How To Raise The Value of Your Property

Increase your Home's Resale Potential

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One of the simplest ways to profit in real estate investment is to raise the value of the purchased property. Ways of raising the value vary from the very intensive – such as adding a level or a pool – to something as simple as a new coat of paint. As an investor or homeowner, it’s wise to consider what kinds of improvements are most likely to allow you to recoup your costs. Minor kitchen remodeling, siding replacement, bathroom additions, and second story additions tend to be among the most successful home renovations with recoup rates just below 95%. Also, the geographic region must be considered since decks and pools will recoup far more money in the South.

For the most part, however, it’s often more prudent to make smaller, more manageable home improvements; a simple kitchen facelift will usually result in a higher cost recovery than a complete remodeling. The lavishness of design and décor, however, varies from neighborhood to neighborhood and should be taken into account. Additionally, if you’re renovating your home with the purpose to sell rather than merely giving it a personal touch, make sure your designs are neutral and appeal to a number of style sensibilities or are easily changed, such as wall color.

Be sure any necessary repairs to the house are taken care of before it is placed on the market. The price of the repair itself could cost the seller double in negotiations if not attended to in advance. Additionally, the longer a home sits on the market, the less likely it is to sell, so initial presentation is key. Below are a number of simple fixes that can greatly increase the value of a home.

Indoors:

Kitchens and bathrooms are widely known as the best investments for recouping the initial cost required. This doesn’t mean, however, that large renovations are necessarily the best idea. In a kitchen, making the room appear spacious is top priority. Remove all but one or two appliances that sit on the countertop and make sure that everything is properly stored. In both kitchens and bathrooms, fixes as basic as replacing towel racks and sinks or light fixtures and cabinet hardware can make all the difference. As unpleasant as it may seem, removing unique personal touches from a home can often increase its market value. While a built in jungle gym in a play room or a chartreuse dining room might have sentimental value to your family, not everyone will approve of your unique style. Try to put your attachments aside for the good of the sale.

Outdoors:

The most important factor regarding the sale of a home from its outdoor appearance is making a good first impression. If a buyer can see himself living in your house without too much hassle, you’re bound to make a quick and profitable sale. Simple, relatively inexpensive renovations can give a home the curb appeal it needs to sell. Make sure shrubs are trimmed, the lawn is mowed, and landscape is meticulously manicured. If necessary, add some fresh mulch or seasonal flowers. Replacing or repainting the front door can help a home appear more welcoming and, should you decide to repaint the exterior of your home, be sure to do so in a neutral and inoffensive color. Additionally, power washing driveways and decks (even restraining them if need be) can help a home appear cleaner and newer.

Quick Fixes:

No one ever said that raising your home’s property value required spending money. By putting a little extra effort into certain aspects of a home, it will show better with no financial burden. Reduce clutter and try to make the house like a model home; the less stuff there is in a house, the more sellable it is. Also, by removing sentimental and personal items, it’s easier for a potential buyer to imagine himself living there. Another easy way to help sell a home is through indirect, warm lighting, keeping windows open and a generous amount of light in all rooms. The final item not to be overlooked is cleanliness. While your home might seem clean to you, certain smells (pets, cigarettes, pungent spices) as well as any type of mold, mildew, leak or stain can instantly turn a seller away. If you have confidence that minimal cleaning is needed, feel free to tackle this job on your own. However, a small monetary investment to have your home cleaned top to bottom is a small price to pay when it can make a difference of thousands of dollars in the selling price.

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