Alair Homes

Improvements and renovations can make a home more appealing to potential buyers, but the effect on a property’s resale value will vary. While extensive renovation projects are not recommended at this time, most homes can attract more prospective buyers with some upgrades. The amount of work your home requires depends on its current value, the present market conditions and the selling price for comparable houses in your neighbourhood. When remodeling your home to increase its market value, use the following tips to avoid making costly mistakes.

Spend What You Can Recoup

Do not spend a large amount of money that you will probably never recoup when your home is sold. Concentrate on improvements that generate the best return on investment. Ensure that whether you make a major renovation or a minor cosmetic improvement, the project increases the resale value of the house and the likelihood of an offer at or near your asking price.

Seek to Make a Profit by Limiting Costs

Improve the return on your investment by reducing remodeling costs whenever possible. For example, you could resurface hardwood flooring instead of replacing it. The appearance of a bathroom can be improved by updating the lighting fixtures and wall coverings instead of performing a complete renovation. Refurbish items whenever possible rather than replacing them. Reduce expenses by hiring a professional on large remodeling projects that you couldn’t do well yourself.

Prioritize Curb Appeal, the Kitchen and Bathrooms

Put your money where it matters the most when you sell your home. You need to make a good first impression. Ensure that your home’s exterior is well maintained. Make any repairs, and repaint if necessary. Change the front door. Landscaping should be fresh and trimmed. The function and appearance of your kitchen and bathrooms should be carefully analyzed. Because research indicates that buyers often make decisions based on these rooms, renovation in these areas are most likely to recoup costs and generate additional equity. The top priorities in these rooms are the countertops, cabinets and fixtures.

Photo by Alair Homes LondonLook for living room design inspiration

Stress Appearance over Function

Appearance is non-negotiable. Your home has to look its best. It is better to spend money on paint and carpeting than to buy a new water heater to replace one that may still provide reliable service. If a home inspection identifies worn or outdated appliances, you can lower your asking price. Choose contemporary, neutral hues when selecting paint colours. Avoid deep, bold shades when remodeling or renovating a room in your home. Ensure that your home is well lit. Select flooring materials like carpeting that match the taste of most potential buyers.

Stay True to Your Home

Make sure that the renovations match the style of your home, whether it is rustic, modern or classical. Stainless steel appliances may appear out of place in a country or rustic kitchen. Do not change the function of a room. Adding permanent bookshelves to create a home office in a spare room reduces the number of bedrooms. If a buyer wants a home office, they can add a desk and bookshelves to the room if desired. Buyers who need the extra bedroom will look elsewhere.

Avoid Areas with Little Return on Investment

Some renovations return very little on their investment because they are low on the priority list for most potential buyers. These include finishing attics, basements and garages into extra living space. Other areas that do not generate additional resale value are home theaters and backyard renovations like pools and elaborate decks or patios. New windows also have a poor return on investment when trying to sell your home.

Your goal should be to bring your home to the current standards in your neighborhood and immediate area. Adding excessive or undesirable features could make it more difficult to get your asking price or recoup your renovation expenses. Look at your home objectively and then decide which renovations will generate the best return on investment when it is time to sell your home.