When you make the decision to sell your home, it can be tricky to know which changes would make your home sell more quickly and which would not impact the marketability of it. Each home is different so you have to look specifically at your home and not necessarily compare to what others have done. So I've compiled 8 key questions to ask yourself before making any changes to prep your home for sale.
1. How hot or cold is the market in your area?
Are homes being snapped up as soon as they come onto the market or are they sitting in the market for months? Are homes being sold at or near the asking price or for much lower? Get a feel for the market in your area by talking with your real estate agent and checking local listings. If it’s a seller’s market, you may be able to get away with doing fewer repairs and modifications before selling, and still have good results. In a buyer’s market, expect to do more work to make a positive impression on buyers.
2. How fast are you looking to sell?
If you need to sell your home immediately for reasons such as you've already committed to buying another home or need to move because of work, it is in your best interest to do everything in your power to ensure a quick sale at the best price possible. If you have more flexibility and you feel uncomfortable making too many pricey changes to your home before selling, it may make more sense to focus on cleaning, decluttering and making small cosmetic changes such as painting particularly if the market is hot and favors the seller. The catch is that often buyers will not go back to see a home if they didn't like it the first time even though they've been advised that updates have been made so it is best to have your house in the best possible shape when it goes to market.
3. What is the condition of comparable homes on the market?
It can be quite helpful to know a little about the homes that buyers in your area are looking at. You can look at photos of homes for sale in your area or even attend a few open houses and make a mental note of how the other homes compare to yours. Are the kitchens updated? Are the floors in good shape? If all of the other homes you see have a certain feature (for instance, an updated kitchen) that yours lacks, consider making that a priority. You don’t need to make your home exactly like all the other homes on the market; just make sure there isn’t a single factor that could give your home a disadvantage.
4. Does the faulty item give the impression the property has not been well cared for?
When debating whether to fix or not, items like leaky faucets, cracked tiles, an overgrown lawn, broken appliances or anything else that doesn’t work as it should can immediately turn off buyers. The simplest things such as a burnt out light bulb can be enough to turn a positive showing into a negative one.
5. Can you find a less expensive fix?
Sometimes there are options available where you can find a less expensive solution to fixing a problem such as your kitchen. Rather than spend big on a full kitchen remodel, why not give your kitchen a less costly refresh. For instance, you could paint the cabinets, swap out cabinet hardware, change the light fixtures and upgrade the appliances to something current and functional but not necessarily top-of-the-line. You will put some money into it but not nearly as much as with a full remodel. This can be well worth the time and money if it gets your home in the running in a competitive market.
6. How much will you realistically need to lower the price if you don’t fix it?
If you have a lot of costly repairs to tackle to get your home ready to sell, you may be considering selling it as is. But keep in mind that buyers looking for a fixer-upper will also be looking to discount the selling price due to needed repairs. You won’t be able to simply estimate how much the repairs will cost and deduct that from the selling price. You may need to deduct even more to make it worth the buyer’s time and effort. Discuss this with your Realtor and look into other fixer-uppers for sale in your area to come up with an appropriate selling price.
7. Is it one of the first things potential buyers will see?
First impressions are key especially in the real estate business! If you have a repair you are unsure about tackling, ask yourself this question: Is it something the buyer will see as he or she approaches your house and walks through the front door? If so, best to fix it.
8. Could it be a deal breaker?
Some home repairs, like a new roof, are just so major that they will scare off all but the most determined buyers. If the market in your area is hot and you have ample time, there’s no harm in trying to sell without making the big repair, as long as you are willing to price it accordingly. If it’s a buyer’s market but you don’t have time to make the repair before listing, you could offer to pay for it as part of the sales agreement. Otherwise it’s probably best to make the change first and then put your home on the market.
It is tough to make these decisions especially if you've lived in your home many years. You'd learned to see past the old paint colors and carpets. That is why it is best to bring a Realtor on board to help you calculate which areas need attention and which won't make a difference to buyers. It is crucial that you make the decisions that will have your home looking its best so that you catch the buyers out there. If you would like to bring me on as your Realtor, just give me a call & we can look at where to start to get the end result you are looking for...SOLD!
