It is the goal of every seller to maximize their sale price of their home. Regardless of whether you are looking for a quick sale or are willing to wait the market out you want to get top dollar for your property. Most buyers are either looking for a steal of a price or a property they can move into without doing any work. It is typically the homes that are in the middle that will sit on the market for a very long time. If you are on considering listing your home and it needs work it may make sense to do the repairs before you list.
Are Upgrades Necessary?
Not every repair will be the major variety. Some upgrades could be as simple as adding a fresh coat of paint on the walls while others could mean a new bathroom. Obviously your budget will dictate the amount and scope of any work needed but you should look at your home through the eyes of prospective buyers. If you walk in and see a kitchen with outdated appliances your buyers will as well. If you can make the appropriate upgrades you will see your property sell much quicker and for a much higher price.
Many buyers do not have money for an ample down payment let alone for repairs after they close on the property. The benefits of getting into a home without having to do any work are tangible and add real value to your property. A home with an updated kitchen, bathroom or basement will demand a higher price that a bigger home that needs work. Additional space is always nice but delivering a turnkey home is much more appealing especially with many buyers on a shoestring. If you can’t offer the best value in terms of price you can look to create value with any work that you do.
Doing work alone will not automatically create value you need to do the right work. If you try to cut corners and only upgrade appliances or furnishings halfway you may be doing more harm than good. This doesn’t mean you need gold faucets or stainless steel appliances but you should have a good idea of your local market. Your house will be compared to every other comparable house in your area so if you can offer the most at a reasonable price your house will be in demand. Talk to your contractor and realtor before you start any work and decide which makes the most sense for you and your market.
If you have equity and are just looking to get out quickly remodeling may not be for you. Every seller has different motivation and different expectations for selling. Figuring out whether to do work or not is a tricky balance that takes knowledge of your local market. In some cases spending money will yield the highest return while in others it really doesn’t offer too much value. Doing work is not what is important but rather doing the right work for your market.