To Remodel and Stay Put, or Not to Remodel and Move?
The answer is as unique as the home owner.
Are you already the nicest home in your area? If so you may want to put the home on the market and move if you have outgrown your home. You don’t want to spend more on your home than you can get for your area.
Out-pricing your area with updates is not usually the case with Palisade properties unless they’re located in a newer subdivision. You don’t want 3000 sq ft when the average for your subdivision is 1800 sq ft. Palisade is a desirable area and there is a need for updated/newer/new homes so if Palisade is where you want to be, any update is welcome and saleable.
Many of our brokerage’s buyers are looking for homes that don’t need repairs. We take calls all the time from Grand Junction agents looking for properties to sell their buyers in the Palisade area that have been updated.
In our current market in Palisade the inventory of all homes for sale — updated or not — is low. Now appears to be a good time to sell, no matter the condition.
Will I get my money back?
Statistics show you cannot expect a full return on the money you put into a home. Average yearly maintenance is typically approx. 3% of the purchase price per year, to keep the home in the condition in which you purchased it. Once the home is updated, the market either increases or decreases in an organic way based on demand. Your return from a remodel comes in your ability to outshine the competition when you decide to list. If you are in tip-top shape you can list at the top of the market and sell quickly. You may get a dollar-for-dollar return, especially in Palisade, but expect about 50% on average.
What are buyers looking for?
The largest buyer pool is the move-in ready market. These buyers love updated kitchens, pretty baths, new floors and paint; they like garages and storage and a home with good flow; they like appealing yards and a pleasant entry. For the best result when selling, finish the projects that you have started as any unfinished business in your home will be harshly assessed by the general public. It will be much cheaper for you to finish them in the long run.
In Palisade there are a lot of septic systems. Get it updated if the system is over 25 years old or if the grass is getting greener over the area.
If you own acreage get a survey beforehand so a new buyer can see where their property boundary is located.
When updating for resale always remember people buy with their eye. Consult designers for complementary colors, don’t go rogue. Also, as with clothing fashion, trendy is cool but classic style is forever. Think about wood floors, mouldings, earth tone colors, and comfortable spaces with good flow. Make additions that compliment the exterior of the home.
This brings me to the main goal, home satisfaction. Start with updates that suit you. If you plan to live in your home for 3 to 5 more years, make yourself comfortable. If you need an addition, build it. If you want new cabinets, put them in. If you love your home, so will others when the time comes to sell. Choose classic styles, update electrical and plumbing as needed, and enjoy your property.
When the time comes to sell and you are shopping for agents, remember, Independent Brokers like Fruit and Wine Real Estate sell the most properties. So call us…we’d love to help you!