A real estate investor might be faced with a tough choice when it comes time to sell their property. Market conditions are constantly changing, and it could be difficult to successfully spruce up those foreclosed houses.
However, there are several great home renovations that appeal to a majority of buyers. When trying to sell real estate, it helps to cast as wide of a net as possible. Appealing to more buyers increases the odds that somebody will make an offer, and get a property off of the market as fast as possible.
Improvements to avoid
Not every home improvement project is a winner, though. Real estate investors should skip out on a couple of the ones that don't add as much value as they could.
For starters, a swimming pool isn't best idea for a quick re-sale, according to MoneyWatch. While buying and selling in a hot climate might inspire this addition, everyone might not be interested in this upgrade.
Leticia Jimenez, a Chicago-area real estate agent for @properties, told the news source that knowing whether or not possible buyers want a pool is impossible, and it might actually be a deal breaker.
In addition, landscaping is a hit-or-miss proposition. While boosting curb appeal is a must, a real estate investor has to be careful not to go over the top. Upscale landscaping narrows the buyer pool, the news source noted. Too many variables come into play, and what is one person's taste might not be someone else's. In this case, simple is always better.
For investors who are looking to gain a competitive advantage, Courthouse Retrieval System offers mortgage records, property data and other information that can help determine where the best markets for buying are.
Smart home renovations
The two most-used rooms in a home are the kitchen and bathroom. Therefore, real estate investors might want to focus on these areas when making any changes, according to Bankrate.com.
For example, the kitchen has to be extremely functional. Cheap changes - such as a new faucet - typically pay off. If the existing cabinets and appliances are in sound working order, cosmetic fixes might be a better decision for investors. A property will be more attractive if the stove, fridge and dishwasher all match.
For the bathroom, home improvements like a new toilet seat and a pedestal sink are smart choices, the news source noted. Investors who try to sell foreclosed houses might find a number of neglected home components, but the solutions don't have to be costly. Replacement tiles are another good step, and in some cases the floor doesn't have to be removed before placing fresh, easy-to-apply vinyl over the top.
Another highly important upgrade for investors is storage space. Anywhere in the home where additional room can be added is a big plus. The older the home is, the more likely storage is lacking, especially when it comes to closets. Any space-saving closet fixes are a must for improving the value of a property.