Are you looking to sell your home and take advantage of the hot market in Canada right now? Here are our best tips to help you maximize the market and get the most for your home – your biggest investment. Whether the market is hot or sluggish, investing in home renovations are the answer to getting more for your home. Read on to find out how to make your home worth more and how you can get it done.
Can I Increase My Property Value?
Yes, you can definitely increase the value of your home, especially when it’s a seller’s market – like it happens to be in most of the country right now. But even if the market is slow, home improvements can help your home sell for more. Keeping your home looking move-in ready is a great selling point at any time. The fact is that right now, the demand exceeds to supply which is why prices continue to rise and homes continue to increase in value by 20%, 40% and even 50% or more. So, you can easily upgrade your home and increase its value quickly with some home improvements.
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How Will Home Improvements Drive Up the Value of My Home?
Buyers are looking for a home that is turnkey – move-in ready. If you can modernize your home and leave minimal work for the new buyer, it will sell higher than a home that needs plenty of work. Home improvements can turn an old home into a brand new one. Given the limited supply of homes across the country, remodelling an old home is a great option, but not all buyers have the collateral or the time to invest in this.
As a home owner, you can borrow money against your home to invest in the remodelling project and then get that money back when you sell. Property values increase every year but the homes with the least amount of work for potential buyers to have to put in consistently sell for more. Investing in your home is a great way to increase the value of your home and secure your investment.
Which Home Improvements Are the Most Valuable?
Home improvements can get lots of added value for your home, but some renovations are worth more than others. Here are the top renovations buyers like to see in a home they are potentially going to buy.
Kitchen
The kitchen is one of the most important rooms in the house. It’s the first thing buyers look at and it can make or break a deal. An outdated kitchen that needs to be renovated will have a lower value than the same home with a brand-new kitchen. The time and investment needed to remodel a kitchen is not feasible for a lot of home buyers, particularly if this is their first home or they are moving in quickly. With a completely renovated kitchen, buyers will overlook lots of other things just to avoid having to move into another home that needs a complete remodel. New floors, a modern backsplash, freshly painted cabinets – all of these things can add so much value to your home. To save money on your renovation, you can choose to sand and repaint cabinetry because it is half the cost of new cabinetry.
Bathrooms
An updated bathroom is always appreciated by potential buyers, especially an ensuite bathroom. It’s also a good idea to make some minor updates to the main floor powder room since guests will see it the most. You don’t need to invest much in a powder room, but it’s important to invest in an ensuite bathroom since the owners will use it very much. This is another big renovation job that can turn new homebuyers off. If they have to completely rip out the bathroom, they may prefer to find something that is move-in ready.
Main Living Room
If you’re willing to remodel the entire home or at least most of it, the main living room is a good idea to invest in also. It is the primary room most people see when they enter the home. The good news about this type of renovation is that a few budget-friendly fixes can really transform the place. You can replace old tiles or re-stain wood flooring, add draperies and updated blinds, and paint the walls. Less is more when it comes to the living room so a fresh, clean, open space is all you really need. The new buyers have to be able to envision themselves in that room so less you have going on in there, the better.
Maintenance
Whenever you’re renovating, you can’t just think of the aesthetics. You need to ensure the home is well maintained and whatever is broken must be fixed. You want a nice look, but the home must also be functional. Fix leaky faucets, repair dents in the wall or wood flooring, repair or replace old HVAC systems, and other repairs that the home needs to function. Regular maintenance of your home can help you avoid huge and unexpected repair bills and it can make your home much more valuable than comparable homes in the area.
Outdoor Patio
Adding a gorgeous patio oasis to your home is a huge selling point. Lawn maintenance, new fencing, paved flooring, and a built-in fire pit can be very helpful in adding value to your home. A semi-permanent structure like a gazebo or a pergola to provide some shade is a must. You can add a pool if you really want to increase value, too. Most homes are listed for sale in the spring. Buyers will fall in love with a gorgeous backyard. If there is work to do inside the home, they can always continue to entertain at their new home on the patio.
Driveway and Front Lawn
You don’t need to invest in the most expensive stones but you do want to make sure your front lawn looks clean and well kept. Try to ensure the grass looks green, weeds are removed, broken or cracked pieces of cement or stone are repaired, and consider a professional cleaning service to pressure wash your stones and seal them. This can add so much curb appeal to your home and it can be done on a budget. You can invest a little time and a reasonable amount of money and it will dramatically affect the value of your home. When potential buyers pull up, they should see a home that looks beautiful and well-kept – a home they would want to live in!
Make Your Home Energy-Efficient
This is a very important improvement to make for resale value. Everyone is looking for ways to reduce their carbon footprint and minimize their energy bills. Consider shopping for eco-friendly window treatments. You can also upgrade to motorized blinds and other smart home technologies. This can help conserve energy, protect the planet, and also make the home much more modern and convenient.
Finish Any Unfinished Areas
Unfinished basements are a major eye sore and it tells a new buyer one thing – they will need to invest more. Finish any areas that are undone and ensure it is move-in ready. This can add so much value to your home. People are willing to pay a little bit more just to avoid the headache of living in a renovation zone right after they finally get settled into their new place. Exposed beams and insulation will not be too helpful if you’re trying to get the most for your property.
Add More Square Footage
Adding an extension to provide more space in your home is a great selling point. If you can extend your kitchen or even build a solarium, you can add so much value to your home. In any market, adding more square footage to your home is great for resale value. More space means new buyers can love it in longer, especially if they are young and looking to start a family. Anywhere people can envision laying down roots is a place that is tempting to a buyer.
How Can I Afford Home Improvements for Resale?
Home improvements, especially major ones, can cost a lot of money. This brings up a very logical question – how can I pay for this? A major home improvement that is done to increase the value of your home is money you will get back so don’t be afraid to take out a loan to help you pay for it. If you do the renovation right, you will get that money right back and then some!
You can take out a mortgage on your home or borrow against your home based on its current value. Even if you have bad credit, you can still get a loan if you have collateral – your home! There are also plenty of direct lenders who will base their decision to loan you money on your collateral and your income instead of your past credit history. Direct lenders like BHM Financial, Cash in 24, Canoco Consulting, and other similar lenders can help you get the funds you need no matter what you credit history is like.
How to Make Sure Your Renovation is Worth It
In order for your home improvements to increase the value of your home, they have to add value that the consumer wants and needs. You may want to add an elevator in your home to boost the value but will buyers in your area pay that much more for this feature? Is your home located in a neighbourhood where this kind of add-on is considered valuable? To ensure you make the right decisions when it comes to make home improvements to add value to your property, here are some tips to keep in mind.
Check Comparable Homes
Before you get started, check comparable homes in the market. Make note of what improvements they do and do not have and what the asking prices are. This can help you figure out what budgets most people in your area are shopping around with and what the competition is like. You will know exactly where to improve and where to save your money.
Research Your Potential Buyers
Find out who your potential buyer is. Is it a young family? A retired couple? This can help you determine what types of home improvements would be most beneficial in your area and what budget restraints the consumer will have. You should also look up neighbourhood statistics to see what the general age of residents is as well as their family income. Depending on how much disposable income your potential buyers are likely to have, you will be able to determine which improvements are worth the spend and which are not.
Remain Within Budget
Once you have figured out which home improvements are the most beneficial for your home, outline a budget. Cal around to get quotes and make a list to keep track of it all. You can then look at your list and come up with a reasonable budget for your home improvement. The next step will be to calculate the total value you think you can acquire for your home and deduct moving expenses and other closing costs. Then you can evaluate whether or not your renovations are worth it and cut out whatever you don’t think it necessary.
The next step is key: stick to your budget. You’ve gone to all the trouble of figuring things out and calculating everything. To make sure your home improvement spend comes back to you when you sell by increasing the value of your home, stick to that budget. Every cent you go over is a cent less in your pocket when you do finally sell.
When Is the Best Time to List My Home for Sale?
The best time to list a home for sale is in the spring time. This is when the biggest group of buyers start doing their research and visiting homes for their big summer move. To make sure you manage to get your home ready in time for the spring rush, start your renovations the previous summer. The summertime is the best time to get started.
Meet with a contractor and see if they can give you an estimate on how long the work will take. A kitchen improvement can be done in a few months. If you are hoping to overhaul your entire home you can expect it to take a little bit longer.
Are There Any Budget-Friendly Home Improvements that Can Add Value to My Home?
Yes, you don’t necessarily need to spend $50,000 to improve your home and make it a more desirable buy. Here are a few tips for wallet-friendly home improvements that can also add value to your home.
Trim the Hedges
Keeping your garden and bushes well-kept is a majorly important factor. It makes the house look cleaner and neater and therefore, more desirable. If your weeds are a foot tall, the entire home may look less appealing.
Pressure Wash the Outside
The driveway and even the house itself can benefit for a deep pressure washing service. This can remove years of dirt and grime from your bricks and make your home look so much nicer. Curb appeal is very important in selling your home.
Add an Irrigation System
A sprinkler system is an affordable addition to your home that can be very appealing to potential buyers. You can even do it yourself to save a little bit more money. An automatic sprinkler system is a perk everyone enjoys and it helps maintain the lush green look of the lawn outside.
Repaint Mouldings
The mouldings are a beautiful fixture but they can look old and worn fast. Be sure to give them a paint before you invite potential buyers into your home. Freshly painted mouldings make the house look clean and fresh.
Change the Cabinet Hardware
The kitchen cabinets can look completely transform the look of the room. This is a quick, affordable way to modernize your kitchen and make it look more appealing to potential buyer.
Remove Carpeting
Carpeting can stain easily and over the years, it can make the home look even more dated. Removing the carpets and exposing the natural flooring underneath can open the space and make it look more modern.
Repaint Exterior Doors
The garage door and front door, as well as the window frames, can be painted to give the home a more modern look. If the doors are badly dented or damaged, you can also consider replacing them altogether. It can drastically improve the curb appeal of your home.
Investing in Your Home
Making the decision to invest in your home is one that you will benefit from in the future. The key to selling your home in any market at an increased value is to maintain and improve it. Remember, you aren’t spending money to improve your home, you are investing in it. Today’s home improvements can make your home worth much more tomorrow.