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URL:  https://boards.fool.com/jiminybillybob-quotdo-you-think-its-easier-to-34285910.aspx

Subject:  Re: Question - renovate? Date:  9/1/2019  5:53 PM
Author:  JAFO31 Number:  14268 of 14302

JiminyBillyBob:

"Do you think it’s easier to sell a renovated house at a higher price than an unrenovated house at a lower price?

For example, I’m going to put my one bedroom condo up for sale and hope to get 300K. It’s old with carpet floors, old kitchen cabinets and countertops, and a bathroom with an old shower stall that dates back to the 70s.

Is it easier to sell the condo with 30k of renovations at a higher sale price of 330k, or leave as is for 300k?

I believe that it’s better to renovate since a buyer would probably not have the extra cash to renovate after putting a down payment on the condo and would prefer the larger mortgage with renovations. Does anyone have any strong opinions or experience one way or the other?"


Most remodeling work does not return 100 cents on the dollar.

See, https://www.remodeling.hw.net/cost-vs-value/2018/

Remodeling, to a certain extent will, broaden your buying base because many buyers do not want to deal with remodeling, they want move-in condition, an my lead to more net proceeds because many buyers overestimate the cost of the remodel (and, IMO, add-in a PIA factor, too). It may also lead to quicker sale as a result, which save you some carrying costs.

So for your example, "Is it easier to sell the condo with 30k of renovations at a higher sale price of 330k, or leave as is for 300k" it might be more like 320 or 235 if you do 30k of remodeling versus 280k without the remodel.

Regards, JAFO
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