Selling Your Home As-Is vs. Maximizing Your Home Resale Value

When a client is considering selling their home in the near future, I am often requested to walk their property and give my recommendations as to what they should consider repairing or replacing in order to obtain the highest offer for their home. Typically, these visits are accompanied by photos of other houses being listed in their neighborhoods and Pinterest projects they would like to see implemented. If I am being completely honest, these visits are ALWAYS accompanied by an unrealistic, modest, renovation budget that I am being asked to follow.

Many of us have moved into a house that needed repairs or have owned a property that isn’t quite perfect with the honest intent to “make it right” in the future. We see the beauty in the house and its full potential. However, life, budget and motivation often get in the way of these changes ever coming to fruition. Often, it is these ideas and designs that clients are asking me to quote. They may want a new shiplap wrapped fireplace, a cute mudroom cubby installed in their main point of access or possibly some updated granite countertops and stainless steel appliances put into their home prior to listing. These types of repairs absolutely add value to the house. However, if they are not accompanied by a complete replacement of stained carpets, dated brass hinges/fixtures, exterior landscaping, decluttering personal effects and removal of pets from a house, then the repairs are not going to increase your listing price and attract a multiple offer situation that every seller longs for.

So what should you think about when deciding if you should sell your home as-is or maximize your home resale value with some updates and repairs? I am consistently advising clients to stop trying to work around their budget by picking and choosing the items that THEY believe will make a big difference. At a minimum, the house needs to be clean, free of as much clutter as possible with the exterior curb appeal enhanced by at least picking up debris and keeping it in neat order. However, don’t expect a prospective buyer to be WOWED by the Pinterest mudroom or ship lapped fireplace after walking through a dated kitchen with deteriorated linoleum flooring and a bathroom cladded with pink tile and blue floors.

There are ways of cleaning up a property getting ready for listing for a modest amount of time and sweat equity applied. I always suggest that if you are looking at choosing between bathroom and kitchen renovations, full interior paint or floor replacement, new roof or HVAC, etc., it is better to address the items that will otherwise limit the type of buyers you can attract. Ask yourself these questions:

1. Does the property have any safety issues?

2. Are all the mechanicals in working order?

3. Is the property clean and functional?

4. Is there any peeling paint (if home is older than 1978)?

By asking yourself these questions, you can determine which items you should address first in order to be sure the property is financeable condition. If the property is currently in financeable condition, but you are still unsure of what items needs to be addressed due to a limited budget, it is better to put the property on the market at a discounted price. Of course, always consult with an experienced, licensed agent in order to get their recommendation to learn what buyers are currently pursuing.

The other option is to reach out to an investor to see what they are willing to offer you for your property in its as-is condition. You may be surprised to learn you can get very close to or more than you need by not renovating or repairing your property at all. The monetary value of not dealing with contractors, real estate agents, showings, scheduling, offers and inspections can quickly add up and bridge the gap if the offer from an investor is less than you were wanting.

If you would like more information on preparing your property for sale, or you are interested in seeking an offer from us, do not hesitate to reach out! We always offer free consultations and Turn Key Property Investments is happy to assist in renovating, selling or even buying your property!