8 Remodelling Tips to Increase Your Home Resale Value
Have you snapped up an investment property to resell for a tidy profit?
Then you might want to look into remodelling because getting work done in the right places can add serious resale value to your home. On the flip side, however, a poorly planned renovation will end up costing you more in the long run, resulting in a colossal waste of money, time, and effort. So what’s the secret to a profitable remodelling job?
Let’s find out through these 8 simple tips.
Put Realistic Expectations in Place
The reality is that not all remodels will add value onto your home. In fact, many home renovations only see returns of somewhere between 60-80%, which is far from ideal. What these kinds of remodels can do, however, is attract more interest to your home. The additional hype can cause more buyers to attend an auction and bid more feverishly, thus leaving you financially better off overall.
Spruce Up the Worst First
It’s rarely worthwhile going all out and remodelling the entire house. After all, the new owner could spend the same amount of cash themselves and get the renovation to precisely align with their personal tastes.
What you definitely do want to do is fix up all the major drawbacks. Things that turn a buyer off outright need to be rectified, otherwise you simply won’t get much interest in the home. Examples include a mould infested bathroom, a dilapidated front door, and cracked or peeling walls. Generally speaking, you want to invest the minimal amount to get these problem spots into a reasonable condition rather than trying to make them perfect.
Opt For Aesthetics
Practical improvements like a brand new hot water heater might seem like a good way to add value onto your home. However, the reality is that a real estate agent or potential buyer is far more interested in aesthetics, even if they don’t intend to be.
If your 30-year-old water heater is on its last legs but still works, leave it be and spend that money on a fresh lick of paint instead. Few people will consider the time until they’ll need to replace a utility, but everyone will notice a home’s cool contemporary colour scheme.
Get the Kitchen and Bathroom Done
Given the immense cost involved, an unliveable kitchen or bathroom will turn most buyers away right off the bat. Even a real estate rookie knows renovating these regions costs a tidy sum, and they’ll be sure to factor it in when determining the real value of your home. The trick is to not go overboard by focusing on small aesthetic improvements that won’t break the bank. Many potential buyers may want to refurb the kitchen anyway so there’s no point making it perfect.
Refresh Rather Than Replace
If you’ve got a bunch of fixtures that have seen better days, consider how you might repair them rather than buying a brand-new unit. Adding a fresh coat of paint or fixing up busted bits and pieces is cheap compared to the cost of purchasing and installing a new fixture.
Think About New Fixtures
On the other hand, there are some bargains out there to be had with fixtures, especially if you’re prepared to put in the effort to seek them out. Online market places are brimming with discounted second-hand goods, many of which are in perfectly serviceable condition. Just remember to factor in the cost of collecting and installing your new fixtures.
Play It Safe with Tastes
It’s imperative to be objective when renovating an investment property. After all, what you think looks sharp could be a major turn off to the majority of potential buyers.
Always opt for safe interior designs that are pleasing to the general population. Install something to brash or too bold and you might end up reducing the overall value of your home.
DIY Where You Can
Labour costs constitute the lion’s share of many renovations, so it stands to reason you could save serious dosh by doing it yourself. Of course, some tasks such as plumbing or electrical work legally require a licensed tradesman, so you’d best give these a wide birth.
Following the above remodelling tips will help you keep costs under control and ensure your renovations will aid your bottom line. Remember, once you’ve settled on a fair price, you’ll need to obtain property conveyancing services to ensure your contract is watertight.