How to Increase Your Home’s Value
When you’re getting ready to sell your home, you naturally want to do everything you can to increase its value. But which improvements and repairs are the most likely to do that?
Many major improvements rarely pay off in the near term. It usually takes 2–3 years or longer for your investment to pay off. The better option when you’re planning to sell your home is to focus on the few major upgrades that do pay off (kitchens and baths) and on small, relatively inexpensive changes that will have the biggest effect on potential buyers.
Here’s a guide for the return on investment (ROI) of popular home improvements:
Best Improvements for Selling Your Home
Kitchens — Installing new kitchen cabinets, upgrading appliances that will stay with the home, making sure the countertops look nice (granite is preferred, if possible), as well as updated flooring and lighting are the best kitchen repairs to make.
Bathrooms — The most important bathroom in your home is the master bath. You don’t need to go overboard on the expense of bathroom repairs, but you should focus attention on the tub/shower, as well as the vanity. You’ll earn bonus points from prospective buyers if you make sure bathrooms are well-lit.
Carpet/Tile/Paint — New carpet, tile, and paint can go a long way toward enhancing the appeal of your home.
Improvements That Aren’t Likely to Pay Off
Swimming pools — Swimming pools can be a poor investment if installed for the sole purpose of increasing a home’s value; it’s rare that a pool’s cost will be recovered in a home sale. It can also be a negative feature for potential buyers with very young children.
Adding a third bathroom — If you live in a neighborhood where most homes have only two bathrooms, adding a third one in your house probably won’t bring high ROI.
Building a large addition — If you increase the size of your home so that it’s twice as big as the others on the block, you probably won’t get your money back in the sale.
Highly personal upgrades — The popularity of a project will factor into how much it pays back. An improvement heavily customized to your wants and needs won’t pay back as well as something more common to other homes in the neighborhood. Remember: appeal to the masses, and keep things neutral.
Other Home-Selling Tips
Contact Me for Advice
I’ve worked with dozens of buyers and sellers in the Campbell area over the years. Because I know Campbell neighborhoods so well, I can help you determine which repairs and upgrades will make the most sense for where you live.
I’m happy to visit your home and give you my honest opinion — for free — about where you should focus your efforts before you put your home on the market. Give me a call at (408) 210-2400 or email Debbie@Campbell-Properties.com.