It is a common question that plagues many people looking to put their houses on the market: should I remodel my home before selling? While there is no doubt that renovations and home improvements can add value to your property, are they actually worth the cost and hassle involved?
Deciding whether to renovate or remodel your San Fernando home to sell, it boils down to weighing your financial and personal circumstances while considering the real estate market and potential costs.
Things to Consider Before Deciding to Renovate Your Home before Selling
Selling your home as is or after renovating is a big decision with many considerations and factors. Should you renovate your home before selling it? Renovating is a key step in the selling process. Renovating your property could be just what your San Fernando home needs to make it more appealing to potential buyers. While there are many benefits to renovating your home before selling, renovating a home is still a considerable commitment.
Making any changes to your home will require a substantial investment of effort, time, and money. However, it's very challenging to say whether these modifications or improvements will boost the value of your property and generate a profit once sold.
Also, there is the issue of determining precisely which areas or rooms of the house to improve to maximize the desired results. Here are some considerations.
» What is the State of the Real Estate Market?
A key aspect to consider before deciding to renovate your home before selling is the state of the local property market. For example, is it a buyer's or seller's market? In a hot property market, homes can sell in just a few days, garnering multiple offers. And in a seller's market, you may get away with fewer fixes before selling.
It is best to ask your realtor for input about the San Fernando real estate market. This will guide and inform your decision. For instance, if the market favors sellers, increasing your property's value by renovating may be the right move.
» The Cost of Home Renovations
Some renovations and home improvement projects, such as kitchen remodeling, are more likely to pay off than others. If you remodel the wrong areas, you may waste money and time that you will not recover.
So, you should know what not to fix when selling a house. The trick is to know and understand which home repairs and upgrades are worth it and which ones are not.
» Condition of Competing Homes for Sale
You can use a comparative market analysis (CMA) to get an idea of recently sold houses in your area. Consider the prices of other San Fernando Valley homes for sale. Your real estate agent should be able to offer you a CMA.
This analysis will help you get a sense of whether your California home offers more value (or less) than similarly located homes.
What Areas Should You Remodel in Your Home?
When deciding what renovation projects add the most value to a home, the answer will depend on each property. For example, a property may benefit considerably from giving the garden or patio some attention or perhaps new carpets in the hallway. However, here are some areas that you should consider remodeling.
» Paint the Whole Home
Did you know that a fresh coat of paint is considered to yield the highest ROI of any home renovation? This includes your home's exterior as well. However, also make it a point to fix faulty electricals, leaky faucets, and holes and cracks in your walls.
» Remodel Your Kitchen
You probably know that the kitchen and bathroom are two of the most important rooms for potential buyers. If you are not sure where to invest your money and time on a remodeling project, you should start with the kitchen.
You can replace outdated appliances, consider updating the countertops, and repaint scuffed cabinets.
» Remodel Your Bathroom
Similar to kitchen remodeling, remodeling can be the best option for your bathroom. However, make sure that your bathroom fixtures are not leaking and are up-to-date. And if you think it needs something more, such as removing older bathtubs in place of modern walk-in showers, which can make a considerable difference in the feel and look of your bathroom, you may go with that too.
Remodeling vs. Critical Repairs
Let's make an important distinction between upgrades or improvements and repairs. Home upgrades are optional, discretionary ways in which you can maximize the value of your home.
For example, replacing good-condition carpeting in your home with hardwood floors is an upgrade. On the other hand, replacing old, worn, or poor-condition carpeting is a repair. You can also think of it this way: home upgrades or remodeling can boost your home's value. Repairs keep your current home value from falling.
Should You Sell Your House As Is?
Selling a home as is means you are selling your house in its current condition, understanding that no repairs will be made. The home buyer understands that you will not make any repairs or negotiate with them for repair credits. There are many situations and cases when it makes more sense to sell the property as is.
For example, if your house requires a lot of modernization and updates – maybe it has not been touched since the 1990s and needs an overhaul to appeal to certain homebuyers – you should think twice before renovating. This is because taking on an extensive renovation or remodeling can unveil a series of issues and problems, such as cracks and structural issues, which could turn your home into a money pit.
The idea here is to leave your home as is and lower the asking price based on the need for repairs and renovations. Although you will not be able to sell for a high price, it could be a savvy and prudent financial decision, especially in the long run.
What Should You Focus On When Trying to Sell Your Home?
When selling a home, you have to do a lot of work to prep your house for sale. However, many real estate agents and realtors say it is not uncommon for homeowners to forget some crucial things when prepping.
When selling your house, you want to get the maximum amount on your sale. One simple way of doing this is to ensure that your home is as appealing to homebuyers as possible. Rather than renovating your whole property before selling it, you should maximize your time and profits by focusing on the two areas that will boost your home's value the most: your kitchen and the bathrooms.
Also, you should ensure that your home makes an excellent first impression. To make sure that buyers want to come inside and see the interior of your home, you should make sure the outside is tidy, well-kept, and inviting.
You can touch up or completely repaint the trim, maintain flowers and shrubs, and keep the grass cut. You may be tempted to put your stamp on your property, but remember that some features you like may put potential buyers off.
Speak to your local real estate agent about what your target buyer demographic would consider valuable and what features are really selling homes in San Fernando Valley.
Final Thoughts
Renovations and improvements before selling your home are all about understanding the real estate market, playing it safe, having a clear strategy, and not overspending. It is also about giving your buying audience what they want. San Fernando Valley realtors, such as Park Regency, can give you a good idea about the popular features for homebuyers in your area.
If you need advice on home renovations and improvements to prepare your house for a sale, contact the expert real estate agents at Park Regency today! Call 818-363-6116 or fill out the online form for more information. They will help you sell your home for the maximum value with the least hassle.