When thinking about selling, Boston downtown condo owners often feel they need to get their home ready with some remodeling to make it more appealing to buyers. However, with so many Boston real estate buyers competing for available homes right now, renovations may not be as vital as they would be in a more normal market. Here are two things to keep in mind if you’re thinking of selling this season.
A normal market has a 6-month supply of properties for sale, but today’s housing inventory sits far below that benchmark. According to the National Association of Realtors (NAR), there’s only a 1.9-month supply of homes available today. As a result, buyer competition is high and homes are only on the market for about 21 days, during which time many receive multiple offers from hopeful buyers.
In a competitive market that’s moving so quickly, it makes sense to sell your condominium when buyers are scooping homes up as fast as they’re being listed. Spending costly time and money on renovations before you sell might just mean you’ll miss your key window of opportunity. While certain repairs on your home may be important, your best move right now is to work with Boston real estate broker to determine which improvements are truly necessary, and which ones are not likely to be deal-breakers for buyers.
Today, many Boston condo buyers are more willing to take on home improvement projects themselves in order to get the home they’re after, even if it means putting in a little extra work. Home Advisor explains:
“When it comes to the number of home improvement projects completed, Gen Z homeowners are leading the pack, completing an average of 3.5 projects. Millennials closely follow Gen Z, taking on an average of 3.3 projects, followed by Gen X at 2.8 projects. Boomers completed an average of 2 projects, and the Silent Generation completed the fewest projects, on average, at 1.8 per household. Compared to 2019, millennials are spending 60% more on home improvement and doing on average 30% more projects.”
In this Boston real estate market, it may be wise to let future homeowners remodel the bathroom or the kitchen to make design decisions that are best for their specific taste and lifestyle. As a seller, your dollars and time might be better spent working on small cosmetic updates, like refreshing some paint and power washing the exterior. Instead of over-investing in your home with upgrades that the buyers may change anyway, work with a real estate professional to determine the key projects that will maximize your listing, without overdoing it.
When planning any bigger projects to tackle, you and your real estate agent will want to discuss the potential return on your investment and if those projects are worth the cost. Some homes do need a kitchen or bathroom renovation, roof repairs, or other major work, but definitely not all of them. You might be surprised by how well your house could fair in today’s sellers’ market. Hanley Wood states:
“The 2020 Cost vs. Value report shows a predictable increase in costs for all 22 remodeling projects but a consistent dip in the perceived value of those projects at the time of home sale, as estimated by real-estate professionals in more than 100 metro areas across the U.S. This results in a slight downturn on the return on investment for nearly all projects relative to the trends we saw in last year’s report.”
Ideally, homeowners getting ready to move should try to avoid over-investing in big renovations if they won’t make that money back when they sell their house. According to the 2020 State of Home Spending report from Home Advisor:
“The average household spending on home services rose to $13,138, an increase over last year’s survey results, where homeowners who did projects spent $9,081 on average in 2019.”
Before you renovate, contact a local real estate professional to see if it’s the best course of action. You may find out that putting your house on the market as-is will help you sell quickly, and it may result in the best return on your investment. Every home is different, but a conversation with your agent is mission-critical to make sure you make the right moves when selling this season.
Should you renovate your downtown Boston condo before listing it for sale? Some experts say probably not, however, if you’re going to do it follow these Boston real estate tips (scroll down).
Downtown Boston real estate brokers usually recommend it, but should you update your Beacon Hill condo for sale? Conventional wisdom says updating results in a higher sale price and a faster sale. That’s not always the case; Boston downtown real estate is not a one size fits all business and a dollar in is rarely a dollar out.
Who Says You Should Update Before Listing?
Every Boston condo for sale will sell; the only question is what the market (current buyers) will pay. The single most important variable is the micro-market condition. Where is the Boston condo, what’s the price point, and how’s the market?
Not every home requires significant updating before listing; fresh pine straw, pressure wash, decluttering and colorful flowers might be just fine. Money can be saved working with a professional agent to analyze the market and determine what, if anything, is genuinely required
Every Beacon Hill condo sells at some point. The best outcomes have three key factors aligned when compared with the competition; price – exposure – appeal. The home must be accurately priced, must be easy for both agents and the public to find and it must be appealing. So:
1 – Work only with professional Boston downtown real estate offices (GOOGLE )
2 – Identify the most likely buyer (know and target your audience)
3 – Review trends over the last year and anticipate the next several months
4 – Identify any areas requiring special attention.
5 – Price it competitively (in line with closed sales, what is an appraiser going to see?)
6 – Negotiate realistically (it’s business, don’t take anything personally)
Please also note if trees and shrubs around the condominium building need to be trimmed of removed hire a professional tree service company. You can check the services of https://www.homeservicedirect.net/tree-service-pay-per-click/ to help you solve your problem.
Boston downtown real estate isn’t rocket science, but 10% of the agents do 90% of the business for a reason. Experienced agents understand the nuances and trends, know how to position homes to successfully sell and understand how to manage things to the closing table.
For more information please call me at 617-595-3712
Thumbs up to Kay Grant for the blog idea
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