10 Top Reasons to Remodel a Home before Selling
Home remodeling projects are often undertaken by homeowners looking to improve their living conditions or enhance the appearance of their property. However, it’s not just those planning to stay who can benefit from such upgrades.
Sellers in the real estate market also have a lot to gain by remodeling properties before sale. Fortunately, this article discusses some of the reasons to remodel a home before selling it. So, read on to find out more.
The Logic Behind Home Remodeling Before a Property Sale
Why spend extra money on a property that you intend to sell? Is there any sense in making such a move?
Well, there is a logic behind spending money remodeling a property that you intend to sell, and a good one at that. Some of the justifications for this stance are discussed below:
1. Enhanced Property Value
A real estate property’s value is determined by several things. Some of them include:
- Location – That includes local economic dynamics
- Demand & Supply Factor
- Property’s Age & Condition
- Mortgage Facilities
- Neighborhood Quality
Some of these factors are beyond a seller’s immediate control. However, a couple of them are way within a seller’s control, and home remodeling fixes many of such. The property’s condition is a prime example.
2. Justification for a Higher Price
The issue of additional expense is the major argument against home remodeling before selling a property. However, it is not necessarily an informed argument.
It takes money to make money in the real estate market and this is one of the best ways to make sense of this saying. This is considering that a remodeled property would sell for a lot more in the market.
By the way, the project’s cost and more can be added. So, there is a financial justification for making such a decision.
3. Enhanced Demand
There is the demand and supply factor that influences a property’s value as mentioned in one of the aforementioned points. However, can anything be done to influence this factor in your favor?
The best that can be done is improving your property’s market appeal. A successful job at this would do a lot in outshining competitors. Quality home remodeling will play a significant role in ensuring this.
4. Fixing Issues
The average buyer in the real estate market wants to buy a property and not its problems. As a result, addressing problems that the property has would increase the chances of getting it sold and doing so for a reasonable amount. By the way, that includes issues such as:
- Leaks
- Outdated Systems
- Structural Issues
- Basement & Attic Issues
- Water & Mold Damage
- Violation of Safety Codes – Due to use of lack of use of certain installations
- Plumbing Troubles
A proper remodeling job will fix many of these issues. This would further increase the market appeal and the chances of selling for a reasonable amount of money.
5. Improves Energy Efficiency
Some of the new installations during a home remodeling project ensure energy efficiency of the highest order. For example, insulation is paid serious attention as it largely determines how much artificial indoor temperature regulation would be required.
The less artificial indoor temperature regulation required, the lesser the amount spent using HVAC appliances. So, this is another way remodeling turns out to be cost-saving from the buyer’s perspective, justifying any increased amount spent purchasing such properties.
However, this is only if a good home remodeling job is performed by the professionals tasked with this responsibility. You can see EmpireHomeRemodeling.com for more on this. The point is to do your due diligence when choosing home remodeling contractors.
6. Alignment with Current Market Trends
The real estate market is constantly evolving in many regards. For example, this is informed by new technologies that are desired by buyers in the market.
As a result, properties that do not have features desired by current buyers may not be appealing enough. This simply means that the chances of such being sold are slim. Bargaining power will also be significantly reduced if they are finding a buyer is not an issue.
Home remodeling can be geared towards ensuring that a property aligns with current market trends. So, this is a good reason why it makes sense to remodel before putting up a property on the market.
7. Great for Appraisals
Not every buyer has enough personal funds to facilitate the purchase of a property. As a result, many potential buyers turn to credit facilities.
Well, securing some of these credit facilities would be difficult or even impossible if the quality of the property to be purchased is questionable. This move is usually in the best interest of the creditor as it is an attempt to see how valuable the creditor’s equity would be per time. This is one of the ways that having a property for sale in perfect state and shape can ensure a quick and smooth sale process.
8. Attracting Multiple Buyers
Do you know how an auction works?
The concept is having several people try to outplay themselves for the purchase of a commodity. This is usually in the best interest of the seller as the potential buyers keep bidding higher than each other.
Well, this concept can work well enough if you have your property in perfect state and shape. A good home remodeling job can do this for you, making it possible to create a competing environment where the value of your property can be driven up.
9. Tax Benefits
For the record, this benefit is seriously conditioned on your location, as well as the scope and scale of the home remodeling project conducted. So, bear this in mind, especially if this is your major objective for embarking on such projects.
10. Enhanced Online Appeal
It is no longer news that people’s actions are increasingly influenced by online narratives. In the same vein, some people begin their search for a property online. For one, this is why you should consider having the property that you intend to sell advertised online.
Furthermore, the state of the property as perceived online is important. This is because there would be very little or no chance for second impressions online. So, it makes sense to have it in the right state and shape, which is where home remodeling comes in.
Wrap Up
Sellers in the real estate market have a lot to gain by engaging the service of capable home remodeling contractors. This is in light of the several benefits discussed in this article and several others. So, these people are seriously advised to make the most of these professionals.
