Selling a home in today’s market takes a bit more effort than it did a year ago. The housing market is shifting as mortgage rates rise, and buyers are becoming more particular. So, as a seller, the way to make sure you get your listing price is to first make repairs and improvements that buyers really care about.
Sellers are aware of this new market reality. According to Realtor.com, from mid-July to mid-August, around 95% of sellers made updates or repairs before listing their homes, spending an average of $14,163. This compares to six to 12 months ago when 71% of sellers made improvements before listing.
Make sure the renovations you do are worth the cost. A recent study from the National Association of Realtors and the National Association of the Remodeling Industry found these projects had the best return on investment:
· Refinishing hardwood floors recovered 147% of the cost
· New wood flooring, 118%
· Insulation upgrade, 100%
· Basement conversion to living area, 86%
· Closet renovation, 83%
· Roofing recovered 100% of the cost
· Garage door, 100%
· Fiber-cement siding, 86%
· Vinyl siding, 82%
· Vinyl windows, 67%
Concentrate on less costly projects that look great in listing photos. Refinishing hardwood floors recouped 147% of the cost versus a kitchen remodel which recovered just 67%. Smaller improvements, such as fresh paint, can be more appealing to buyers than a renovated powder room. Focus on improvements buyers can see, such as new kitchen cabinet doors or customizable closet shelving. Anything that enhances curb appeal will also make your home stand out.
Fix anything that could turn buyers off. The scent of house pets tops the list. An online real estate marketplace found a deep cleaning could add $3,371 to a home’s sale price. Finally, make sure to repair anything an inspection would reveal.
Thinking of selling or buying a home? Please text, call, or email to learn about your best options today!