CAN I SELL MY HOUSE AS IS?
How to Boost Your Home Sale Price and Come Out Ahead
Dear Sophia, I want to sell my house for the highest price, with the lowest possible investment in renovations. Can I sell my house as is, or should I make minor upgrades to increase the resale value? What improvements can I make and still come out on top? Frugal Faye Dear Frugal Faye, You’ve asked a great question that many are unsure about. Renovations seem like a big investment with slight returns. In fact, according to a recent Remodeling Magazine report¹, most homeowners in the East North Central part of the U.S. get back only about 60% of the money they invest into home upgrades! If you’re going to make some renovations (and I do believe certain upgrades are essential to boosting your sale price), you want it to be worth your while. However, only a handful of renovations will yield a return of 100% or more. Fortunately, the renovations that yield the highest returns are also among the easiest and cheapest to complete. I’ll walk you through four of these low-priced, high-return upgrades today. Please note that figures are subject to change depending on the project, materials required, and the fluctuating real estate market.
Touch up the little things. Add a new set of cabinets, a stunning backsplash to your kitchen, and granite countertops to increase resale value by up to 6.9%. These simple refreshers are very inexpensive and go a long way.
Apply a fresh coat of paint. For a $50 can of paint, you may be able to increase your home’s sale price by up to $5,000. Hot colors that attract buyers include powder blue or periwinkle in the bathroom and neutral tones like gray or beige on the exterior.
Invest in landscaping. Spend between $4,000 and $5,000 on landscaping and you’ll easily get up to 105% back. Cleaning up scraggly plants, strategizing color in your flower beds, and adding fresh sod goes a long way toward improving your home’s resale value.
Do a minor bathroom remodel. If you replace the tub, surrounding tile, floor, toilet, sink, vanity, and fixtures, you can expect to pay around $10,500. For a return, on average, you should make about $10,700, which is a recoup rate of 102%.
Splurge on a minor kitchen remodel. If you feel like adding a kitchen remodel would drive buyers to your home, an ROI of 98.5% with remodel costs at around $15,000 is still a good return. Bathrooms and kitchens are very important rooms to buyers, so this is one renovation to consider.
Renovations can do wonders for resale value, but don’t overlook staging and presentation. Staging is when a realtor incorporates multiple elements such as lighting, carpets, greenery, art, furniture, and more to create the ideal presentation of the lifestyle you’re selling through your home. Intended to depersonalize your home and make buyers feel like it will be easy to move in, proper staging may raise your home’s value as much as 20%. Staging also helps make your move easier because you’re clearing out your personal items and boxing them as you go, instead of waiting for the sale to close. So, can you sell your house as is? You could, but given how it’s fairly easy to incorporate these simple practices and renovations to increase your resale value, I think it’s worth the effort to invest in basic upgrades. For more information on home improvement ROI and the staging process, Contact
the KlopasStratton offices today. Click here