Happy Friday!! Today on the blog I am covering two of my favorite topics: renovations & returns! Having recently purchased my first home in March of 2019 (1950's fixer upper) I have researched more on these topics than I could have ever imagined. With my home 98.8% complete, I am so excited to share my newfound knowledge & lessons learned with my clients. The 2019 National Association of Realtors Remodeling Impact Report has also just come out and offers some great statistics to back up what I have researched/learned. Although each buyer is going to have their own personal preferences, but these recommendations will have the highest returns & attract the most buyers.
NAR Impact Report Reno Suggestions:
The impact report measured these items in two ways: a "joy" score out 10 & and value recovery percentage. Here are a few highlights from the report to consider.
- New Roofing
According to the NAR report, adding a new roof to your home will allow you to see a 107% value recovery when it comes time to sell your home! It may not be the most glamorous renovation item, but as far as "bag for your buck" goes, this gets a 10/10.
- New Wood Flooring/Hardwood Refinishing
New wood flooring sees at 106% value recoup & refinishing the existing hardwoods sees a 100%. Bang for buck score of 10/10
- New Garage Door
This one took me by surprise, but I thought it deserved honorable mention in this post because a new garage door will see a 95% value recovery! I don't see too many mangled garage doors in need of replacement in BCS, but this is a great option to consider if you're planning to sell & have an outdated garage door. Bang for buck score of 9/10
- HVAC replacement
According to the report replacing a dated HVAC system will be a 85% value recovery. Living in Texas, everyone knows the important of cool blowing air & a dependable system! Another pro for this one is that it'll come with a warranty, so the new buyers will have piece of mind even after the sale. Bang for buck score of 8/10
- Insulation Upgrade
I was so glad this was mentioned in the report, because I have seen more and more buyers interested in what kind of insulation the homes we are viewing have. According to the impact report, you will see an 83% recovered value. With buyers caring more and more about energy efficiency, this is one that could go a long way with potential buyers! Bang for buck score of 8/10
- Kitchen Renovations
The report gave kitchen renovations a 10/10 joy score. Although I agree that beautiful, fresh, new kitchens matter to potential buyers, it is very easy to find yourself spending too much money on things that won't translate well. For example, your preferences may not match most buyer's. You may have expensive tastes that your buyer won't see the value of. So when thinking of updating your kitchen when prepping for your home, work with your realtor to find affordable selections that will translate well without breaking the bank.
- Interior Painting
Interior painting is probably the #1 thing that comes to mind when thinking of updating your space. According to the impact report a full interior paint job has a 9.8/10 joy score, and an individual room 9.7/10. This usually makes a big impact on potential buyers, if done right!
Alexis' Reno Suggestions:
- Fresh paint!
This is the easiest way to give your home a facelift, without having to break the bank. If you are able, I highly recommend tackling this DIY project yourself. It could save you thousands of dollars while still making your home look ideal to potential buyers. However it is extremely important to make the right call on paint color. It's always best to go with neutral colors that will appeal to the widest range of people. And one of the things that I have noticed in the past year is that buyers are tired of seeing the same dark grey in every remodeled home! Work with your agent to get an idea of what the latest paint colors in style are, so that you don't find yourself painting your home a color the buyers will paint right over.
Buyers, even if they are willing to do "some work themselves", still want to be able to move into a property asap. Because of this, replacing old/worn flooring is very important. I personally am I fan of all hard surface flooring (tile, wood, laminate, vinyl) because it will allow people with kids, pets & allergies to envision the space working for their needs. No one wants to purchase a home & then have to wait weeks to coordinate with flooring installers just to be able to move boxes in. This makes a huge impact & as seen in the report, sees great returns.
- New Roof
The expectation in Bryan/College Station is quickly becoming that a new roof is a given. With hail & wind storms as no stranger to our area, often times getting a new roof will come at a fraction of a cost through your homeowners insurance. This is also important for getting a sale to the finish line, because most insurance companies will not insure roofs nearing the end of their life.
- HVAC repair/replacement & water heaters
This one is huge because of where we live! Try and imagine yourself as a buyer walking into a home with no AC. This is a nightmare for any new homeowner to think about, so if your unit is old, have it inspected & think about taking care of these repairs upfront. Trust me, the buyers will find out about them & will ask for them if not done prior to listing your home!
Even with great research & statistics to back these recommendations up, it is still a decision that will differ from homeowner to homeowner. Our job as real estate agents are to meet with you & determine what is best and necessary for you to reach your real estate goals. So when in doubt, always just ask your agent! I have quickly become obsessed with home renovation & home maintenance, so if you have question please do not hesitate to reach out!
To read the full 2019 NAR Impact Report:
Thanks & Gig 'Em!
Next week on the blog...inexpensive home projects that will transform your space! Here is a little sneak peek!