What should our priorities be?

[pennyk]

We are thinking about selling our home next year and want to maximise the amount of money we get for the property. It's a largish house on a largish block in the Hills District of Sydney, good layout, 4 bedrooms, 2 living areas, great deck, only 1 bathroom. We are in the older section of the area, closest to the city and near to public transport and the M2, close to bushland and in an area which traditionally does sell for a higher price.
Our house is a bit run down, because we had some business failures and had no money to spend for several years, so we have quite a bit of renovation to do before we sell.
If we sold as is now, I think we would probably get around $550 000 for the property. If we renovate completely, I think we have the potential to get up around $750 000. Our current loans, incl investment loan which is against this property are under $400 000.
We definitely need a new bathroom - ours is leaking and falling apart. We also have some old termite damage, which needs repairing, and we will definitely do that.
But, we have a long list of "maybe" renovations that we could do to make more money on the sale. I am looking for some help in prioritising what will get us the best return on the sale.
*put in an ensuite bathroom. I think we would need to do this to get a good sale price. There are very few houses in the area that don't have 2 bathrooms.
*landscaping - I'd like to cut down some trees out the back, put a proper garden in and level off the grassed area, which will involve a retaining wall.
* cement rendering - the house is red brick, so looks a bit aged. Cement rendering will make it look more modern.
* new window frames - if we get cement rendering, the existing windows will continue to look aged, so one kind of goes with the other!
*fresh coat of paint - I'd only do this right before we sold. Our current paint job is not too bad, only a few years old. There are some areas which have not worn so well.
* new curtains/ blinds - there is just one room that we haven't replaced the curtains. but it has LOTS of windows and this would be quite expensive, but the current curtains arent in great condition

Which of these would be your priority? how much would you do, or would you just leave it to the new owner? How much would you look at spending on the reno's? What else would you consider as priorities. Our kitchen is in great condition, so its not an issue.

Thanks!

Pen

 

[lizzie]

as a priority i would put in the 2nd bathroom. this is "expected" nowadays and is obvious if it is lacking.

also do the yard - buyers seem to percieve yardwork as being hardwork ... and a lovely, maintained yard seems to be a positive selling point.

for curtains ... just put in some cheap, but good looking neutral tab curtains ready made from spotlight or curtain wonderland (or similar).

paint inside - a nice neutral colour - and any exterior trim that looks worn.

i would probably put rendering and windows at the bottom of your list - unless you have the extra money to spend.

unfortunately, as you do up the inside further, you will find others things that need doing to bring the rest up to standard. don't render unless you have the money to spare and the realestate recommends it - it's another $20k you may not need to spend.

 

[Jacque]

Hi Penny

Hard to actually say without knowing the property but here's my two cents:

*Consider selling yourself, if given the inclination and time involved. You can advertise on Domain web, advertise in Sat's Domain and get signage for much cheaper than the cost of a REA. Failing that, go for a sole agency agreement with a REA, where you retain the right to also sell the property yourself and you have the best of both worlds

*Get a building report and fix ALL problems that arise from the report. Give as little as possible for your purchaser to negotiate with, as this can be a big call card when it comes to buying with a "less than perfect" established property.

*Do the bathroom. Most buyers love viewing a new one as it's a big ticket item that is a hassle to replace. Ensuites are an expected feature and well and truly add to the property when it comes to price. For less than $10K you should be able to add the same+ in value.

*FIX THE TERMITE DAMAGE ASAP!!! Though, this goes without saying....
Termites scare purchasers away, even when there's little evidence of them in places like fences and yard timber. Hills residents are used to them popping up in b/p reports but you could attract a buyer who's not familiar with the prevalence of them in Hills properties.....

*Repaint if you really need to. If the last paint job was only a few yrs ago, I wouldn't bother unless the current colours are "out there". Certainly repair and patch, if that's all that's required.

*Rendering is a top idea and, depending on the size of the property, can range from $10-$25K. For maximum effect, choose your colour carefully to complement what you already have.

*Windows- I wouldn't worry too much about treatments but if the frames are really dated (what colour are they?) consider repainting instead of replacing. Cheaper and very effective, from the examples I've seen.

*Cleanliness is next to Godliness and it's vital to have every aspect of your property shining clean and filled with light. Even consider decluttering and putting stuff in storage for the selling period to create more space for the buyer's mind.

*Well clipped and neat gardens appeal as well and it might help to plant some fast colour or get some pots for maximum effect.

Good luck with it all and PM me if you want my opinion on who to use as a selling agent. Only too happy to help