As a listing agent, I am often asked by homeowners what they can do to add value to their home. Homeowners should always be aware of the improvements that are being made to the houses around them. There is a need to “keep up with the Jones”, but only when the majority of properties in a neighborhood have the feature. If your property is in the minority of homes that has not upgraded to granite counter tops, then the buyers perceived value (or lack thereof) will be significantly greater than the appraised value difference.
Perceived value seldom has anything to do with appraisal value. Perceived value is the difference in the buyers’ eyes of what a house has to offer. For example, which has more value…brick or stone…jetted tub or luxury shower…bonus room or workshop? These items may have similar appraisal value, but the perceived value to buyers cannot be assumed, as it is individually determined.
So how can you add perceived value to a home when it is so individual? You make you house look loved and well-maintained. You do not have to spend big dollars to make it happen. If you home is in good condition, then making it look loved is easy!
Change out construction sheet-mirrors with framed mirrors, change out faucets for gooseneck styles. Replace theater style lights with teardrop style lights. Paint or replace gold or brassy fixtures with brushed nickel or oiled bronze colors. Update cabinet hardware. Spruce up landscaping. Landscaping is the first impression. Make your house a home someone will relax into as soon as they approach the driveway. Remove wallpaper, paint in neutral relaxing colors. Remove curtains, and open blinds. Sunlight makes rooms look larger.
These are all perceived value items that cost little investment in a home. You may even find that you love your home more as well!
What to zero-base your real estate company and make the sales side 100% profit? Sounds to good to be true? NOT!
Wendy Harris is the Broker Owner of Team Harris Real Estate and a Business Consultant and Coach for Corcoran Consulting & Coaching specializing in residential real estate and property management.