With the way the housing market has gone since covid, should you renovate before you sell your house? Truth be told, updates and repairs may not be as necessary to sell your house quickly.
However, that’s only because there’s not been as many listings lately. So, home buyers are forced to take what they can get if they want to move.
So, it’s not as easy as saying, “Yes, you should renovate before you sell your home. It’ll help it stand out.” There’s some decisions to weigh first. We’ll explain.
Should you renovate before you sell your home?
The post-covid housing market has been a seller’s market. Low stock has driven up prices and bidding wars are common. In fact, some homes are selling above asking price and even above appraised value.
Before deciding whether you should renovate before you list your home you should contact a real estate agent you trust to see how the market is in your area. Each neighborhood is different and buyers at different price points behave differently. So, a local agent will be your best bet to answer how necessary it is that your home is updated.
However, there are definitely some pros to doing so.
Is it worth renovating a house before selling?
If “worth it” means it brings in more money during the home selling process, it definitely does. There is a caveat to that statement though.
It’s important to choose wisely when selecting what to update. If you’re selling your house in Bolivar, MO or the surrounding Missouri Ozarks, we detailed the best home improvements for resale value in Missouri.
The updates we list there normally return at least 70% of your initial investment and help you get your home sold quicker. In today’s market, they could help spark a bidding war and get closer to – or over – the 100% ROI mark.
Again, it would greatly benefit you to consult with your real estate agent before breaking out any power tools. If you’re not looking to spend a lot to prepare your house to sell, here’s an article we did on very basic things you can do.
Decisions to make before you renovate your home
While updating your house can speed up the selling process and increase the offers you get, it may not always be in your best interest.
It starts with figuring out what the return on investment of any project will be. Your return on investment (ROI) is calculated by taking your property’s current value and adding the expected value of renovations.
As such, here’s some thoughts to keep in mind before spending money to renovate your house:
- How much do the improvements cost?
- How long will the project take?
- When are you hoping to move?
- Where is the money coming from? Does it come with interest?
- What do other homes listed in your area look like?
- What are other homes in your area selling for?
So, for example, if your real estate agent tells you that houses in worse condition than yours are still flying off the market, it may not be worth it to pay for upgrades.
However, if you’re needing to move quickly, a good sale price is important, and the projects will be done in time to list your house, it could be worth it.
The trusted real estate agent in Bolivar, MO
Real estate agents at Partin Real Estate have been selling houses in Bolivar for over 30 years and know the market better than anyone. We can help you buy and sell residential, commercial, and farming properties in Bolivar and the surrounding areas like Pittsburg, Pomme de Terre Lake, and throughout the Southwest Missouri Ozarks.