Whether you’re planning to live in your home for many years or considering selling it soon, you should know that some home improvement projects pay off more than others. The bottom line is, most of the time, you won’t recoup the full cost of a renovation project when you sell your home. This goes for selling in any market, but especially right now. Since we find ourselves in a seller’s market, you might not need to do any home improvement projects right now. Let’s look at why.
Low Inventory
Right now, there simply aren’t enough homes for sale on the market. Low inventory means buyers are more likely to overlook cosmetic or minor repair jobs. If there were plenty of homes on the market, that wouldn’t be the case. But as it stands right now, buyers are willing to do home improvement jobs themselves if it means finding a home in their price range. The graph below shows just how quickly homes are selling. In fact, in September, homes in Long Beach spent an average of 27 days on the market! That’s down 27% from this time last year! On the flip side, the inventory of homes was down 7.5% compared to last year. So home buying is getting more and more competitive.
How Much Renovation Money Can You Recoup?
Of course, nothing is black and white. Some home improvement projects will increase the value of your home and recoup some of your money. Take a look below for an idea of what you can recoup based on different projects. While kitchen remodels are extremely popular, it doesn’t offer as much money back as something basic like replacing a garage door. This is why it is so important to consult with an experienced, local real estate agent before embarking on any renovations.
Ready for Prime Time?
If you’re considering making a home improvement before selling your home, please contact us. We can give you advice on what will grant you the most bang for your buck. Or, we may tell you that you don’t need to do anything at all! It’s possible your home could sell as-is. To decide this, you need a local expert like The Shannon Jones Team. For more information on your individual situation please fill out the form below or give us a call at 562.896.2456! Thanks and we look forward to helping you get the most out of your home’s value!
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