of return, either, as the average upscale bathroom addition cost $72,209, boosting a home’s value by $40,061, a rate of return of about 55 percent.

Go Large

If you’re primarily motivated to increase your home’s value when you decide to add a bathroom, you’ll get a much better return on your investment if you add a full or three-quarter bath instead of a half bath. Adding a half bath boosts your home value by 10.5 percent on average, according to House Logic, but a bathroom with a shower stall or a tub will pump up resale value by 20 percent. If you have the space, a larger bath may significantly increase your home’s value.

Shop Wisely

If you aren’t set on a vision of your new bathroom and are flexible about your choice of fixtures and accessories, price-conscious shopping can help you leverage more return on your project’s cost if you hunt for bargains. You can save big on your materials investment by waiting to purchase fixtures when they’re on sale, or, better yet, take out-of-box items used as display models. If your area has a Habitat for Humanity or similar store that sells used and donated building materials, it might be a source of bargains.

Keep It to Scale

Although improvements to your home help boost its value, you’ll have to take care to match the addition to the home. For example, adding a $70,000 luxury bathroom may boost home prices on average by a little more than $35,000, but adding that $70,000 deluxe washroom to a $100,000 home isn’t going to jack up the property’s value by $35,000.

About the Author

Wilhelm Schnotz has worked as a freelance writer since 1998, covering arts and entertainment, culture and financial stories for a variety of consumer publications. His work has appeared in dozens of print titles, including "TV Guide" and "The Dallas Observer." Schnotz holds a Bachelor of Arts in journalism from Colorado State University.

Photo Credits

  • Jupiterimages/Creatas/Getty Images