Selling a house in need of renovation: practical advice
Selling a home in need of renovation requires a greater marketing effort. More work will be required to highlight it despite its imperfections. Several elements must therefore be considered and calculated in order to successfully sell it.
Should you renovate before selling?
The answer depends on several factors. A recently renovated home tends to sell faster. This does not prevent some buyers from actively looking for a property to renovate to their liking.
Another point to assess is the market. If properties stay on the market for a long time, a home in need of renovation could take a longer time to sell. In order to be competitive, it could be advantageous to renovate.
At the same time, the profitability of the work must be taken into consideration. Some renovations increase the value of the property more than others. Read our article on renovations to prioritize to better sell your property to learn more.
If you decide to sell your house without renovating it, put the odds in your favour by following the practical advice below.
Practical tips for selling your house to renovate
Establish the selling price accordingly
You will not be able to sell your property to be renovated at a price as high as if it were turnkey. You must take into account its condition and the work to be planned to determine your price.
Make a calculated estimate of the work to be done
If you are selling your property that needs renovation, make sure you have a good knowledge of the work to be done. To do so, proceed with an inspection of the house to identify any imperfections. Then contact service providers so that they can give you cost estimates for the work.
On the one hand, it will help you establish the right selling price. On the other hand, you can provide estimates to potential buyers so that they have a clear idea of the costs and the work to be expected.
Highlight the property
A house in need of renovation does not necessarily mean that it is in poor condition. Despite the work to be done, keep your home clean and uncluttered. A fresh coat of paint is an inexpensive way to refresh your rooms. Highlight spaces that require no work to show off the strengths of the property.
For all real estate sales, you are required to complete the declarations by the seller form, a mandatory document that outlines the condition of the property. You must state everything you know about the property to the best of your knowledge.
By being transparent with the buyer about the condition of your home, you protect yourself against potential legal action. Details about the actual condition of the property also help reduce barriers among buyers.
Along the same lines, show that you are open to negotiation. This does not necessarily mean a price drop. Rather, it is to show that you are willing to negotiate certain terms to ensure a successful transaction for both parties.
Work with a real estate broker
Even if you know your property and the renovations to be done, it can be difficult to establish the right selling price according to the market. Your real estate broker has the tools and knowledge necessary to establish the best selling price for your home according to its situation.
He will advise you and help you market your property in the best possible way to enhance it, whatever the work to be done.