How to Amp Up The Resale Value of Your Home
Whether you're putting your home on the market this year or in the next five years, it is a smart decision to start building your home's resale value now. Here are some ways to create a comfortable home while making it easier to put more money into your bank account on the closing day.
Small Maintenance and Repairs
If you think that home maintenance on the weekends is a low priority, think again. The small chores you do around your home prevents it from losing value. Neglecting small maintenance and repairs causes 10% of your home's value to walk out your door and slip through your windows. Most appraisers claim that homes showing little to no preventative maintenance can depreciate from $50,000 to $90,000!
Preventative maintenance can also actively increase your home’s resale value — according to a recent study, by about 1% per year! Also, because homebuyers generally notice any repairs needed upon buying a new home, proactive maintenance lets the homebuyer know that he or she will not have to spend extra money to maintain the basics. This makes your home more attractive, and thus more likely to get higher priced offers.
Top 5 Remodeling Ideas
- Landscaping: Studies show that a home valued at $750,000 could increase its value between $40,000 and $75,000 with the addition of landscaping. These studies also note that positive landscaping can reduce the amount of time your home spends on the market!
- Changing out the entry doors and garage doors of your home are generally a smart design choice. Lately, wood doors are a coveted aesthetic by homebuyers and new doors distinguish your home from the rest on your block and provide a 95% return on investment.
- Outdoor Living: Outdoor Kitchens, Decks, Patio’s, or Porches. Building a deck is a great way to improve the value of your home and provide a fabulous outdoor entertainment getaway. Homebuyers are always looking for a place to entertain outdoors.
- Paint Colors: The colors you choose to paint your home inside and out can make a difference in its resale value. Painting goes above and beyond routine maintenance. It increases or decreases visual appeal to buyers and so can result in a higher or lower offer.
- Minor Bathroom Remodel: It costs about $10,500 to replace the tub, tile surround, floor, toilet, sink, vanity, and fixtures. You’ll easily get back your investment and then some. Most buyers do not have the vision, nor the willingness to take on projects like this. Fear of unknown costs can make your home less attractive. So do the work yourself and reap the rewards!
Your Needs and Buyers' Wants
On that note, if you need to renovate your home, be sure to consider how those changes will affect its appeal to future buyers. Knowing design trends will give you the opportunity to make changes to your home based on where your needs and your potential buyer's desires intersect, thus increasing your property's resale value drastically.
Designers and design websites provide great ideas when you’re brainstorming home renovations. Keep in mind as you research, however, that you don’t want to sacrifice your needs for a comfortable home just for the sake of what you think a future buyer will want!
Therefore, before you begin making any changes to your home, consult your real estate agent. Real estate agents, because we are constantly working with new buyer clients, have insider insight into what home buyers are looking for now and in the future. We’ll be able to help you make smart choices when remodeling or renovating your home.
If you think you might want to remodel or renovate your home in the near future, or if you are just curious about other ways you can increase its resale value, please reach out to me!
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