How to add extra value to your Home before selling ?
One of the most frequent questions we get asked is “Should I renovate before I sell?”
For almost two decades, the success of home renovation shows such as The Block and House Rules, proves there’s no doubt that planned and well budgeted improvements on a home, increases final sale price and if done well, provide a huge profit to the homeowner.
Potential buyers will decide on first impressions in less than a minute of visiting your property! That means first impressions count.
Because your home is your most valuable asset, let’s have a look into why you should consider investing in your home before you sell.
Stand out from the crowd
Make sure you check out similar neighbouring properties. Jump on your preferred real estate portal and do a search in your local area. This will give you an idea of what is currently on the market regarding presentation and price. This will also enable you to identify unique selling features of your home to differentiate from other properties. Potential buyers will also have done the research for comparisons, so by being well informed, you’ll be prepared in the negotiations.
Buying a home is most often an emotive decision that can influence and determine the outcome of the purchase price. When viewing your property, a buyer will be mentally moving in. They will be imagining their family and friends in the home. Is it welcoming, clean and current? With some comparisons and creativity, you can accentuate features in your home, so it sells faster for a better price. Any time and effort you invest in the presentation of your Home will be rewarded with the number of buyers it attracts.
If your home doesn’t present well, it works in favour for the buyer. Often buyers will use this to their advantage to negotiate the price down. For example, they will want a reduction in price to cover the cost of new carpet or updating kitchens and bathrooms, as well as the inconvenience of renovating before they move in. If your home looks dated or needs repairs, this can work in a buyer’s favour. Simple refurbs can be time and cost effective and reduce the chances of buyers using the negotiation power to their advantage.
A picture tells a thousand words
Beautiful photographs are a large component of presenting your home to potential buyers and photos are often the first point of contact. Buyers mostly make the decision to attend an inspection based on the beautiful photographs. You won’t get a second chance to make a first impression. Ensure your home is prepared and the photographs represent this. At Early Match we can organise a professional photographer at an affordable price.
Next steps. Think smart - think like a buyer
While it still is your home, the best thing you can do after you have decided to sell, is remove yourself emotionally and view your home with an objective “walk through”. We suggest doing this with a friend as it can help you remove yourself from the attachment and rather view it from the perspective of a buyer. Starting at the front yard, move your way throughout the property as a potential buyer would. List any areas that can be improved with a simple declutter, clean up, basic repair or paint. From this checklist you’ll ascertain what is a simple makeover in comparison to what may require a renovation.
How much should you spend on renovation?
From a homeowner point of view, we often get asked “How much should I spend renovating?” Remember you’re investing in presentation, BEFORE you sell, so that it’s profitable for you. And whilst it’s very easy to get excited and emotionally engaged with all the options available to increase the value of your home before selling, it’s critical to ensure you don’t over-capitalise. Any money you spend, must provide a substantial increase in profit for you, above the cost of the renovation.
The amount comes down to several options such as current market demand, market comparisons, your time and budget.
In our next blog, we’ll talk about the renovations that you can start doing during lockdown to prepare your house for sale.