Should you stay or should you go? We understand the hassle of trying to sell your home and of remodeling. When you combine these two decisions, you can double the frustration, but, financially, it could be worth it.
Many real estate investors are in search of old houses that they can buy cheap because they know that they can remodel them and sell them for a better price. But unless they want to sell their home to an investor, most homebuyers are looking for homes that are move-in ready. The more ready your home is, the faster it will typically sell, and at a higher price.
Here are some basic reasons renovating your home to sell makes sense.
Your home may not be neglected, but you may have let some things go for a while. It’s understandable that your house might need some repairs and even some updating to make the kitchen more open, and to replace the shiny wallpaper with a light-colored paint. If potential buyers identify these issues, they will typically negotiate them off your sales price or request a repair allowance. However, if you take care of them, they are no longer a factor and can help you fetch a higher price and faster closing.
Remodeled homes tend to attract more potential buyers than homes that aren’t remodeled because they look more attractive to more buyers. Moreover, remodeling your home provides you with a great selling point when it comes to negotiating the price of your home. This takes place when inspectors and appraisers take a look at the property. They will be able to point out that the remodeling has been done and there aren’t any major issues.
Remember that investors are looking for an investment price, while retail homebuyers are looking for a place to live. The former are practical buyers interested only in the price and the potential upside of investing in renovation only to resell it. The latter are more emotional and therefore will value (read: pay more money for) things that the investor wouldn’t. Things like an updated kitchen and appliances, patio covers, and bathroom fixtures are important to families relocating to your area. If you give them what they’re looking for, they’ll pay above market.
There are many ways that remodeling can enhance the overall value of your house. For instance, you may replace old heating and cooling systems and water heaters with new, more energy-efficient options. Homes with 30-plus-year-old pipes should be re-piped—especially if the plumbing has a history of leaks. These features will help you market your home as a modern house with better value.
The bottom line is that having all the repairs and renovations done makes the process of selling a house easier and more profitable in the long run.
Our home designers and construction professionals are some of the highest rated in Round Rock, TX. They listen to their clients and help them realize their goals and fit them into their budget. If you’re planning on selling your home, contact us soon to talk about home renovations in Round Rock, TX.