Whether or not a seller should renovate before the market depends on ROI and the position of your home in the current selling market. Sellers looking to reap as much money as possible from the sale of their home may be motivated to renovate. It’s best to consult with a Realtor before venturing into unknown territory because Realtors work with buyers and know what buyers look for in a home.
Is selling your home fast more critical? You may wish to forego renovations that could delay bringing your home to the market. Sellers can market their home “as is” but could attract discount buyers. Buyers like Investors may purchase “as is” and flip it for a profit.
Sellers may decide to upgrade areas of their home versus a full renovation. Some work you can do yourself like painting and wallpaper removal. Doing electrical upgrades or replacing drywall may be best left to a professional. Refinishing and replacing flooring can be done by yourself. but is it worth your time and energy? An experienced contractor can cost, knows the necessary timeframe for repairs, and provides a better quality of workmanship versus doing it yourself.
Upgrades and Maintenance versus Major renovations
Sellers can get back 65% or more of what is spent assuming these renovations appeal to the buyer. Some upgrades may not be major renovations like replacing the front door or worn and faded exterior siding. Replacing worn flooring, old countertops, and appliances usually interest buyers. Certain renovations will be more marketable and beneficial.
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Not all upgrades impress buyers and you could be throwing away hard-earned money. You could waste money painting your home in colors that match your taste and decor and a buyer want to paint it a different color. Should you decide to freshen your home with a new coat of paint, chose a neutral color.
Renovating a kitchen from top to bottom could be a risky investment if the buyer doesn’t like your taste in cabinetry and flooring. You may only need to upgrade the countertop and paint the cabinets to brighten them up.
Don’t get wrapped up in renovating when your home may require obvious repairs. Inspect your home for things like flaking drywall or popcorn ceilings in the bathroom which hold moisture. Maintenance and repairs can be expensive or inexpensive but necessary so buyers will not be overwhelmed with a home’s condition.
Upgrade your yard appeal by topping up mulch around landscaping and trees. Adding an arrangement of potted plants and planting a few flowers in a garden bed. Pressure washing your home and addressing peeling paint won’t cost a lot of money but improved a home’s curb appeal.
When buyers drive up to a house with overgrown landscaping and tree limbs hanging over roofs or a house that hasn’t seen paint in decades, they may not be interested in viewing the interior of your home.
Is a renovated home most important to today’s buyers?
Not all buyers expect a move-in-ready home in their price range, especially with a short supply of homes. Buyers do consider homes in need of some work and many buyers spend time and money to do their own renovations over time.
Before you renovate, do an inspection of your home
Do an inspection before your renovation. An inspector examines your home for serious issues you may not be aware of, such as electrical, plumbing, or other systems that may require upgrading. An inspector can educate you on the condition of your system and the expected lifespan.
Better to know where to put your hard-earned money before you spend it on an aesthetic reno versus one that might be urgent. Better to know in advance rather than after a home buyers’ inspection.
Using a contractor versus DYI
Discuss your list of upgrades and/or renovation needs with a contractor. The contractor can provide cost estimates. If the quote is too high, don’t be shy about getting a second or third opinion to get the best prices possible. Check with your realtor for a list of Contractors used by their clients.
Permits and Restrictions
Make sure you get permits from your Municipality before your renovations. Investigate for any possible restrictions on your property like those in a historic district or if your home is subject to community rules and guidelines. You don’t want to incur expensive fines. Some restrictions could include the types of windows you use or the color of brick on your home.
It is very important that you obtain these permits. Trying to sell a home that has been renovated without permits can be a very complicated and expensive situation.
Roy Thomas SRES® (Senior’s Real Estate Specialist) is a REALTOR® with Sutton Group Professional Realty. Since 1991, Roy specializes in helping retirees with their later in life real estate transactions. Call Roy at 902-497-3031 or contact Roy here