Thinking About Renovating Your Home This Year?
Is Renovating Your Home This Year Necessary Before Selling?
If you’re planning to sell this year, you’re probably wondering if renovating your home is necessary to appeal to the most buyers. It’s crucial to work with a trusted real estate professional who knows your local market to get your home ready to sell. But there are a few things you should consider. Here are three things to keep top of mind as you’re making your list of projects to tackle this year.
1. The Number of Homes for Sale Is Very Low
Housing inventory sits far below what is normally considered a balanced market. In fact, according to the National Association of Realtors (NAR), the latest data indicates inventory is hitting an all-time low. With limited supply of homes for sale, you’re in a unique position to benefit from multiple offers and a quick process.
You’ll want to do so while buyers are still scooping homes up as fast as they’re being listed. Spending time and money on renovations before you sell could mean you’ll miss your key window of opportunity. Of course, certain repairs may be important or even necessary. The best way to determine where to spend your time – and your money – is to work with a real estate advisor. Confirm which improvements are truly needed and which ones aren’t likely to be deal-breakers for buyers.
2. Buyers May Be Willing To Take on Projects When They Purchase Your House
Today, many buyers are more willing to take on home improvement projects themselves to get the house they’re after, even if it means putting in a little extra work. A recent survey from Freddie Mac finds that:
“. . . nearly two-in-five potential homebuyers would consider purchasing a home requiring renovations.”
If more buyers are willing to tackle repairs on their own, it may be wise to let the future homeowners make design decisions that are best for their specific taste and lifestyle. Depending on the structural condition the house, you might want to work on small cosmetic updates to make sure the home stands out. Instead of over-investing in upgrades, which the buyer may change anyway, confirm with a real estate professional what will give you the greatest return on your investment.
3. Your Agent Will Help You Spotlight the Upgrades You’ve Made
Over the past year, many people made a significant number of updates to their homes. The most recent State of Home Spending report finds:
“Home improvement spending rose 25% year-over-year to $10,341. Homeowners who invested in home improvement did an average of 3.7 projects, up from 2.7 in 2020, . . .”
With more homeowners taking on more projects in the past 12 months, there’s a good chance you’ve already made updates to your home that could appeal to buyers. If that’s the case, your real estate advisor will find ways to highlight those upgrades in your listing.
The same is true for any projects you invest in moving forward. Every home is different, so a conversation with your agent is mission-critical to make sure you make the right moves when selling this season. Contact us today for expert advice and guidance!
In a sellers’ market like today’s, it’s important to spend your time and money wisely when you’re getting ready to move. Let’s connect today so you can find out where to target your efforts before you list.