Many home owners ask, “What are the things I should or should not do to net the most money when I sell my home?”
This is about your net bottom line after the sale, not the highest possible sales price.
In order to get the highest sales price possible, a seller may need to do a complete remodel. Kitchen cabinets, counter tops, floors, remodeled bathrooms, etc. Depending on what resources are available to a seller, the odds are for every dollar spent on these upgrades, the seller will realize about a 50 to 75% return on investment. So the questions is, “What can you do to get a 100+% return?”
5 Things – The 5 most important things you can do are as follows:
- Paint – There is nothing like a fresh coat of paint on the interior and exterior to make a house really shine. Paint is the least expensive thing you can do to brighten up a home. Fresh paint improves curb appeal and gives the interior a cheery, welcoming feel. Beware of some dos and don’ts about paint: use neutral colors so the home appeals to the broadest pool of buyers; make sure paint coverage is good to avoid a cheap, streaky look; and paint ceilings as well as trim, door and closets.
- Flooring – If carpets, linoleum, laminate floors are worn, these should be replaced, especially carpet. New carpet gives the home a fresh warm feel and look, and some buyers will want new carpet, especially if they have young children. Some sellers like the idea of a carpet or floor allowance to avoid the work and cost of installing new carpet and floors, which allows the buyer to choose their own color and style. This can be a good work around but it is not as good as new carpet or flooring. Many buyers have a hard time looking past worn or deteriorated floors. Therefore, the best solution is to replace if possible.
- Roof & Gutters– The roof and gutters need to be in good condition with usable life left. A simple roof inspection can determine what roof repairs are needed and if it can be certified. If it is certifiable, then it will qualify for all forms of financing. Beware, even if the roof is tile, it is still a good idea to have it inspected. Tiles crack or break and roof valleys can fill with tree leaves and other debris causing water to back up and eventually leak.
- Deferred Maintenance – Deferred maintenance refers to dry rotted wood, termites or other wood destroying insects, pealing paint, fences, deteriorated or damages sidewalks or driveway, etc. All these items should be addressed in order to net the most money possible. As a rule, if a home needs $5,000 in deferred maintenance repairs, a buyer is going to pay at least $5,000 less for the house. Sellers need to be aware that buyers do not want to buy their problems.
- . Did I say clean? A clean home screams to the buyer that the house has been well maintained and loved. When a buyer walks into a clean home, they are less likely to ask what is wrong with it. A clean home is also more inviting and comfortable.
Seller’s that do these 5 things will get the most BANG for their BUCK and will sell their home faster with a lot less hassle.
For more information on these tips or other real estate needs, call me, Chris DeMattei at 916-788-8822.