Part of the job of a realtor is to evaluate the home. Evaluating the home is not limited to determining the price of the home but also evaluating the condition of the home. On the first visit, your real estate professional will take their time going through the home. Room by room, looking at the build quality, craftmanship, deterioration, and above all design. They should also be asking questions about dates of renovations, upgrades to equipment (i.e., furnace or electrical panel), and finally structural concerns to the foundation, roof, windows, and siding.
When your real estate professional returns for the second meeting to present their findings and deliver their complete market analysis, they should also have suggestions to increase your property value.
There are a number of TV shows that have a contractor, designer, and realtor that come into a seller’s home, renovate it from top to bottom and WOW the sellers with a new listing price for their home… this is not the reality of it. Renovating your home to increase the value is like changing 4 quarters for a dollar. Consider the cost of materials, labour, design and now add the cost of time – 12 weeks of renovations are 12 more weeks of mortgage payments, 12 weeks of municipal and school taxes, and 12 weeks of market fluctuation.
For example, take a bathroom renovation. It seems simple enough. Start with a quick tile change, drop in a new bathtub, fresh coat of paint, and install a new vanity from Reno Depot. Now add labour, electrical and plumbing that is up to code, waterproof membrane, a new window, ceiling vent and duct work, bathroom door and handle, décor, mirror, and a new toilet and sink. How quick it adds up. With todays knowledgeable buyers, bills, receipts, and warranties must accompany any renovation. Renovations should be done to todays standards which are costly when the majority of homes are built from the 50’s through to the 70’s.
Aside from the cost of the work, a seller has to consider the quality of the work, the quality of the materials used and above all, the style and design. Will it appeal to a buyer? Will it appeal to multiple buyers? Will the buyers be confident in buying a new renovation and paying a premium for it?
The truth of the matter is, we find that buyers would rather have the flexibility and option to renovate the home to their personal taste, with their trusted contractor and with confidence to make the decision themselves.
The seller is better off to price the home in consequence of the unrenovated room or space rather than renovate in the hopes of getting more money.
Considering everything mentioned above, there are helpful tips to present the home in the best possible way.
Firstly, make the home as bright as possible. Changing light bulbs to bright white LED bulbs in lamps, light fixtures, and recessed lighting.
Consider a fresh coat of paint on trims and walls. It is inexpensive, can be done yourself and won’t break the bank.
Freshen up a kitchen with new handles and if not already installed, a neutral tile backsplash.
Instead of a complete bathroom renovation, update the sink and faucet, as well as toilet.
If the doors in the home are the original doors, invest in new interior doors, handles and hinges. This will modernize the home instantly.
Lastly, clean the exterior of the home. If possible, pressure wash the siding, brick, and steps. This will help with the first impression and set the tone for the rest of the home.
These small gestures show the buyers you that you have pride of ownership, regularly maintain, and invest in your home, and will make them feel confident to make a strong offer.
Being cost effective, affordable and easy, these tips will bring value and increase the price of your home. No need to break the bank on a major renovation, show the buyers how great the home is and let them know they can make it their own.
Happy selling and happy renovating!
Richard Sholzberg