Whole-Home Remodel Costs in the Bay Area (2026 Guide)

What a Whole-Home Remodel Actually Costs in the Bay Area

A whole-home remodel is the most transformative investment you can make in an existing home. It is also the most complex project to budget for, because costs swing dramatically based on what you change and how deep you go. A cosmetic refresh that updates finishes across every room costs a fraction of a gut renovation that reconfigures the floor plan, replaces mechanical systems, and rebuilds from the studs out.

This guide breaks down 2026 whole-home remodel costs in the Bay Area by scope, home size, and city. It covers what drives costs, where budgets go wrong, and how to protect yourself from the change orders and surprises that inflate most renovation budgets by 15-20%.

Cost by Renovation Scope

The single biggest factor in your whole-home remodel cost is scope. Here is what each level involves and what it costs in the Bay Area in 2026.

Scope	Cost Per Sqft	1,500 Sqft Home	2,000 Sqft Home	2,500 Sqft Home	Timeline
Cosmetic Refresh	$75-$150/sqft	$112K-$225K	$150K-$300K	$187K-$375K	3-5 months
Mid-Range Remodel	$200-$350/sqft	$300K-$525K	$400K-$700K	$500K-$875K	6-9 months
Gut Renovation	$350-$500+/sqft	$525K-$750K+	$700K-$1M+	$875K-$1.25M+	9-14 months

Cosmetic Refresh ($75-$150/sqft)

A cosmetic refresh keeps the existing floor plan, walls, plumbing, and electrical intact. You are updating surfaces, fixtures, and finishes throughout the home. Typical work includes:

• New flooring in every room (hardwood, tile, luxury vinyl)
• Fresh paint and drywall repair
• Updated kitchen cabinets, countertops, and appliances
• Bathroom vanities, tile, and fixtures
• New lighting throughout
• Updated interior doors and hardware

This level of renovation works well when your home has good bones, a functional layout, and mechanical systems that are still in decent shape. It is the fastest and least disruptive option.

Mid-Range Remodel ($200-$350/sqft)

A mid-range remodel includes everything in a cosmetic refresh plus layout modifications, upgraded mechanical systems, and higher-end materials. This is the scope most Bay Area homeowners pursue when they want to significantly improve how their home lives. Work typically includes:

• Removing or relocating non-load-bearing walls
• Opening up the kitchen to the living area
• Reconfiguring bathrooms with custom tile and fixtures
• Upgrading electrical panels and adding circuits
• New HVAC system or zone additions
• Custom cabinetry and premium countertops
• Window and door replacements

At this scope, you are changing how the home functions while keeping the fundamental structure. Permitting is required for most of this work.

Gut Renovation ($350-$500+/sqft)

A gut renovation strips the home down to studs (and sometimes to the foundation) and rebuilds everything. This is essentially a new home inside an existing shell. It is the right approach when the home has significant structural issues, outdated plumbing and electrical throughout, or a layout that cannot be improved with minor modifications. Work includes:

• Complete demolition to studs or foundation
• Structural modifications (load-bearing wall removal, beam installation)
• New foundation work or seismic retrofitting
• Complete plumbing and electrical replacement
• New insulation and drywall
• All-new finishes, fixtures, and appliances
• Floor plan reconfiguration

Gut renovations are the most expensive and longest-duration option, but they deliver a home that functions and feels brand new while preserving your lot, neighborhood, and (in many cases) your property tax basis.

Cost by Home Size

Home size affects total cost, but the per-square-foot rate stays relatively stable within each scope category. Here is what to expect for common Bay Area home sizes in 2026.

Home Size	Cosmetic Refresh	Mid-Range Remodel	Gut Renovation
1,200 sqft	$90K-$180K	$240K-$420K	$420K-$600K+
1,500 sqft	$112K-$225K	$300K-$525K	$525K-$750K+
1,800 sqft	$135K-$270K	$360K-$630K	$630K-$900K+
2,000 sqft	$150K-$300K	$400K-$700K	$700K-$1M+
2,500 sqft	$187K-$375K	$500K-$875K	$875K-$1.25M+
3,000 sqft	$225K-$450K	$600K-$1.05M	$1.05M-$1.5M+
4,000 sqft	$300K-$600K	$800K-$1.4M	$1.4M-$2M+

Larger homes sometimes benefit from slight economies of scale on fixed costs like permitting, project management, and mobilization. But the material and labor costs scale directly with square footage.

City-by-City Whole-Home Remodel Costs

Bay Area remodel costs vary by city based on local labor rates, permitting complexity, typical finish expectations, and the contractor market serving each area. Here is a mid-range remodel (the most common scope) priced across Bay Area cities.

City	Cosmetic Refresh (per sqft)	Mid-Range Remodel (per sqft)	Gut Renovation (per sqft)
San Jose	$70-$140	$185-$320	$320-$460
Fremont	$75-$140	$190-$325	$325-$470
Campbell	$75-$145	$190-$330	$330-$475
Sunnyvale	$80-$150	$200-$340	$340-$490
Santa Clara	$78-$145	$195-$335	$335-$480
Mountain View	$82-$155	$210-$355	$355-$510
Cupertino	$85-$155	$215-$360	$360-$520
Los Gatos	$90-$165	$225-$380	$380-$540
Los Altos	$90-$170	$230-$390	$390-$550
Palo Alto	$95-$175	$240-$400	$400-$570
Saratoga	$95-$178	$245-$410	$410-$580
Woodside	$100-$185	$255-$420	$420-$600
Atherton	$105-$190	$260-$430	$430-$620

Premium communities like Atherton, Woodside, Saratoga, and Palo Alto trend 15-25% higher than the South Bay baseline. This premium reflects several factors: homeowners in these markets select higher-end finishes, contractors who work in these cities specialize in luxury renovation, and local building departments often have more rigorous plan review processes. For city-specific guidance, see our pages on home remodeling in San Jose and home remodeling in Palo Alto.

What Drives Whole-Home Remodel Costs

Understanding where your budget goes helps you make smarter decisions about where to invest and where to save.

Structural Work (15-25% of Gut Renovation Budget)

Structural modifications are the biggest cost accelerator in any remodel. Removing a load-bearing wall costs $5,000-$25,000 depending on the span and what needs to be supported above. Foundation work for seismic retrofitting runs $15,000-$50,000. Adding a steel beam to open up a floor plan costs $10,000-$30,000 installed.

If your remodel involves moving walls, changing roof lines, or addressing foundation issues, these costs add up quickly. An experienced structural engineer (required by Bay Area building departments) costs $3,000-$8,000 for residential projects.

Kitchen (25-35% of Total Budget)

The kitchen is almost always the most expensive room in a whole-home remodel. Custom cabinetry costs $30,000-$60,000+. Countertops run $5,000-$15,000. Professional-grade appliance packages (Sub-Zero, Wolf, Thermador) cost $25,000-$50,000. Layout changes that involve moving plumbing and gas lines add $15,000-$40,000.

For a whole-home remodel in the Bay Area, the kitchen portion typically costs $80,000-$200,000+ depending on finishes and scope. See our complete kitchen remodel cost guide for detailed breakdowns.

Bathrooms (15-20% of Total Budget)

A typical Bay Area home has 2-3 bathrooms, and updating all of them adds significantly to the budget. A cosmetic bathroom update costs $15,000-$35,000 per bathroom. A full bathroom remodel with layout changes, custom tile, and premium fixtures runs $40,000-$80,000+ per bathroom. Primary bathrooms with luxury features (heated floors, steam showers, freestanding tubs) can reach $100,000+.

Mechanical Systems (15-20% of Total Budget)

Older Bay Area homes (especially those built before 1980) often need complete mechanical system replacement. A new HVAC system costs $15,000-$35,000. Full electrical rewiring runs $15,000-$30,000 for a 2,000 sqft home. Complete plumbing replacement costs $12,000-$25,000. Upgrading to a 200-amp electrical panel adds $3,000-$5,000.

These costs are non-negotiable in gut renovations and often surface during mid-range remodels when walls are opened and outdated systems are revealed.

Finishes and Materials (20-30% of Total Budget)

Flooring, paint, tile, hardware, lighting, and trim work collectively represent a major budget category. Hardwood flooring costs $12-$25 per sqft installed. Premium tile ranges from $15-$50+ per sqft. Interior paint for a whole home runs $8,000-$15,000. The finish level you select has more impact on this category than any other variable.

Permits, Design, and Engineering (8-12% of Total Budget)

Bay Area permits for a whole-home remodel cost $5,000-$25,000+ depending on the scope and jurisdiction. Architectural and design fees run 8-12% of construction cost. Structural engineering adds $3,000-$8,000. Some cities charge school impact fees, park fees, or traffic mitigation fees that increase permitting costs further.

Hidden Costs That Catch Homeowners Off Guard

Discovery Costs During Demolition

Once walls come down, contractors often find problems that were not visible during the initial assessment. Common discoveries in Bay Area homes include:

• Asbestos in flooring, insulation, or popcorn ceilings: Abatement costs $5,000-$20,000 depending on extent
• Knob-and-tube or aluminum wiring: Full rewiring required ($15,000-$30,000)
• Galvanized steel plumbing: Replacement recommended ($12,000-$25,000)
• Termite or dry rot damage: Repair costs $5,000-$30,000+
• Inadequate or non-existent insulation: Adding insulation costs $3,000-$8,000

Budget 10-20% contingency above your planned project cost to cover these surprises. For pre-1980 homes, lean toward the higher end of that range.

Temporary Housing

Gut renovations and most mid-range remodels require you to move out. Rental costs in the Bay Area range from $3,000-$6,000+ per month for temporary housing. For a 9-12 month gut renovation, that adds $27,000-$72,000 to your total project cost. Some homeowners move in with family or use short-term furnished rentals to manage this expense.

Storage

Furniture and belongings need somewhere to go during construction. Storage unit rental costs $200-$500 per month for a unit large enough to hold a household’s contents. Professional packing and moving services add $3,000-$6,000 for a two-trip move (out and back in).

Landscaping Repair

Heavy equipment, material staging, and dumpsters often damage landscaping. Budget $5,000-$20,000 for landscape restoration after construction, or plan a landscape upgrade as part of the overall project scope.

How to Budget for a Whole-Home Remodel

Step 1: Define Your Scope Honestly

The most common budgeting mistake is starting with a cosmetic scope and creeping into a mid-range or gut renovation as the project progresses. This “scope creep” triggers change orders that inflate costs by 15-20% on average.

Before you get a single bid, walk through your home and answer these questions:

• Are you keeping the existing floor plan, or does it need to change?
• Are the plumbing, electrical, and HVAC systems functional and up to code?
• Is the foundation in good condition?
• Are there structural changes you want (wall removal, room additions, ceiling changes)?

Your answers will tell you whether you are looking at a cosmetic, mid-range, or gut renovation. That distinction shapes everything else about the budget.

Step 2: Build Your Budget With Contingency

Start with the per-square-foot ranges for your scope and city, then add:

• 10-20% contingency for discovery costs
• Temporary housing if the scope requires you to move out
• Permits and design fees (8-12% of construction cost)
• Furniture and fixtures not included in the construction contract
• Landscaping repair or upgrade

A realistic total project budget is typically 20-35% higher than the construction-only number.

Step 3: Get Three Bids and Compare Apples to Apples

When comparing contractor bids, make sure each bid covers the same scope. A bid that excludes permits, engineering, or appliances will look cheaper until those costs surface later. Ask every contractor to itemize their bid by category so you can see exactly where the money goes.

Whole-Home Remodel Timeline

Timelines in the Bay Area are longer than national averages due to permitting processes, material lead times, and contractor demand. Here is a realistic breakdown.

Phase	Cosmetic Refresh	Mid-Range Remodel	Gut Renovation
Design and Planning	2-4 weeks	6-10 weeks	8-14 weeks
Permitting	2-6 weeks	6-12 weeks	8-16 weeks
Construction	3-5 months	6-9 months	9-14 months
Total	4-7 months	9-14 months	14-22 months

Custom materials like imported tile, custom cabinetry, and specialty fixtures have 8-14 week lead times. Ordering these during the design phase rather than waiting until construction prevents schedule delays.

Whole-Home Remodel vs. Building New

At a certain point, the cost of renovating an existing home approaches or exceeds the cost of building new. The general rule: if your remodel budget exceeds 60-70% of what a new custom build would cost on the same lot, building new may deliver more value.

Factor	Whole-Home Remodel	Custom Home Build
Cost per sqft	$150-$500+	$350-$750+
Timeline	6-14 months (construction)	12-24 months (design through completion)
Layout flexibility	Limited by existing structure	Complete freedom
Property tax impact	Typically triggers reassessment only on improvements	Full reassessment
Permitting	Building permits for modifications	New construction permits

For a deeper comparison, read our custom home vs. whole-home remodel guide.

ROI: Does a Whole-Home Remodel Pay for Itself?

Whole-home remodels return approximately 50-70% of investment at resale, according to national remodeling industry data. In the Bay Area, where home values are among the highest in the country, the dollar amounts recovered are significant even at those percentages.

The projects with the highest individual ROI within a whole-home remodel include:

Improvement	Typical Cost	Estimated ROI
Minor kitchen remodel	$30K-$60K	70-80%
Bathroom remodel	$25K-$70K	60-75%
Window replacement	$15K-$35K	60-70%
HVAC replacement	$15K-$35K	60-70%
Hardwood flooring	$8K-$20K	70-80%
Entry door replacement	$2K-$5K	150-190%

The highest ROI comes from projects that improve both function and first impression. Kitchens, bathrooms, and curb appeal improvements consistently deliver the strongest returns.

That said, ROI should not be the only consideration. Most homeowners remodel because they want to live better in their home, not just to increase resale value. If you plan to stay in your home for 5+ years, the daily quality-of-life improvement often matters more than the resale math.

How Custom Home Protects Your Budget

The number one cause of whole-home remodel budget overruns is change orders during construction. Industry data shows that change orders add 15-20% to the average renovation contract. These happen when homeowners make decisions in the field rather than during design, or when the contractor encounters conditions that were not anticipated.

Custom Home’s two-phase design-build process addresses both of these problems.

Phase 1: Design

Before any demolition begins, we create complete 3D visualizations of your renovated home. You see every room, every material choice, and every layout change in detail. We deliver an itemized scope and budget that breaks down every cost category. There are no vague allowances or “to be determined” line items.

Phase 1 also includes thorough pre-construction investigation. We assess the condition of mechanical systems, look for signs of structural issues, and identify potential discovery costs before you commit to the full construction budget.

Phase 2: Build

Construction proceeds from fully approved plans with locked-in pricing. Because every design decision was finalized in Phase 1, there are no mid-project changes, no surprise costs, and no schedule delays from indecision.

This approach typically saves our clients 10-15% compared to traditional remodeling contracts, where change orders are the norm rather than the exception.

Financing a Whole-Home Remodel

Bay Area homeowners have several financing options for a whole-home remodel:

• Home equity line of credit (HELOC): Draws on your existing equity at competitive rates. Most Bay Area homeowners have significant equity, making this the most common option.
• Cash-out refinance: Replaces your existing mortgage with a larger one, putting cash in your pocket for the remodel. Best when current rates are favorable relative to your existing rate.
• Construction loan: Short-term financing specifically for renovation projects, converting to a permanent mortgage upon completion.
• Cash reserves: No interest costs and no lender requirements, but tying up significant liquid assets.

For projects over $500,000, many homeowners combine a HELOC with cash reserves to maintain financial flexibility.

Frequently Asked Questions

Is a whole-home remodel worth it in the Bay Area?

Yes, for most homeowners. Bay Area land values are extremely high, which means the structure sitting on that land represents a smaller percentage of total property value than in most markets. Investing $500K-$1M in a remodel on a property worth $1.5M-$3M+ is a reasonable ratio. You get a home that functions exactly how you want it while keeping your lot, your neighborhood, and (often) your property tax basis under Proposition 13.

What is the most expensive part of a whole-home remodel?

The kitchen is consistently the most expensive single room, typically consuming 25-35% of the total budget. After the kitchen, structural work (wall removal, foundation, framing) and mechanical systems (HVAC, plumbing, electrical) are the next largest cost categories.

How do I avoid cost overruns on a whole-home remodel?

Three strategies work: (1) Define your scope clearly before construction starts and resist changes once the project is underway. (2) Budget 10-20% contingency for discovery costs. (3) Choose a design-build contractor like Custom Home that provides itemized pricing and 3D visualization before construction begins, so every decision is made on paper rather than in the field.

Start With a Clear Plan

A whole-home remodel is a significant commitment of time, money, and energy. The difference between a project that stays on budget and one that spirals comes down to planning. The more decisions you make before demolition day, the smoother the build and the closer the final cost lands to your original budget.

Custom Home’s design-first process gives you that clarity. You see your renovated home in 3D, review an itemized budget, and approve every detail before a single wall comes down.

Ready to explore what a whole-home remodel would cost for your specific home? Contact Custom Home for a consultation. We will walk through your goals, assess your home’s condition, and give you a realistic scope and budget range before you commit to anything.