Before selling your home, you need to decide whether to sell it the way it is now or invest in some repairs. Before making that decision, you should consider a few factors, like the condition of your house and the state of the housing market. Selling your house as-is even though it requires major repairs will result in lower profits. Certain improvements can significantly boost the value of your home, thereby resulting in higher profits. However, some of the repairs made to improve the odds of a quick sale may turn out to be a waste of time and money.
Before Fixing up Your Home
Before starting any repairs or improvements, a financially savvy homeowner estimates the cost of the intended repairs and compares it to the market value. Do not be tempted to make extravagant improvements like lifting the roof or installing skylights. Certain repairs carry high ROI, while some don’t make much of a difference.
Some of the common improvements with a high ROI include:
- Repairing faults in the kitchen
- Improving bathroom fixtures
- Replacing siding with fiber-cement or vinyl
- Replacing windows
- Adding a deck
- Swapping in a steel front door
Looking at some other homes for sale in your area can help you decide which improvements are necessary. Note the conditions and amenities in those houses and how it affects the market value.
While Fixing up Your Home
Make a note of all the faults or damages in your home. Some seemingly minor flaws can discourage buyers because they might wonder what else has been neglected in the house. Do not underestimate the importance of replacing dead light bulbs, fixing faulty sockets and ceiling fans, and replacing broken window glass. Although these repairs don’t cost a fortune, they can discourage buyers from buying your home.
Selling a House “As Is”
The cons of selling a house without repairs are that there might be fewer offers and lower profits. However, there are some situations when it makes more sense to sell the house as-is. It is a good option if the home needs extensive or significant repairs that will run into thousands of dollars, like holes in the walls, urine-soaked wood floors, major electrical problems, leaking faucets, and a bathroom tub that has fallen through the joists. If your house has up to three or more of these damages, it can cost you a lot to repair them, with no promise of an ROI that pays you for the repairs. These damages will take weeks, if not months, to repair. Therefore, you should not expect to be paid in gold for a home that requires a total facelift before the buyers can move in.
Before selling your home, make sure to explore the housing market and check out other homes that are up for sale in your area. This will help you decide whether you need to repair your home or sell it as is.
If you need professional assistance in your mortgage application or home sale, Reach out to the experts at Andraya Coulter. We can help you navigate the many tricky aspects of selling residential properties