People have varying reasons for selling real estate. Some had to take care of an urgent financial need which makes it inevitable to sell their property. Others decided to move to another home and could use the money for the down payment. Some had to relocate while others inherited a property but decided to sell it instead.
One of the common dilemma real estate sellers have is whether to invest in certain renovations before selling or not. If one decides to sell a fixer-upper home, one can’t expect to sell it for a higher price. If you renovate before selling, there is no guarantee that you will have a good return on investment. Are you torn between selling the property as-is and improving it first before putting it up for sale? Then asking the following questions can help you weigh in your options.
Do You Have the Budget to Do Repairs?
One thing you don’t want to forget is to consider your budget. Note that the amount you need to invest in home maintenance and repair will depend on your budget. Do you have the funds to do renovations? If yes, what projects can you tackle with your budget?
If you only have a limited budget and you plan on DIY-ing the repairs and maintenance, then it is better to skip the remodeling all together. The reason is simple. When sellers cheap out on home renovations, it will show and home buyers will know for sure. Besides, rarely will a DIY and cheap renovation project increase the property’s value. You will only waste your resources and you will also find it hard to even break-even.
Is There Any System That Requires Immediate Repair or Replacement?
When you encounter issues with your property’s roofing, HVAC, electrical, and plumbing systems, it becomes a must that you start thinking about a renovation the soonest time possible. If you don’t prioritize these before your selling your home in the market, you are putting your real estate agents and buyers at a safety risk.
For instance, a part of your roof that is falling apart can cause serious injuries. The last thing you want is to get anyone injured during an open house. Make sure to hire the services of a reliable roofing company to take care of roofing repairs.
Failure to fix systems that require your immediate attention can also lead to even bigger and more expensive problems. Broken pipes, clogged gutters, and leaky HVAC units can cause water damage. This, in turn, can result in a bad smell that can turn off potential buyers. Water damage can destroy your belongings and appliances, increasing the cost of repairs. You can also have a harder time making an insurance claim if you choose to wait too long before addressing the issue.
How Long Are You Willing to Wait?
Some real estate sellers want to sell their property the soonest time possible. This can be due to them needing to move right away or can no longer afford to waste time as they are in dire need of cash. Assessing your willingness to wait can help you determine whether you should renovate the property first before selling.
If you are in a hurry to sell, you can skip the renovation and start putting your home up in the market. Of course, you need to manage your expectations as you will find it hard to sell the property at a higher price for selling it as is. You may think you can insert a project or two while waiting for buyers. But you can end up turning off potential buyers if they find your real estate with an unfinished project when checking the property.
If, on the other hand, you are not in a hurry to sell, then you can consider investing in home improvements that have high return rewards. This can help you increase your selling price. Consider the latest trends in real estate and see what most buyers in your area are looking for.
A real estate sale is not an easy decision to make. It can be hard to put a price tag on a property you’ve come to love and watch another person take over what once used to be your home. Another question that can cloud your mind is whether to skip renovations before selling or to improve your property before placing the for sale sign. If you can still wait and have the budget for renovation, then you can go ahead and start the project. If not, then you are better off skipping the improvement and start considering reasonable offers made by different buyers.