Thinking of upgrading your current home to get a better price when it comes to sale? You might be surprised to learn that some popular additions might not give back as much as you put in. Let’s check out just a few of these fools gold features.
1) Swimming pool
Swimming pools still remain as one of those elements that people who want them are often willing to splash out on – but not everyone wants to deal with the hassle of maintenance, safety and the disappearing back yard.
In order to keep a pool safe, swimmable and pleasant, the homeowner has to spend money on chlorination, regular maintenance, chemical additives, fencing, heating and so on. Plus you may find that, depending on your target audience, a lot of people who would have put an offer down on your home actually walk away due to fears of their young children falling in or hurting themselves.
It’s quite the luxury to be able to simply jump in the pool when there’s a hot, stuffy day, but if you’re looking to squeeze the most out of your property to supplement your next home loan, it might be better to give it a miss.
2) An additional storey
With land in popular cities hitting some very high prices, it’s understandable why so many people will choose to build up instead of out. An additional storey may come to mind when you are thinking of upgrading your current home – who doesn’t want extra space and bedrooms, after all?
However, you might find that overbuilding is just as bad as underbuilding. Extra storeys can cost thousands of dollars per square metre, but it’s also integral to keep the neighbourhood your home is in in mind.
If the homes surrounding you are single storey properties worth $300,000, while your new build is a double-decker home worth a great deal more than that, your potential buyers might pass you up because they think your property is overvalued for the area. Location, location, location is the real estate mantra for a reason, after all.
3) A home office
This one comes with an addendum: home offices can be excellent due to the growing trend towards teleworking and would suit any buyer that is keen to have an office away from the office. That makes them valuable to a select portion of the population, and can be a great value-builder as a result.
However, if you are converting a valuable room into a home office, such as a bedroom, this is where the effectiveness of your renovation starts to drop. The difference in price between a home with two bedrooms and a home office and a three bedroom home without an office can be significant, and remember: Appealing to the home worker may be a great idea, but it’s better to market towards a wider buyer base – and everyone wants extra bedrooms.
On the other hand, if you have a room that is merely stockpiling junk, it might be time to start investing in some additional power points, and perhaps a cheapish set of office furniture to demonstrate the room’s use.
Home renovations don’t have to be expensive in order to add value. Simple things like a new paint job, an exterior update and a well-maintained garden can be enough to create a good first impression, while solid setting and a friendly demeanour could be help you to seal the deal.
Make sure you get in touch with the team at Customs Bank to find out your home financing options.