When considering selling, homeowners tend to start remodeling in hopes of making the home more appealing to buyers. However, with so many buyers competing for a low inventory of homes right now, renovations may not be as important as they would be in a more normal market. Here are a few important things to keep in mind while you’re considering selling this season.
1. Inventory is low
A typical market has a 6-month supply of houses for sale, but today’s inventory sits far below that number. As a result, buyer competition is high, many sellers are receiving multiple offers, and homes are only on the market for about 21 days.
In this type of market that’s moving so quickly, it makes sense to sell your house when buyers are putting offers on homes as fast as they’re being listed. Spending time and money on renovations before you sell might result in you missing a key window of opportunity. While certain repairs on your house are important, our best advice is to work with a real estate advisor to determine which improvements are necessary, and which ones are not likely to be deal-breakers for buyers.
Today, many buyers are even willing to take on DIY home improvement projects to get the home they’re after, even if it means putting in a little extra work. As a seller, your time may be better spent working on small updates, like refreshing some paint and power washing the exterior. Instead of over-investing in upgrades that the buyers may change , work with a real estate professional to determine what will maximize your listing.
2. Focus on a good return
When planning large projects on your home, you and your real estate agent will want to discuss the potential return on your investment and if those projects are worth the cost. Some homes desperately need a kitchen update or bathroom renovation, but definitely not all of them. You might be surprised by how well your house could fair in today’s sellers’ market.
Ideally, homeowners getting ready to move should try to avoid over-investing in big renovations if they won’t make that money back when they sell their house. You may find out that putting your house on the market as-is will help you sell quickly. Every home is different, but a conversation with your agent is essential to make sure you make the right decisions.
Let’s connect today to determine the best way to spend your time and money before you sell.