3 Tips for Selling a House That Needs Work
So, you've decided to sell your house. Congratulations! Whether you're moving up the property ladder or downsizing, this is an exciting time. But what if your house isn't in perfect condition? Don't worry—you can still get top dollar for your home, even if it needs a little work. Here are a few tips to help you get started.
Tip #1 - The Condition of the Housing Market
If you're selling in a buyer's market, meaning there are more houses on the market than there are buyers, then it's probably not worth it to sink a lot of money into fixing up your home. Buyers in a buyer's market have their pick of properties, so they can be picky about which one they choose. However, if you're selling in a seller's market, where there are more House buyers than there are houses on the market, then you may want to consider making some repairs. This is because buyers in a seller's market may be less likely to overlook minor imperfections in a house since they know they may not find another one that meets all their needs.
Tip #2 - The Cost of the Repairs Needed
Another thing to consider when deciding whether or not to fix up your home before selling is the cost of the repairs needed. Some repairs, like fixing a leaky roof or repairing water damage, can be expensive. If the repairs needed are costly and would require taking out a loan to pay for them, then it's probably not worth doing them since you likely won't make your money back in increased home value. However, if the repairs are relatively inexpensive and you have the cash on hand to pay for them, then fixing them may be worth your while since even small improvements can increase your home's value by 1-3%.
"If you don’t like where you are, move. You are not a tree." – Jim Rohn
Tip #3 - The Type of Buyer You're targeting
The type of buyer you're targeting with your house also makes a difference in whether or not it's worth repairing before selling. For example, if you're selling an investment property and are targeting first-time investors who plan to rent out the property, then making cosmetic repairs may not be necessary since most renters don't care about things like paint color or new appliances. On the other hand, if you're selling a starter home and are targeting young families who plan to live there for at least several years, then making sure the house is in good condition before listing it may be worth your while since these types of buyers tend to be more concerned with things like a functional kitchen and updated bathrooms.
Selling a house that needs work can be challenging, but whether or not you should invest in repairing it before putting it on the market depends on several factors including the condition of the housing market, the cost of needed repairs, and the type of buyer you're targeting. Use these guidelines to help you make a decision about whether or not fixing up your home before selling is right for you!