To Renovate or Not When the Market is Hot

To Renovate or Not When the Market is Hot

Finance Home Renovations and Upgrades with a Washington Hard Money Loan

If you’re thinking of selling, it’s common to consider making upgrades to your home or property to improve your ROI before listing.

But in today’s red hot housing market, where eager buyers are making offers over asking price, is it worth the bother?

There’s a simple formula to use when weighing the value of a renovation: Will the time, money and effort you invest be greater, equal to or less than the return.

Keep it in mind as you review these three tips.

To Renovate or not to Renovate

  1. Condition of property: What you’re tired of and see as needing renovation may, in fact, not be a deal breaker to potential buyers. Get a pre-list home inspection from a professional to get an idea of potential issues and repairs that may affect your sale. And then assess your home’s overall aesthetic. Does it need a makeover – or will a good cleaning and some paint make it move-in ready.
  2. Condition of local market: A newly renovated kitchen or smartly upgraded bathroom may give you the edge when listings are plentiful and buyer interest is sluggish. But in a seller’s market, it can pay greater dividends to hold off on major upgrades. Make minor repairs and clean up your property for curb appeal, and let buyers willing to pay the price (and then some) take on the big stuff.
  3. Time and cost of upgrades: Do your research and crunch numbers carefully. A lot of renovations do not add significantly to home value and are not recouped at time of sale. And no matter how well you plan, home improvement projects typically run over budget and over time. If you’re going to make upgrades, be selective and choose those that are guaranteed to add value. Have extra cash on hand and allow plenty of time. If you need to sell in a hurry or budget is a concern, make only simple cosmetic improvements to up your property’s appeal or sell as-is.

After considering each of these factors, will time, effort and money expended in renovations cost you more or less than your return? Let that be your guide.

Our Washington Private Money Loans Make Renovations Simple

Once you decide to renovate or invest, you need to have the proper financing. Asset-based hard money loans are a good choice for real estate investors with available equity. We take the hassle out of the loan experience with a streamlined request and approval process. You don’t have to worry about a lot of paperwork or a lengthy wait. And if you’re concerned about your credit or employment history, we’re not, provided you have adequate collateral and a plan for repayment. You can have money in hand in as little as ten days. Complete our simple online loan request form or call our private money lender team at 1-888-477-0444 to learn more about our loan services. Gregory M. Russell is here to help make your goals in real estate a reality!