Deciding whether or not to renovate your home before selling is not always as clear cut as it may seem, there are many factors to consider before you make your decision. These choices to renovate, repair and refresh your home can lead to a great return on your investment giving you top dollar for your home. On the other hand, it can end up costing you more money and less profit than if you sold it in its current state. Here are some pro tips to get the most out of your dollar from the Davids & DeLaat team of real estate agents in Niagara.
First Steps Before Starting Renovations
Before you pick up that hammer you should look at the real estate market you are about to enter. Is it a seller or buyers’ market? Are the homes in your area fully renovated or fixer-uppers? Do certain renovations pay off better in your neighborhood than others?
It is important to weigh the cost of the intended renovations against the market value after they have been completed. For every $1 you spend on upgrades and renovations, you want a minimum return of 100%.
This can seem overwhelming at first but with the help of an experienced real estate agent, you can get top dollar for your home. A real estate agent is aware of the market demands for your area and will be able to evaluate your property to determine which investments would give you the best return.
Renovations and Repairs We Recommend
Although each property will have a unique opportunity for improvement, we compiled a list of the most common renovations and repairs that will increase the value of your property. The recommendations that follow will offer you a high return on your dollar as they are relatively inexpensive to address.
- Basic Repairs – Take the time to go through your house and repair or replace all the things that are broken such as ripped screens, loose door handles, broken windows, blown light bulbs, missing trim, etc. If hardware like light fixtures and doorknobs are dated, consider replacing them throughout the house.
- Painting – Painting will create a fresh and inviting appearance for your home when it hits the market. It is recommended that you use neutral colors such as off-white, beige and grey tones in order to appeal to the average buyer and help keep the home bright and spacious.
- Deep Clean – Detailed cleaning from baseboards to ceiling fans can help freshen up the entire space. While cleaning be sure to declutter, remove personal items and effectively stage the home. This helps the buyer project their own vision of the areas.
- Kitchen & Bathrooms – When possible stick to minor updates such as a fresh coat of paint on cabinets, new cabinet hardware, new faucets, refinishing the backsplash for the kitchen and a new vanity for the bathrooms. These are simple renovations that can revamp a space and increase the value of your home without breaking the bank. Remember to go with neutral colors and basic designs to appeal to the average buyer.
- Flooring – You should start with breathing new life into existing floors by refinishing/staining hardwood floors, steam cleaning carpeting and regrouting tile floors. These refurbishments will almost always get you back more than your investment. If replacement flooring is necessary it is important to take buyers into consideration, what is in demand and is it cost-effective?
- Landscaping – Sprucing up the yard and exterior of the house can leave a positive impression on potential buyers and immediately up the value of your home. To increase curbside appeal, you want some fresh cut grass with crisp edges and fresh-looking beds with nicely maintained greenery. If necessary, consider a new coat of paint for the front door and exterior of your house. Freshen up the driveway and walkways and make sure to have significant lighting if buyers are visiting after dark.
Renovations and Repairs to Avoid
While the list above can help you produce positive returns on investments, it is important that you do not make the mistake of over renovating or investing in something that you will not get a return on. Here are a few things to avoid renovating before you sell your home:
- Additions – Although additions can increase the square footage of your home, often the cost of building them is far beyond any return you would see while selling. Focus on showcasing the space that is available.
- Complete Remodels – You want to avoid large repairs and remodels where possible as you can come across a lot of issues when walls are opened up and things are moved around. These types of remodels can end up becoming a money pit and you will never see a return.
- Costly Cosmetic Renovations – While luxury and highly customized upgrades are great for homeowners, it is not often that buyers will have the same opinion. Keep the renovations neutral so potential buyers can envision a space of their own.
- Swimming Pools – Swimming pools can actually decrease the value of your home because buyers often see it as something that requires a ton of maintenance and for families it can become a safety concern.
Looking to Sell Your Home For Top Dollar? Davids & DeLaat Can Help
At Davids & DeLaat we know that clients want to get the most money out of their home when the time comes to sell, and we are here to help! We are experts in the Niagara real estate market, and we know exactly what buyers want, but more importantly what they are willing to pay for. Let us evaluate your home and help you decide which renovations will add value when it hits the market and which ones to avoid. Our highly skilled team of real estate agents are waiting to help you sell your house in Niagara for top dollar!