And which one is right for you?

Why is it important to know the difference? You’ll want to be able to accurately communicate with your contractor what changes you want to be made to your home or building. If you’re planning on selling your home, a newly renovated home means something different to the buyer than a newly remodeled home. There are also certain costs associated with each type of construction.

If you’re thinking about changes to your home or buying one to fix up or flip, it can be helpful to know which one your project is so you can estimate the scope and cost.

Renovations typically involve some restoration work. For example, you might repaint the walls or cabinets or replace fixtures or hardware. You could update old or outdated items.

Renovations are work that revives a room or home but doesn’t change the layout. They also may be used to add value to a home before you list it for sale. Because of this, renovations are often small-scale projects.

It can be tough to decide whether to renovate or remodel your home. You’ll want to account for your budget (what can you afford and how will you cover the costs), time (how much do you have and when you want the work finished), and your final goals for the property.

If you’re looking to update a few aesthetic areas or increase the value of your home in time for a sale, a quick renovation may be your best bet. If you’re going to live in the home and aren’t happy with the look or some functional aspects, a full remodel may be in order.