Why Remodeling Your Bathroom Could Have a Positive Impact on Your Home’s Value

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Bathroom remodels can be a big undertaking, but the results are often worth the time and money. In fact, experts cite bathroom remodels as one of the most important upgrades you can make to your home, and the return on investment is among the highest when it comes to home improvements. 

If you’re thinking about updating your bathroom, it’s important to have a clear sense of how a bathroom remodel can impact your property value and why it may be worth doing—whether or not you’re planning to sell your home. 

A Remodeled Bathroom May Improve the Overall Look and Feel of Your Home

One of the main reasons homeowners remodel their bathrooms is to make their homes feel new and more functional. The combination of modern fixtures and new tiles can take years (or even decades) off your home and improve the way you use your space. 

We recommend considering some or all of the following upgrades when planning your remodel:

  • Energy-efficient plumbing fixtures
  • A new vanity
  • Freshly painted walls in a neutral color
  • New flooring

Something else to consider is that starting with a remodeled bathroom can make it easier to update the rest of your home since other rooms can be modernized with smaller changes such as new carpeting.

Upgrading Your Bathroom Can Increase Energy Efficiency

Another benefit of remodeling your bathroom is the potential for energy savings. While the average cost of a bathroom upgrade is $10,800, the return on investment combined with energy efficiency can help you recoup the costs. Homeowners generally see a return of 70% to 78% on their investments, though it’s worth noting that more expensive renovations tend to yield lower returns.

So, how exactly does a bathroom remodel improve the way you use energy? Low-flow showers and toilets can reduce your water bill while new lighting fixtures can help you save on electricity and eliminate energy waste. Over time, these improvements can add up to significant savings.

Homebuyers Often Look for Properties With New Bathrooms

Perhaps one of the biggest benefits of a bathroom remodel is the impact it has on potential buyers. Research shows that homes with recent upgrades are more likely to attract committed buyers and generate higher offers. Even if you’re not thinking about selling your home, if you decide to do so in the future, you may be able to increase your asking price and appeal to more potential buyers.

While a new bathroom can significantly add to the value of your home, paying for the costs upfront can be challenging. That's where a financing option such as a Discover® personal loan can help. With fixed rates and no fees of any kind as long as you pay on time, Discover allows you to borrow up to $35,000 to cover remodeling expenses. You can also easily estimate your monthly payments using their Personal Loan Calculator by choosing the repayment term that works for you (between 36 and 84 months). Best of all, since the personal loan is unsecured, you won’t have to pledge the value of your home as collateral.

Remodeling your bathroom is a great way to update your home while adding to its long-term value. With careful upgrades, remodeling can also help you save on energy bills and reduce water waste. Above all, it can help you breathe new life into your home while making your space more functional.

Explore More with Discover Personal Loans: Money Moments: How to Plan for Home Improvements and Life Events

* Discover makes loans without regard to race, color, religion, national origin, sex, handicap, or familial status.

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The Balance uses only high-quality sources, including peer-reviewed studies, to support the facts within our articles. Read our editorial process to learn more about how we fact-check and keep our content accurate, reliable, and trustworthy.
  1. Angi. “How Much Value Will a Bathroom Remodel Add to Your Home?, https://www.angi.com/articles/value-bathroom-remodel.htm.”

  2. Investopedia. “Will Your Home Renovations Pay Off?, https://www.investopedia.com/articles/mortgages-real-estate/08/add-value-to-real-estate.asp.”

  3. Angi. “How Much Value Will a Bathroom Remodel Add to Your Home?, https://www.angi.com/articles/value-bathroom-remodel.htm.”