If you’re looking to sell your home in the near future, you will want to make repairs and minor renovations to increase its sale price. What you don’t want to do is go overboard with major renovations that, while flashy, won’t get you a solid return on investment and will wind up taking up too much time. Here’s what you need to focus on.
Set a target selling price
Before you begin to make a bunch of improvements to your home in the hopes of increasing its value, you need to take a step back and decide what your target listing price is. First, figure out what your home’s value is—realistically—without making any repairs/remodels. Next, think about a reasonable goal for increasing that price. Is it worth sinking six months of work into a home you’re trying to leave? Can you really increase your home’s value through projects, or does it simply have size/location/modernity limitations? In the end, it’s reasonable to want to add somewhere between $10,000 and $30,000 to your home’s resale value through projects.
Get the roof in tip-top shape
Is a roof repair job sexy? Not particularly. But when you have potential buyers looking at your home, a roof in disrepair is a major turnoff. One of the big reasons to repair an old roof is to help your home sell faster. Beyond that, you can usually add most of the costs you incur to the sale price.
Doors and windows
An ugly or damaged front door can ruin your home’s curb appeal. Same goes for your garage door. Replacing doors is a fairly cheap venture (less than $2,000, even for the garage) and can boost your home’s value at a near 100% return on investment. New windows are even less flashy than new doors, but buyers look for solid windows that can help save on energy costs.
A minor kitchen remodel
Here’s a little-known secret: more is not necessarily better when it comes to remodels, especially in the bathroom and kitchen. The ROI on minor kitchen remodels is way higher than on a full-scale remodel (which can run upwards of $25,000!). So, what is a “minor” kitchen remodel? You can replace the tile backsplash, put down new flooring, and replace a few of the appliances. You don’t have to do it all to make a significant impact.
A perfect DIY project: painting
Looking for something relatively cheap, easy, not too time-consuming, and perfect for anyone of any skill level? Think painting. Laying down a fresh coat of paint throughout your home can add tons of resale value and make a big impression at open houses and showings. It’s one of the few home projects that can be done in less than a week that has a guaranteed 100%+ return on investment. Need help on how to choose the perfect colour for your painting project? Head over to our previous blog post on how to use colours in your interior design.
While these projects will certainly add value to your home, there are some projects that will make your home look better but may not add that much resale value. Projects like finishing a basement or attic or installing a new deck or patio may seem nice, but home buyers usually want to do those things themselves as they are very specific. Your renovation focus should be on fixing what is broken, modernising what is old and useless, and then getting out of the way. If you’re looking at spending money on renovating to sell, it might be worthwhile talking to our property specialists on where to best invest your money on projects that will boost your property’s resell value.
Article in collaboration with: Seth Murphy