Given the current trends of the housing market, generally speaking, “flipping houses” is not very popular, nor profitable – of course depending on the area.
However, when it comes to putting your house up on the market, in efforts to remain competitive you may feel the need to remodel Or, more importantly – and recommended – you will inspect, and if discovered, make the determination to modestly invest in practical, meaningful repairs of walling, roofing, or other critical aspects of your home that requires it. After all, the last thing you want is to lose major money or potential profits on your bottom-line sales price because the buyer demands a decrease in price, or worse, it fails inspection because you didn’t make the necessary improvements.
Depending on your technique and reasoning, as well as experience or familiarity with the market, remodeling just the kitchen alone could easily cost you $20,000-$40,000 or more. And sadly, in many cases, people who take on house remodeling projects underestimate the total costs of hiring a professional architecture, the parts, labor, or other hidden fees not discovered until later on. Worse, the last thing any seller wants is to go into debt, or even have to take out additional loans all for the sake of remodeling – to sell – their current home. Often, this will deplete the entity profitability and purpose behind reselling your home on the market after remodeling.
If in doubt, try to get in touch with a house remodeling expert, or even better, someone with experience in “flipping houses”, a trusted loved one, family member, or friend. Navigating this area of expertise can seem tricky, and if misguided or underprepared it is easy to face unnecessary costs, or worse have regrets later on.
In some home remodeling situations, people will add too much of a “personalized” touch and find that the remodeling specifications they had done are simply not appealing to the average buyer. Or put simply, it’s just not “plain” enough.
A lot of people don’t realize it, but, ultimately, just adding a smaller simple ½ bathroom or “powder room” can make all the difference in adding both desirabilities and appeal to your home if it is older, or only currently has one bathroom.
Generally speaking, those that rely on or invest in unnecessary costs and modifications like an outdoor pool, in-ground pool, Jacuzzi in their bathroom, extended master bedroom, or an unnecessary patio often will lose money, and even potential buyers because of safety issues or a disagreeable price. In other words, when in doubt, try to remain neutral with any major house remodeling you have done. Simply browsing magazines, online websites, or housing market guides can be insightful to you as both a homeowner and seller and even help promote an awareness or ability to see things “as the buyer”.
Even better, if you want to really prepare yourself for the open housing market, go to a few auctions, house tours, and search through listings to see what relative, nearby, and similar homes have sold for, or are currently listed for. This will not only help you be competitive but, it can also help you save tens of thousands of dollars or more in unnecessary house remodeling.
Picture Credit: HybridGC