Today I’m answering a question about home renovations, specifically the appropriate renovations to make while getting your home ready for the market.
This is a very loaded question, one we could probably do a three-hour class on. However, the short answer is that it depends. First, it depends on your area. We want to step outside of your home and take a look at the surrounding area. We will compare your home to the other properties nearby to see what features they have.
You don’t want to fall into the trap of over improving. Any fix will increase a home’s value, but it doesn’t mean that every repair will get you a dollar for dollar return. If you see eight out of the 10 homes for sale around you have brand new shingled roofs and yours is outdated, you probably should invest in a new roof. Conversely, if only one home in the area has a new roof, you are probably better off not replacing it. However, each individual case is different.
When it comes to simple fixes, I always recommend painting the house and replacing any worn out carpets. Landscaping is another cheap, easy fix that gives you curb appeal and draws buyers to your home.
As far as other things you can do in the house, it depends on what’s going on in your area. If the homes that are selling around you all have a specific feature, it’s practically a must-have. In the end, you have to weigh the cost of making repairs versus the return you’ll get when you sell the house.
You might put $30,000 into repairs, but only get $25,000 back on the sale of your home. Instead of having a net loss of $5,000, it might be more beneficial for you to take a lower price in order to increase your profit and get the most value out of your sale.
I hope this answers any questions you have about making improvements before selling. If you have any other questions, don’t hesitate to give us a call or send us an email. We would love to hear from you soon!