By Michael Collins
When a homeowner decides to sell, they will always want to get the best possible price that they can. In order to do this, before they sell, they will often take steps to raise the value of their home.
One of the most common ways to increase home value is through cosmetic improvements, both inside and out. Adding things like hedges and shrubberies while improving the health and upkeep of the lawn is an excellent to do this. Also, fresh coats of paint inside and out will make the house look much better. This can also be done with properties that are rented out. By increasing the value of the property, the landlord can charge the tenants higher rents.
Another way to increase property value is to improve and repair parts of the house. Leaky water fixtures should be fixed and any stains or discoloration that has developed as a result of leaks should be painted over. Also, a re-done kitchen or bathroom can make the house seem much newer then it really is. These updated facilities are well worth the expense; “Remodeling magazine's annual cost versus value report, which looks at how much of the costs of remodeling projects are recouped in the sales price, found that on a national average, the most cost-effective remodeling jobs were bathroom additions and second-story additions. In both cases, home owners saw 94% of costs recouped.”1
In today’s society, “going green” is extremely popular. Couple that with high energy costs, and having a “green” home can result in an increased property value. Not only will potential buyers be saving money on energy bills and helping the environment, but green technology, in and of itself, is highly valued by customers in today’s market.
Overall, when selling a house, the current owners should take steps to increase the property value. Despite the expense, the higher sale price will often help the seller recover improvement costs and lead to a greater profit for them on the sale.
References:
1- http://www.forbes.com/2003/05/23/cx_bs_0523home.html
http://realestate.yahoo.com/Homevalues/Increasing_Sellers_Property_Value.html
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