BEFORE YOU TAKE THE PLUNGE WITH A FIXER-UPPER, THINK ABOUT RESALE VALUE

Dated: August 12 2020

Views: 58

We’ve all watched the HGTV programs that show a run-down old house transforming into a dream home. Tackling a big renovation project on an outdated property can indeed pay off big—both with the home of your dreams, and with a return on investment. If resale value is a primary concern, consider these factors as you’re making your fixer-upper plans.

Is the price right?
How much can you invest in a home beyond the sale price while staying in line with the value of homes in the neighborhood? You don’t want to improve a home to the point that it’s worth far more than the norm for the area. You’ll enjoy the property while you’re living there, but if you ever decide to sell, your ROI could be limited by the market value of nearby houses.

Low cost, instant equity
There are a lot of low cost and DIY improvements that will add equity almost immediately, such as rehabbing the landscaping and adding fresh coats of paint. These improvements add value to the property almost instantly.

What’s worth spending on?
A little elbow grease goes a long way, but there will inevitably be projects that require some serious spending. If you’re concerned with getting a return on your investment, focus your dollars toward the roof, floors, and the home’s exterior. They’re not flashy upgrades, but they’re important for future buyers. On the other hand, luxuries like a swimming pool are unlikely to see any return on investment.

Blog author image

Dave Jensen

Dave’s been active in the real estate market for years, as a consumer, investor, and Realtor. With his deep experience and his position as one of the top producing agents in the Connect family, Dav....

Latest Blog Posts

How to Choose a House Where You Can Work From Home

People across the United States have begun working from home more frequently. For many, this will be a long-term or permanent change. If your current living and working situation is less than ideal

Read More

ANNUAL HOME MAINTENANCE CHECKLIST

If you’ve been a homeowner before, you know that just like your vehicle needs regular maintenance like oil changes to run well—so does your home.It can be easy to ignore or put these

Read More

BEFORE YOU TAKE THE PLUNGE WITH A FIXER-UPPER, THINK ABOUT RESALE VALUE

We’ve all watched the HGTV programs that show a run-down old house transforming into a dream home. Tackling a big renovation project on an outdated property can indeed pay off big—both

Read More

MONEY TO BUY A HOME – YOU MAY NEED LESS THAN YOU THINK

WAITING?  If you’re hesitant to buy a home because you think it’ll take too much money for a down payment, call me.  A conversation will help separate fact from

Read More