When you are moving on from your current home and want to sell it fast, there are a few thoughts that quickly run through your mind. You probably want to know what kind of real estate agent will help you the most, and how to clean and stage it to the best advantage. For those who have a little more time before they need to sell, there is also the question of renovating a house before sale. There are a few key questions that determine whether renovating before sale is right for you.
How Long Will You Be Able to Enjoy the Renovations?
If you’re considering renovations for both your own enjoyment and resale value, you should factor in how long you’ll get to enjoy the property yourself. If you see selling the house as something that you’ll do in a few years, you will likely get substantial value from having the renovations done in addition to any property cost bump you gain. If you want to sell your house fast, however, not being able to enjoy the renovations for very long can cut into the overall value of having them done.
How Customized and Personal Are the Choices, Versus Impersonal and Classic?
If you’re opting for a very out-of-the-box renovation that is unusual, you will want to get the majority of the value of the renovation from personal enjoyment of it, because there isn’t a guarantee that an unusual renovation will appeal to the buyers who are available when you sell – people who love unusual renovations exist, and they might pay more for your home, but it’s not easy to count on that. If you opt for a more straightforward modernization, using fairly common choices or hardware and colors that just make the home look newer, you are more likely to see a consistent bump in property value for this.
Buyers are often looking for a blank canvas, so it may not be necessary to over embellish your home before putting it up for sale. Once these people acquire the property, they will often customize it according to their tastes and preferences.
Another option is to strike a fine balance between classic and eccentric so that you can appeal to a larger pool of buyers. For example, you may add intricate balusters on your outdoor deck but keep the color neutral or subdued. Sometimes, people don’t know what they want until they see it done.
What’s the Price Tag on the Renovations?
You’d be surprised, but putting more money into your renovations doesn’t usually increase your return on investment percentage. Basically, the first dollars you spend on strategic improvements tend to offer ROI that is substantial, but the more luxurious or high-dollar renovations may not yield their full value at sale. This is because strategic renovations help you attract people in the middle of the buyer range, while higher-dollar renovations would boost sale price, which can reduce your total amount of prospective buyers if you aren’t careful.
Understanding ROI Leads To Fewer Surprises When the Home Sells
ROI on a simple modernization renovation that focuses on practicality can be very high, but fully changing a home’s layout and adding lots of luxury materials may or may not pay off. Talking to a trusted real estate agent will help you identify where a few hundred dollars could make a big difference without investing in a major kitchen or bathroom remodel right before you want to move out of a home. In general, luxury renovations are most valuable when you get to enjoy them yourself, rather than right before your home sale is going through.
