Remodeling a house can be both exciting and stressful. While the idea of giving your home a fresh look is thrilling, the cost involved often becomes a major concern. Many homeowners wonder which part of a home remodel takes up the biggest portion of the budget. Understanding where your money goes can help you plan wisely and make smart decisions that ensure long-term value.
Every remodel is different depending on the home’s age, size, and condition, but there are certain areas that consistently cost more than others. These costs usually reflect the complexity of the work, materials used, and professional labor required. In this guide, we’ll break down the most expensive parts of remodeling a house, along with some helpful insights to manage your spending effectively.
1. Kitchen Remodels – The Costliest Room in the House
The kitchen is often the most expensive part of a home remodel. It’s the heart of the home, where design meets heavy functionality. A kitchen remodel involves several trades—plumbing, electrical, carpentry, flooring, and cabinetry—which makes it labor-intensive.
High-end finishes, new countertops, cabinets, and energy-efficient appliances quickly increase costs. On average, a kitchen remodel can range from $25,000 to $80,000 or more, depending on your choices. Factors like custom cabinetry, stone countertops, and smart kitchen systems can easily drive up expenses.
If you’re planning a large-scale renovation or thinking about updating your home entirely, it’s smart to explore Full Home Remodeling Services in Austin, TX. This can help you combine projects efficiently and reduce overall costs through bundled services.
2. Bathroom Remodels – Small Space, Big Investment
Though smaller in size, bathrooms can also be costly to remodel. The combination of plumbing, waterproofing, tiling, and electrical work adds up quickly. A mid-range bathroom remodel may cost between $10,000 and $25,000, while luxury bathrooms with spa-like features or high-end finishes can exceed $40,000.
Expensive materials such as marble tiles, glass showers, and custom vanities contribute to the overall cost. In older homes, additional plumbing repairs or layout changes can increase the budget further. Bathroom remodels are a smart investment, though, as they improve both comfort and property value.
3. Structural Changes and Additions
Making structural changes to your home—such as removing walls, adding rooms, or expanding the layout—can be another major expense. These changes often require architectural design, engineering approval, and city permits.
Adding a new room or second story can cost $100 to $300 per square foot, depending on the complexity of the project. Structural work often includes foundation adjustments, framing, insulation, and roofing—each requiring skilled professionals and strict safety compliance.
If you’re working with an older home, costs can rise even more due to necessary reinforcements or code upgrades. That’s why careful planning and experienced contractors are crucial at this stage.
4. Major Systems: Electrical, Plumbing, and HVAC
Behind the walls lies some of the most expensive yet least visible parts of a remodel. Upgrading electrical wiring, plumbing systems, and HVAC units can take a significant share of your budget, especially in older houses.
If your home hasn’t been updated for decades, these systems may not meet modern safety standards or efficiency codes. Replacing them ensures your home is safe and energy-efficient but comes at a price.
For example:
- Electrical upgrades: $3,000 to $10,000
- Plumbing updates: $5,000 to $15,000
- New HVAC installation: $7,000 to $15,000
Though costly, these updates are long-term investments that improve comfort, safety, and resale value.
5. Finishes, Fixtures, and Materials
Once the structure and systems are set, the finishing touches can still have a major impact on your total cost. Flooring, paint, lighting, and fixtures might seem minor individually, but together they add up quickly.
Choosing high-quality materials like hardwood flooring, quartz countertops, or designer lighting increases both beauty and value—but at a higher price. For budget control, consider mixing premium and standard materials strategically.
It’s not just about appearance; durability and maintenance also play a key role in long-term satisfaction. Always prioritize materials that last rather than those that only look appealing initially.
6. Labor and Professional Services
Labor typically accounts for 30% to 50% of the total remodeling cost. Skilled workers such as electricians, plumbers, carpenters, and painters all charge for expertise and precision. Hiring qualified professionals ensures the project is done right the first time, avoiding costly repairs later.
Architects, designers, and project managers may also be part of large remodels, further adding to the cost. While DIY can save money, it’s not recommended for complex renovations where mistakes can be expensive.
Why Homeowners in Austin Trust ACE Remodeling TX
When homeowners in Austin need reliable, high-quality remodeling services, many turn to ACE Remodeling TX. Known for their skilled team and attention to detail, they specialize in transforming outdated spaces into functional, modern homes. Their approach focuses on budget transparency and long-term quality, making them one of the most trusted names in the region.
Whether you’re tackling a kitchen upgrade or planning a complete renovation, they can help you plan efficiently and manage costs effectively through their Full Home Remodeling Services in Austin, TX.
7. Exterior Work and Landscaping
While most people focus on interior spaces, exterior remodeling can also be a large investment. New roofing, siding, windows, and landscaping can cost tens of thousands of dollars depending on the scale of the project.
A new roof alone can range from $8,000 to $20,000, while window replacements and exterior paint add further costs. However, these upgrades improve energy efficiency and curb appeal, often providing excellent returns when selling your home.
8. Permits and Hidden Costs
Many homeowners overlook permit fees and unexpected repairs. Depending on your city, permits for electrical, plumbing, or structural work can cost several hundred to a few thousand dollars. Hidden issues such as mold, outdated wiring, or foundation cracks can also appear once walls are opened, adding surprise expenses.
Setting aside 10–20% of your total budget for such surprises is a smart way to avoid financial stress during remodeling.
Conclusion
The most expensive part of remodeling a house usually depends on the project’s scope, but kitchens, bathrooms, and structural changes tend to take the largest portion of the budget. Updating old systems, hiring skilled labor, and choosing durable materials also add to the total cost.
Planning carefully, setting priorities, and working with experienced professionals can help you achieve your dream home without financial strain. If you’re in Austin and looking for reliable help, ACE Remodeling TX offers trusted expertise and complete renovation solutions to bring your vision to life smoothly and efficiently.