How To Sell A Home That Needs Work
For some sellers the question may arise when they decide to sell of whether or not they should sink a lot of money into renovations. Not everyone has the time or money to put into significant home upgrades when they are planning to move out of the home. Besides, it is not always best to do so as many buyers may wish to change things to their taste anyway. There are some helpful tactics to selling a home that needs improvement, here are a list of tips on how to do it best.
Buyer pool
The most helpful thing to do is to do some research as to who your buyer pool is. Those who buy a home in need of updating typically will seek out potential over perfection. Investors or flippers are usually out to get the cheapest price possible as the transaction is all about money and business. Deal hunters are another group who may wish to live in a certain area but cannot afford most homes unless they are in need of upgrades. These buyers will see the value of purchasing the home today for its location and improving it over time. The third type of buyer may be a remodeler. This buyer is the person who has been outbid a few times and is now opening up their search to homes that may need work which may get less offers on it. Knowing who your buyer is can help you with your strategy.
Curb appeal
Your home’s curb appeal can have a big impact on buyers. This doesn’t mean that you need to build stone walls, fountains and have the best landscaping on the street. What this does mean is keep grass mowed, freshly mulch your beds and planting some flower pots for color and life. Finish with a freshly painted front door that should lead to a home’s interior that is clean and free of clutter. Eliminating a buyer’s idea that the exterior of the home would need work keeps any needed projects limited to the inside.
Small, necessary repairs
It’s one thing if the home is dated, but another if it is dirty or in disrepair. Focus on the latter while you tend to things like fixing broken doors or hinges, caulking tubs and showers, addressing leaking faucets and making carpets free of stains.
Renovation loans
Help some buyers out by referencing the possibility of a renovation loan. While you cannot guarantee amounts or rates to all buyers, having some preliminary information about them may help get them started on what they can do.
Highlight good features and attributes
A perfect example of this is to make buyers fall in love with the space and floor plan of your home. Showcase your home’s open layout or spacious storage closets by keeping it free of clutter and well organized. Staging your furniture by using less of it or arranging it to make rooms appear larger and functioning will be what most buyers will be looking for.
Accurate pricing
Just like a home that has been fully renovated you still need to review the comps and price it accordingly. You can’t overprice it and expect nobody to see the work that it needs. Figure out what the price would be if it was updated, then back out the costs of what it absolutely needs without over or under pricing it.