When it’s time to sell your home, you’ll be glad you made a remodel investment not only attractive to buyers, but also infinitely more comfortable for your day-to-day living.
While the housing market is more competitive than ever, potential buyers still hold out for certain amenities when deciding if a property is worth their money. While the number of bedrooms in a home used to be a huge draw, research shows most Americans have a large share of extra rooms going unused.
So, if you’re interested in increasing the ROI on a remodel, there’s a better way to use those spare rooms than as a home office or guest bedroom.
Lose a bedroom, gain a bathroom
If you’re one of the millions of Americans sitting on a spare room in your house, converting the space into a bathroom would be an ideal investment.
The average homebuyer looking to buy is used to seeing listings with more than one bath. Over the past 12 months, 11.5% of listings had one bathroom, while 40.5% had two bathrooms and 29.6% had three bathrooms, according to the Realtor.com® economic research team.
“The vast majority of homes have two or three bathrooms, which suggests that buyers may value having more than one,” Hannah Jones, Realtor.com senior economic research analyst, explains.
And having more bathrooms in your home typically equates to your home listing at a higher price.
“Price per square foot tends to climb with the number of bathrooms,” Jones adds. That’s likely due to the overall size of the home.
“Homes with more bathrooms tend to be larger and are more likely to be newer than homes with one bathroom, which would influence the price higher generally,” she explains.
A home renovation that pays off
Remodeling your bathroom, or putting in an additional one, can give over 70% in recouped value, according to the 2024 Cost vs. Value Report by Remodeling Magazine.
Additionally, Realtor.com analysis found that the terms "remodeled bathroom" and "new bath" both boosted listing prices by about 3%.
The reason potential buyers pay more for the remodel? Functionality and visibility.
Buyers are more inclined to pay extra for items they can see and experience firsthand during a tour.
Although essential, hidden upgrades like plumbing, foundation work, or a new HVAC system typically don't impress buyers. To maximize visual impact, focus on improvements that immediately capture their attention.
Homes with additional bathrooms tend to sell for a higher price and attract more buyers. Families with children, in particular, often prefer having more than one bathroom.
Making use of your unused spare room
Both the total number of guest bedrooms in America and the share of homes with guest bedrooms are at a record high. Last year, the total number of extra bedrooms in the U.S. reached 31.9 million, up from 31.3 million the year prior and over four times the 7 million in 1980, according to analysis from the Realtor.com economic research team.
The record-high number and share of excess bedrooms in the U.S. are driven by both an increase in the number of bedrooms per home and a decline in the number of persons per household.
While multigeneral homes are on the rise, only 27% of recent buyers had a child under age 18 living with them, which was an all-time low, according to the National Association of Realtors® 2024 Profile of Home Buyers and Sellers.
In short, the dynamics and needs of the new wave of homebuyers have changed—but the need for an additional bathroom has not, which is clear given how many homeowners are investing in their bathrooms in 2025.
According to the 2024 State of Home Spending report by Angi, 13% of homeowners plan bathroom remodels in 2025, with 28% of homeowners planning to tackle larger-scale projects in the next five years.
How to convert a spare room into a bathroom
While converting a spare room into a bathroom will be more than worth the investment, it’s still a tricky project to pull off.
“Converting a spare room into a bathroom can range from moderately challenging to quite complex, depending on several factors,” Jennie Berger, design consultant and owner at Prop3erty People in Chicago, explains.
“The very first step, before even thinking about design or materials, is a thorough assessment of existing plumbing and structural systems.”
Now, don’t think just because you’re a handy person, you can go at it alone, Berger warns. Depending on the location in your home you’re trying to convert, it would be sensible of you to bring in a licensed plumber, or in special cases, a structural engineer to plan out the design. You'll also need to consult building codes in your area.
Julia Kirkendall, owner and designer of Kirkendall Design in Tulsa, OK, agrees. Her team helped a couple expand their attic to include a remodeled bathroom in the past year.
“Some of the challenges of our attic bathroom project were the age of the house and the building material used a hundred years ago,” she says. In the end, her best advice was to consider location before forging ahead.
“Position your bath as close to another bathroom as possible to help with access to sewer lines,” Kirkendall adds.
When speaking to a plumber or contractor, homeowners should ask about the following:
Drainage: Where is the nearest drain line, and can it handle the increased flow? “It’s not just about getting water in; it's about getting it out,” warns Berger.
Water supply: Is the existing water pressure sufficient for another bathroom?
Ventilation: The last thing you want is to deal with mold and mildew. Adding a bathroom might require ductwork, especially in older houses. However, a “moisture-sensing exhaust fan” might also be an option, according to Berger.
Framing: Thinking about adding a big bathtub? You’ll want to make sure the walls and floor are strong enough to support the weight.
Electrical: Like with the water supply, does your existing system support the additional load?
Reasons to invest in adding a bathroom
There are a plethora of benefits to adding another bathroom to your home.
“ROI isn’t just about resale,” Berger continues. “It’s about enjoying your home now."
As more folks are staying put in their homes, adding bathrooms has become increasingly popular.
Consider the rise of multigeneral living. With more people in the house, more bathrooms are needed to keep the peace.
And what if your only bathroom is upstairs? If you're planning to stay in your home until a ripe old age, adding a bathroom on the main floor now can make your home more accessible.
Bottom line: Remodel to make your house work best for you.
"If you have an unused room such as a study, formal living or dining room that you do not use very often, we are designing those spaces into areas that are used weekly, instead of only for holidays or special occasions," Kirkendall adds.
A helpful online renovation designer tool
If you're thinking about starting a renovation on your home, consider using Renovation Designer, a generative AI design tool powered by Hover, a leader in residential 3D property data. Homeowners using the Realtor.com tool can instantly see realistic visualizations of exterior and interior home renovations, including kitchen and bathroom updates.
"Purchasing a home is one of the biggest decisions people will make in their lifetime. When considering renovations, which require both time and money, people should have the information they need to make the best decision for their home," says Andrew Mattie, senior vice president of engineering at Realtor.com.
"Through Renovation Designer and the power of AI, our users can make well-informed decisions concerning their home renovations with confidence and limit unwanted surprises, like a wall color gone wrong or a flooring choice that doesn't turn out as expected. We want to enable people to create the home of their dreams and love it."
Homeowners can access Renovation Designer by claiming their home on the "My Home" page on Realtor.com. Once claimed, the owner can upload photos of their home and start tinkering the changes they want to make, before investing any real time or money.
Dina Sartore-Bodo is a senior editor at Realtor.com covering real estate advice, home improvement trends, and interior design. She was previously the managing editor at HollywoodLife.com, executive editor at PerezHilton.com, and managing editor at The Hollywood Gossip. Her work has also appeared on MSN, Yahoo News, and BlogHer. She is a proud graduate of Emerson College in Boston and is originally from New Jersey.
Original post courtesy of realtor.com.
Rich Dallas/Sharon Fincham
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The Dallas-Fincham Team and Berkshire Hathaway HomeServices
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