Do you want to increase the value of your home and/or sell it faster?
Updates can help you do that, but if you don’t invest in the right improvements you can spend money on things that have a high cost and low resale value.
So here’s a quick list of the best updates to make in 2016 according to Remodeling Magazine:
Buyers love kitchens, but not as much as they used to. Remodeling advises you to make modest kitchen improvements. This means spending about $20,000 for updates, like new cabinet doors and hardware, fresh paint, new flooring, and an energy efficient oven/stove. This type of update recoups 83% of its cost at resale.
Insulating your attic is the single best improvement you can make in terms of cost vs. value. Remodeling found that this update earns you about $1482 on an average investment of $1268, so you recoup 116% of your investment.
Replacing vinyl siding for a manufactured stone veneer returns about 93% on your investment. You’ll spend about $7,500 on average. If you stay with vinyl siding, but replace the worn siding with new, you will still get back a healthy 77% of the cost.
A garage door may not seem like a big deal, but it is. It adds to your home’s curb appeal. Before updating your garage door consider how you use your garage. If you’re just storing cars, you may not need insulated doors, which cost more. But if you use your garage as a workshop or laundry room, you probably need to spend the extra for insulated doors. The average cost for this project is about $1,650 and its resale value is about $1,510.
Updating to a new steel front door can increase the security and energy efficiency of your home. A steel door brings a 91% return on cost ($1335 value vs. $1217 cost), while a new fiberglass door returns about 82% ($3126 vs. $2574) of its cost
Wooden decks are more popular than composite decks, but both can increase the value of your home. Wooden decks raise the value of your home by $7,850 and cost $10,470. Composite decks return 64% or $10,819 on a $16,798 investment.
Replacing a roof costs about$20,000 and should to bring about $14,500 in added resale value. So you recoup about 75% of your investment.
Buyers also like fully finished basements that have a full bathroom and wet bar. You’ll spend about $68,500 and it will add about $48,200 to the value of your home.
Go here to view Remodeling’s entire Cost vs Value List.
If you’d like personalized advice about the best updates to make on your home, please call me 912-844-9000. I spent years rehabbing homes before I became a real estate agent, so I can tell you how to get the most bang for your buck.
Posted in Learn, Sellers
Summer in Savannah is hot and as the temperature heats up so does the housing market. That’s why Summer is considered one of the best times to sell your home. In fact, seven out of the last 10 homes, we’ve sold have sold for 100% or more of list price.
Demand Is Rising
The Buyer Traffic Report from the National Association of Realtors (NAR) indicates that buyer demand continues to be strong . While it dropped slightly in May, that was likely the result of fewer homes on the market and higher prices.
Less Competition Means More Exposure
The supply of homes on the market is also below the 6-month supply that defines a normal housing market. It is solidly in favor of sellers because there are more home buyers than house sellers. So — right now — you have a better chance to get in front of people looking and willing to buy your home.
This “low inventory” market will not last forever. Many homeowners are ready to move and have just been waiting for their negative equity to turn positive. This is starting to happen more and more due to the rise in home values. Look for many of these potential sellers to see the increases and put their homes on the market in the next few months.
Builders confidence has also increased and this means more “new” homes under construction over the next few years. These new homes will make it harder to sell existing homes. The bottom line is you want to sell when inventories are down — not rising.
Move Up Before Prices Go Up
If you plan to move up to a bigger, more costly home now may present a better opportunity than the future. As prices appreciate (CoreLogic predicts a 5.3% increase over the next year) your buying power erodes, meaning you get less home for your money. Waiting will end up costing you more of your heard-earned money because a higher-price home later means a higher down payment and mortgage payment.
(Keep in mind: Right now you can lock-in a 30-year mortgage for less than 4%. Many experts expect rates to go up by as much as a full percentage point in the next year.)
Call me now — 912-844-9000 — if you’re ready to sell your home. Or you can complete this contact form and I’ll call you.
Posted in Learn, Sellers