Should You Renovate Or Sell Your Home As Is?

You’ve decided to sell your home, so should you renovate or sell your home as is? As with all decisions, there are pros and cons to each choice. If you choose to renovate your home, it will most likely sell for a higher price and faster, but remodeling projects can be costly. And, some don’t have a high return on investment. If you choose to sell your house as is, you save money in the short term but you could miss out on making more money on the sale of your home. It’s important to understand the factors involved and work with your real estate agent.

Home Remodel Cost Analysis

One of the most important factors is the cost of home remodeling projects. First, how much are you willing to spend? Second, can you expect a decent return on investment (ROI) when you sell your home? Thankfully, you don’t have to figure this out on your own. Your local real estate agent is a great resource. Who you choose to work with matters. They should be an expert on your local market. It’s their job to evaluate your home and to know which remodels or home updates are most beneficial in your area.

Doing A Home Remodel

If you decide to move forward with renovations, the next decision to make is whether to undertake DIY projects or hire a contractor. If you are qualified, can you dedicate the time required to finish the project within your home sale timeline? While hiring a contractor costs more, it may be worthwhile. You may want the peace of mind of working with a professional, especially for highly technical projects.

According to the Remodeling 2024 Cost vs. Value Report, on average, homeowners paid approximately $25,000 for a midrange bathroom remodel and it had a 74% ROI.  For a minor kitchen remodel nationwide, they paid about $27,500 and it had a 96% ROI. For your home, simpler upgrades that increase your home’s value may be better. Consider painting kitchen cabinets, refinishing hardwood floors, or installing new bathroom tile.

If you’d love to remodel or update your home but the price tag is just too much, check out the Windermere Ready program. This program provides expert guidance from one of our Realtors, and a loan of up to $100,000 to assist with these types of expenses. The loan term is six months and there are no upfront costs. Also, no monthly payments are due during that time. When your home is sold, the loan is paid off in one lump sum.

Selling Your Home As Is

If you decide not to remodel your home, you may ultimately sell your home for less. But you won’t have to deal with the costs and headaches that can come with renovations. Plus, remodeling a home you are about to sell means the buyers get to enjoy the upgraded benefits, not you. Lastly, choosing not to remodel or make any upgrades will speed up your timeline. But it will also impact your home-buying budget. It’s important to remember the costs of buying a new home.

Market Conditions

Local market conditions are another factor to consider when deciding whether to renovate or sell your home as is. If there’s strong demand and limited supply in your area, high competition among buyers will drive up prices. However, you’ll still have to take steps to prepare like making necessary repairs. And, staging your home gives buyers a great first impression and helps them easily imagine themselves in the space. That being said, sometimes certain projects like adding stone veneer to your home’s exterior (153% recouped at resale) or replacing your garage door (194% recouped at resale) can really increase the value of your home.

Currently, we’re seeing a more balanced market here in Kitsap County. More inventory is coming on the market and so buyers have more options and more negotiating power. When weighing different actions you could take, be sure to factor in your timeline and goals. Also, you’ll want to dive into your local real estate market’s current stats. Below is a brief look at our second quarter’s highlights. Talk to your agent to gain valuable insights. Our agents provide clients with a free Comparative Market Analysis (CMA). A CMA enables you to see what your home is currently worth compared to similar homes in your neighborhood.

Regardless of which direction you decide to go in, we hope you have the data you need to decide with confidence.