Renovation for sale?

[Roger Davies]

Hi

Maybe this isn't the right newsgroup to ask this, but I can't find a better one.

I want to sell a house in Cardiff which needs (in some people's eyes) double glazing and a new bathroom and kitchen.

Four Estate Agents have valued it, and said that as it is it might fetch £90k, £100k, £90k and £100k. They all said the cost of renovation wouln't put the price up enough to be worth it, although one did suggest that spending £1k on proffesional decorating might put the value up by more than that.

Do people think they're right?

(It was pointed out in an ourproperty newsletter recently that Estate Agents have an incentive to pursuade vendors to accept low offers because the extra work they have to do if you wait for a good offer isn't worth any extra commission. I don't know if this has a bearing on it.)

Many thanks in advance :-)

Rog

[Steve Firth]

Well if the punters think it needs those things then it probably does.

Which is effectively the same valuation, plus a bit of statistical noise. YOu have to bear in mind that a valuation is only a rule of thumb, you're not guaranteed to get that price and if you need to sell in a hurry it may be better to make your own assessment based on the selling prices in the area and the speed with which property moves. If you need a sale in a hurry, you may have to drop the price.

That sounds right. If you spend the money on glazing, kitchen and bathroom you won't get the money back *unless* you are competent to do all the work yourself. Even then, it will be touch and go. You can't increase the sellign price much over the going rate in the area and the buyers will not pay full market value for any "improvements."

Umm I'm assuming he's telling you politely that the place looks like an unloved mess. A good clean, paint everythign in light colours and getting rid of all the tatty furniture can make a huge difference to the sale price or how quickly the home sells. No one wants to live in a house that is dingy, cramped, dirty and unloved.

Most likely, they are professionals and they do have an interest in selling the property. It's no good to them if it sits on their books forever.

Are you incapable of decorating the house to a decent standard yourself?

[Chris Bacon]

That's what I'd do - the decorating, that is.

[John Rumm]

That is mostly true... certainly installing things like double glazing would cost you way over what you could hope to achieve.

That is true. Cosmetic stuff can have a big impact in the "appeal" of a place.

With the kitchen it is probably not worth doing much other than giving it a good clean and lick of paint. Tatty/unfashionable cupboard doors etc can be painted as well if required.

With a bathroom the same applies unless it has a really naff coloured suite. In which case spending a few hundred on something simple and white to replace it would help. Again if you have to pay to have it installed however it may be an economic non starter.

It would depend on the agent I would have thought. They probably would not be doing you any favours by holding out for the best price since the market is not that strong at the moment.

[Richard Faulkner]

In message , Roger Davies writes

Whose eyes are suggesting that it needs double glazing, kitchen and bathroom? If the kitchen and bathroom are reasonably serviceable, and the windows are OK, not rotten, and are merely "not double glazed", replacing them is probably not necessary to sell. However, if they definitely need replacing because they are knackered, it is probably a good idea to do it.

Having said that, I was an estate agent for 17 years, but I cant tell you the definitive answer, and you will never actually know:

There is no doubt that the house will sell more easily if you make the improvements.

There is also no doubt that the agents will be motivated to get the house on the market now, rather than wait for you to do the work.

They will also have no guilt about suggesting a price reduction if their suggested price proves too high.

In addition, people make money by buying houses in need of a bit of refurbishment.

Decorating is definitely worth it.

[s--p--o--n--i--x]

Personally, I'd re-decorate (Magnolia walls and cheap green carpet where required).

What work does the kitchen/bathroom need? perhaps you can spruce them up with some cheap white tiles anf new lino?

I'd look into getting a *cheap* quote for double glazing..add the cost onto the asking price.

If/when a viewer mentions the windows you can show him the quote and knock the cost off the asking price.

sponix

[John Cartmell]

The big question is "What are similar houses in the area fetching?". If you have bought a house below the average price because it's tatty and do some work on it then you might get a profit. Buy one at the average price then, no matter how good it looks, you'll be hard-pressed to make that extra. You need to buy AND do the work AND get a profit out of a price that is reasonable for the area.

[Séan Connolly]

will let you look at the land registry prices online. Although this gives no indication of overall condition, it should give a you a reasonable impression.

[jakester]

Hi, Before you invest in a kitchen I would make sure it does not require a damp proof course. If you look in past posts on this forum you will see some discussions on dpcs it can be a bit of a con so you may "require" one even if there is no sign of damp, in order for your buyer to get a mortgage or they can buy it with the condition that they get one put in.. There is little point in spending time and money on a kitchen only to find out that all the plaster needs stripped to 1m and the kitchen needs lifted out.

I would be tempted to just decorate. Perhaps in the kitchen consider new door handles and tile paint possible doors. Once you start ripping the place appart you tend end up doing more and more work as you find more problems. I would just try and make it look clean, modern and warm so someone can imagine living in it. If you are busy and slow to do work and it is lying empty with you paying a mortgage on it consider hiring a decorator. If you are keen all the info you need is on this forum.

Jake

[Roger Davies]

Well many thanks for all the amazingly quick responses. Much appreciated :-)

And identical house (probably in good condition) sold for £113,250 in May, but now Estate Agents say the ceiling for the estate is £110k. I'll do some decorating then: I've been looking at the FAQ page and I've done a fair bit of that sort of thing, but I tend not to have the patience to make very neat borders on paint etc, unless I really slow down and try! (With masking tape)

Waiting for a structural surveyor to have a look at cracks in the end of terrace wall. One estate agent said they might be due to ties rusting away. (The house is circa 1970, and I bought it in auction for £28k in 1993, intending to live in it, but had to move and let it out cheaply ....so can't complain too much.)

rog

[John Rumm]

as will

[Séan Connolly]

[Owain]

So, despite needing modernisation, they're valuing your house at almost the maximum.

This suggests that either your house does not need upgrading, or their valuations are optimistic, or both.

It costs nothing to de-clutter and clean thoroughly, and almost nothing to freshen up the paintwork.

You don't have to make borders if you paint everything the same colour. Obviously leave the glass in the windows unpainted.

Ah, yes. Now that could seriously frighten people.

No I suppose not.

Owain

[Lobster]

Nah, the ceiling figure is going to be the maximum possible 'target' value for the house once done up; ie it's probably the highest figure any house on that estate will sell for.

David

[The Natural Philosopher]

Unless you are a skilled builder, yes Trat it up and flog 'as is'

B -in- Law went through similar exercise.

By the time alternative accom and general loss of his time was taken into account, it was a no brainer. Flog and run.

All you need to do tarting wise is to show what it COULD be like if totally renovated...