Home Improvements To Maximize Your Home’s Value
Without a doubt it is a sellers market in north Texas. With shows like Fixer Upper, Flip or Flop, and many others on HGTV, rehabbing homes is all the craze. If you are a first time rehabber, you will have tons of questions about what improvements can maximize your return on investment (ROI). There is a lot of behind the scenes planning taking place that viewers don’t necessarily see on these shows. If you don’t plan for the unknown you can find yourself upside down on a rehab really quickly!
The Most Important Updates
“We are going to blow out this wall, create an open floor plan, and add granite counter tops!” <——- This is one of the most cliché phrases you hear on trendy rehab shows. These are the features that catch a buyers eye, but are they the most important updates you can make to increase a properties value? The last thing a buyer wants is a pig with lipstick. If you’re going to rehab a home you need to evaluate the structure of the home (foundation, roof, windows), the infrastructure of the home (plumbing, electrical), and major mechanical items (HVAC, water heater, large appliances). These can be costly improvements and it’s not very exciting, but it can greatly increase a properties value to a potential buyer.
The Most Exciting/Desired Improvements
As I mentioned earlier, the most exciting updates have to do with the finish out and floor plan of a home. The visual appeal of a modern, open concept kitchen and dining area, and updated master suite really attract buyers to listings. These are the features that “sell” the home! Generally a good rule of thumb is to have neutral, inviting colors, open floor plans, and attention to detail on the finish out of a home. In different parts of the country, and even different parts of Texas, buyers have different taste and preferences. As someone who spends my time listening to the feedback of buyers, I can confidently say that you can’t please them all.
Maximize Your Return On Investment
As a property owner looking to maximize your ROI, you definitely need to consult with a Realtor® on what updates are best for your property in your market. Also you need to be careful not to over-improve a property for the neighborhood it is in. This is another reason why it is important to have a comparative market analysis done by a market expert to determine the current market value and the after repair value (ARV) of your home. Another mistake that sellers can make is not understanding the closing costs involved in a real estate transaction. I highly recommend you consult with an experienced Realtor® to understand each item that will appear on your closing statement. As I mentioned earlier, there is a lot of behind the scenes action taking place on all of the popular TV shows. The last thing you want is to not factor in an expense, or over estimate the price a home can sell for.
If you are considering making improvements to your home, contact me on how you can maximize your ROI, and create a quality product that buyers will be lining up for! If you’d like a comparative market analysis for your home, Contact Me Here and I will be happy to answer all of your questions. You can also send me an email Cory@CoryMeals.com
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