Getting Ready to Sell? What improvements have the most impact on your price?
Thursday Dec 27th, 2018Share
News Flash ! A pool does NOT increase the value of your home. Read on, to learn more about improvements that have the greatest and least impact on your market value
The value of a pool is subjective – meaning, it only increases the value of your home if someone wants a pool. The vast majority of buyers I show homes to, do NOT want to deal with the maintenance of a pool and prefer to have more grassy area for the family or family pet to enjoy.
DO: Hardwood flooring: Probably one of the most impactful changes a home can benefit from is new hardwood flooring. Carpet is definitely not desirable, especially on the main floor of a home. It’s more acceptable in bedrooms; as long as it is a neutral commercial grade in good condition, most people don’t mind. A typical subdivision type home in the $900,000 range could easily see a price increase of at least $30,000 with new hardwood flooring throughout the main floor.
NOT: A new kitchen renovation is one of those renovations that doesn’t profit if you have to hire contractors. It may increase the value of your home quite a bit, yes, but a kitchen renovation is very very expensive. Of course there are many variables, but generally speaking, it only makes sense to renovate your kitchen for your personal enjoyment and, yes, the beauty of it will be seen in your sale price. Small repairs and upgrades can go a long way.
DO/NOT: Updating washrooms: People often ask me if they should update their washrooms. This depends very much on the condition of the current washroom. If it’s stuck in the 50’s, but the rest of the house is also stuck in the 50’s, it’s like putting lipstick on a pig. The best move in that scenario is to make sure it is clean and functioning, possibly just replacing a fixture or painting the room, would be the smartest move. Other changes in the home are far more impactful.
DO: Stage!!!!: I feel like this one should be top of the list! There is no doubt in the world, if your house isn’t usually a “show home,” staging makes a massive impact on sale price. A home that is professionally staged actually shocks the senses when you enter it. Buyers can envision themselves in the space and it is very very pleasing to the eye, instantly having greater buyer interest, possibly multiple offers, and a sale price that far exceeds the cost of the professional services. On average, staging will range from $2500-$5000. I have no hesitation that a $10,000 increase is easily seen, and the home will sell much faster.
DO: Small repairs, big impact: Loose roof tiles, loose door handles, shaky hinges on cabinets, creeky spots in the floor, missing light bulbs, a furnace filter that has never been changed, clogged drains…the list goes on. A home inspection will be your worst enemy if a long list of deficiencies forces the buyer to lower their offer price. Buyers often REDUCE their offer price to reflect how these minute fixes make them feel. A pre-inspection can help you identify tiny repairs that will add up in the end.
DO: Deal with Mold: Mold is a killer when you’re trying to sell. It IS possible to remediate it, and it will cost a few thousand dollars, but it is far better to deal with it, using a professional mold remediation company, because they will give you paperwork to prove the work was done properly. Finding mold in a home inspection, after a purchase price has already been agreed to, will be very upsetting to buyers and can affect the price in a massive way. I have seen as low as $3000 to $20,000 price reduction, and I’m sure it can be worse, and cost you far more than getting the work done.
NOT: Increasing insulation: This sort of detail gives a nice warm and fuzzy feeling to the buyers, but does not increase the market value of the home.
I’m often asked….
- Should I replace that window? It has moisture between it
- Should I replace that baseboard? It doesn’t match the others
- Should I put in a screen door? We took it out a few years ago….
These types of details will make the house more “saleable” and more appealing, but will not affect the Market Value. Every home is different. Talk to me well in advance of when you want to sell, to look at what makes sense and what doesn’t. I have seen countless home inspections and felt the repercussions of costly mistakes. If you’re thinking of listing in the Spring, now is the time to talk.