'Renovation' is a powerful word. It can send chills down your spine or fire up your creative urges. Yet renovation is not a 'black and white' issue. Even a minimalist style can have a touch of drama! There is always a grey area. Should I or shouldn't I?
A Real Dilemma
Whether you are a home buyer or home seller, nobody escapes the 'renovation' question. Will I renovate before I sell my home? Should I buy a bargain and bring it back to life? Will I be able to afford this home when I factor in improvements? Home renovation poses a real dilemma.
Home Buyers
If you buy a home and plan to fix it up, you have to be prepared to live with chaos. The home buyer must be able to handle the 'process' and renovation can range from a mild inconvenience to an intolerable situation. Bathroom renovations come to mind.
'Fixing up' a home can take its toll. Sometimes home owners have to seek out other accommodations while the work is in progress. If individuals have allergies or breathing problems, hotel costs seem a small price to pay to protect one's health.
Yet all renovations come with a cost – quite possibly, a considerable expense. Home buyers need to think about resale values – especially in an uncertain economy. Before home buyers decide on improvements, they must be clear about the cost.
A home inspector can shed light on that area. Be warned, however, that it can be difficult to get enough financing to handle a massive renovation. FHA 203k loans are available (with certain restrictions) for homebuyers who want to make immediate home improvements.
"In this market, you need to be very careful about how much cash you invest to make sure you get that back in resale value," Valerie Huffman, a regional vice president and manager of the Bethesda-Chevy Chase office of Weichert Realtors.
Home Sellers
Home sellers also have to confront the renovation dilemma. Should they renovate before selling or will they just sell at a bargain? If a house is not up to the standard of neighborhood homes, renovation is a wise idea.
If your home is on the market, you do not want to have the worst house on the street. Even when a home is selling for a lower price, the 'below standard' house might not attract buyers. They might decide to pay a little extra and avoid the hassle of renovations.
Removing 'dated' features is a good plan. A 1970s kitchen will not excite the 2010 home buyer. Of course, kitchen renovations are a huge commitment. You have to consider your budget, time constraints, and willingness to live with the upheaval.
Minor renovations can make a big improvement at a low cost. A 'lighter' look is always appealing to home buyers. A fresh and airy feel is a welcoming touch but go easy on bold and bright shades.
You might think that vibrant red would jazz up your space. Remember though that you are the seller and therein lies the root of the real dilemma. People tend to decorate in their preferred style but home sellers must renovate to attract home buyers.
Are Home Renovations Posing A Real Dilemma For You?