Hello everyone,
This is my first entry to this forum. Have read some of them and sounds like a great way to share ideas. I am hoping you might have some tips for what we are about to do.
We bought our first investment pty just over two years ago and it has done very well to now. Whilst we have equity in our own home we would like to shift the balance of loans and interest going down the drain, hence our wish to sell.
Are there any specific things we can do to a property to increase its value without much outlay?
Just to give you a better picture: it’s a 3br house; walk-in and ensuite. aircon in main, pergola. we are installing a dishwasher and replaced the cooktop which had seen better days. we are also looking at installing a aircon in the living area. paint work is good (only done when we bought it) carpet is avge.Would things like window furnishings help or it this a waste of $$
Look forward to any comments.
Cheers
EllieEllie Diaz
Depends on the value of the property. Be careful not to spend more than 10% of its value on repairs otherwise chances are you could be over capitalising. What is the garden like? If it needs work, put a good effort into it as this is the first impression, and they count. Has it got a garage or carport? If not, put a carport up as people like to be able to park their cars out of the weather. To answer this question better I need more info on the property. Cheers, Rick[cap]
Thanks Rick,
We bought the property for 180k just over 2yrs ago. we believe it’s worth anything from mid $300k up.
I thought of the garden too. Looks a little tired due to the water restrictions but definitely would consider giving it a facelift.
The dishwasher, new cooktop and reverse cycle in the living area won’t be that much. My husband thought we should put a spa in the backyard but I’m worried that it would be over capitalising and by the time you get it thru council and get it installed will be a while and will be winter before we sell. Also not everyone would like a spa in the backyard (or am I wrong?)
Ellie
Ellie Diaz
Be careful spending to much time unless propertys are still going up in your area if they are on a stand still or starting to go down sell asap. Dont wait to put the spa in . How ever if they are still moving upwards and the people that would be looking in the area are younger people then this might be a good thing . Once again be careful not to over capatalise .One other thing is your property on the higher price or lower price for the area . If on the high side you may not gain much in price , but at the lower end you can get away with spending a bit more without over capatalising Cheers Rick[cap]
ellie, suggest you pop the spa in your own back yard and do some smart but basic landscaping for the sale property. the house sounds reasonably adequate, gardens make an incredible improvement to ambiance and life style.
maybe update noticeable inclusions, blinds or timber venetians in the living areas? sharper light fittings? fresh ceiling white?
furnishing is a tricky one, its either got to be full furnished or empty i feel, i’ve seen houses presented partially furnished, ie. dining table and chairs, lounge, but no beds!! it sort of looks wrong. so i’d think this would be price prohibitive.
just some thoughts, hope something makes sense and helps you out.
cheers
brahms
[email protected]
BrisbaneI would love a spa if I was buying a house but I wouldn’t pay extra for it. No one misses what they can’t see, focus on making everything they can see look A1. Good luck, it sounds like you’ve done really well already.
Good call Mogul75
Ellie,
My advice would be to do the following;
1. Grab anyone / everyone you believe is impartial and experienced in property.
2. Both / all of you get in the car.
3. Drive up the street 50m and do a Uuey.
4. Slowly drive up to your place and stop outside the front of your place.
5. Analyse what you see from the carseat perspective.
6. Buyers have already made up 75% of their decision sitting right there – so whatever they see from the carseat – make it good.
7. If you are able to entice them out of their carseat, by the time they reach the front door they are up to about 90%.IMHO, it does not matter, and hence a waste of money what is behind the front door. It will not change their overall opinion that is already 90% formed.
Before they get to the front door the following has already been established;
Block size
Frontage
Street appeal
Suburb feel
Neighbours
House construction material
Roofline – leading onto termite problems etc
Garaging capacity
Vegetation status – neat or overgrown
Orientation w.r.t light. Winter sun etc
Neatness of facade etcTheir opinion on the above will also be automatically ‘assumed’ to continue on the inside…if they aren’t happy by this stage they won’t be getting out of the carseat and you’ve lost a potential buyer. Hence my earlier comment about the interior costs being a waste of money.
Concentrate on what you can see from the carseat and you’ll pull ’em in every time. Of course, if they are happy and they’ve made it to the front door, you are 90% home. Even if it ain’t special inside, you are only swaying the last 10%…it won’t affect the vast bulk of their opinion which was formed in the carseat.
Hope that helps.
Cheers,
Dazzling
“Go hard or go home”
On the tax side of things, look out for CGT. you may be able to reduce it a bit by delaying exchange to July 1 so it comes into the new financial year, so you will have another year before you have to pay the tax, and can therefore plan more for it.
Terryw
Discover Home Loans
Mortgage Broker
North Sydney
Click below to email meTerryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Ellie, I fully agree that initial eye appeal is the number one drawcard to your property. We have done many properties up over the years, with great results and not a huge outlay. Be very careful not to over capitilize. Many women are heavily influenced by the kitchen and bathroom. These can usually be easily updated with ideas such as new bench tops, change the door handles to a more modern looking handle. New sink mixer. If you need to change electrical appliances try to buy good quality, look around at shops that carry Seconds (great Whirlpool one in Alderley). In the bathroom you can once again change the door handles on the vanity and if the draws are a little tatty just find a good cabinet maker who can make up new fronts for them. I usually like to have my houses simply furnished when selling. If you don’ have a couple of spare beds then have a rip around some garage sales or second hand shops(just make sure their not too musty smelling).I’ve also picked up some neat looking little prints and bits and pieces.
Make sure inside of the cupboards are spotless!!!! A good scrub with domestos and a light scourer will remove most marks and leave them smelling fresh. There are many simple ideas you can use and sometimes a little outlay on presentation will make your property appeal to a wider [biggrin]market and thus increase you chances of achieving your price. Remember, keep it simple, best of luck!!
Linda.
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