“Phantom Wealth” of Modern Kitchens and Baths: Why Feeling Rich at Home Isn’t Just About the Numbers

When we think about wealth, we often picture big bank accounts, luxury cars, or sprawling estates. But for many millennials, true wealth is measured in the comfort and functionality of their homes—especially in the heart of the home: the kitchen and bath.

According to Federal Reserve data, millennials have seen a significant increase in collective wealth over the past five years. Yet, despite this growth, many still don’t feel “wealthy.” This phenomenon, often referred to as “phantom wealth“, can also be seen in how we approach our kitchens and bathrooms.

The Kitchen: A Hub of Value Beyond Dollars

Modern kitchens are often seen as a status symbol, with high-end appliances, custom cabinetry, and sleek countertops. But for many homeowners, the true value of a kitchen isn’t in its price tag—it’s in how it functions. A well-designed kitchen can save time, reduce stress, and bring people together. It’s not about having the most expensive espresso machine; it’s about having a space that works for your lifestyle.

Millennials, in particular, are prioritizing practicality and sustainability. They’re investing in energy-efficient appliances, durable materials, and multifunctional layouts. The wealth here isn’t just monetary—it’s the peace of mind that comes from a kitchen that supports their daily lives.

The Bath: A Sanctuary, Not a Showpiece

Similarly, bathrooms have evolved from purely functional spaces to personal sanctuaries. While a spa-like bathroom with a rainfall shower and heated floors might scream “luxury,” the real wealth lies in how the space makes you feel. For millennials, a bathroom is a place to unwind, recharge, and practice self-care.

Many are opting for timeless designs over trendy, high-cost upgrades. They’re choosing quality over quantity, investing in features that enhance their well-being without breaking the bank. The value isn’t in the dollar amount spent—it’s in the ability to create a calming retreat at the end of a long day.

The Disconnect: Feeling Wealthy vs. Being Wealthy

Just as millennials may not feel wealthy despite their growing net worth, homeowners often don’t feel the true value of their kitchens and baths until they experience how these spaces improve their lives. It’s not about the numbers—it’s about the functionality, comfort, and joy these spaces bring.

So, whether you’re renovating on a budget or splurging on a dream design, remember: true wealth in the kitchen and bath isn’t about how much you spend. It’s about creating spaces that make you feel rich in the moments that matter most.

After all, the best kitchens and baths aren’t just built—they’re lived in. And that’s where the real value lies.