To Fix Up or Sell As Is – In Today’s Market!
The question of whether a seller should fix up their home or sell it as is is not a new question in the world of real estate, but in this unprecedented market, it is more frequently asked! In deciding how much to invest before listing your home, there are several factors to consider.
What Is the State of the Housing Market?
A comparative market analysis or home valuation offers an overview of recently sold homes in your area. Your agent should be able to provide you with such an analysis and help you get a sense of whether your home offers more or less than similarly situated homes. For example, your home may have upgrades such as solar, a new HVAC system, a renovated kitchen, or newer windows—upgrades that other homes on the market in your area do not offer.
Which Improvements Can Boost the Value of Your Home?
In order to get top dollar for your home, it makes sense to spend on projects that offer the most return on your investment of money, time, and headaches. Before you decide to elevate the ceilings or install skylights, realize that kitchens and baths carry the highest returns. It also makes sense to compare homes in your neighborhood to your home. If most of the homes have remodeled kitchens, maybe you should consider updating your kitchen prior to listing.
Listing Your Property As Is
When a seller lists a home for sale as is, it typically means that they will make no repairs to the property as part of the negotiation process, nor offer any credits to the buyer to make improvements after the transaction is complete. Many folks believe that because it is currently a seller’s market, they can list their property as is. The fact is, however, that a home that needs repairs has the potential to deliver a lower price. If you plan to sell, it would be prudent to discuss the condition of your home with your agent to determine if as is would be the best option for you.
Create an Action Plan
- Make a list of everything that’s defective, broken, worn out, or out of style in your home.
- Consider obtaining a pre-listing home inspection and update your list with items from the inspection report.
- Talk to your agent before making any repairs or updating/renovating to weigh the pros and cons of your particular home and your personal situation. Work together to make an action plan on what to tackle from your list.
Your home may well be perfect for an “as is” listing, but it could be that a little TLC would pay big dividends on the market.
Debbie Austin is a realtor associate with Keller Williams, Roseville and has been helping clients buy and sell property in the area for 17 years. If you have a specific real estate question you wish to see addressed, contact Debbie at debbieaustin@kw.com or debbieaustingroup.com.
