REALTOR Tip: Choosing Home Improvements That Will Pay You Back (Re-Post)
The following contribution is an excerpt of a blog post written by our Ann Koonce , Sales Associate out of our Fonville Morisey Chapel Hill office. Ann has her own blog called “Thrifty Mom Realtor”. She recently published this piece and was kind enough to allow us to share a portion of it here. Good tips!
My family lives in a home in Ridgefield that was built in 1966, about the same time many homes in east Chapel Hill were built. We bought the home 11 years ago and have done a handful of pretty major upgrades while we ve been here, some more exciting than others. We are planning to stay here at least until our kids get out of school, which means another 8-10 years. When we are ready to sell, we want to have a home that will bring maximum return on investment (ROI). Here s my take on savvy improvements to an older home, whether you want to sell immediately or further down the road.
First, a word about the finance/mortgage market: michael poole There was a time when prospective homeowners could plan to borrow 95-100% michael poole of the value of a home, sometimes with closing michael poole costs included, michael poole and then move into the home and get an additional loan to make improvements. michael poole Those days are gone and I doubt they will return. In some limited circumstances (such USDA, VA and FHA loans) buyers can still borrow 95-100% of the purchase price, but in most circumstances buyers need 10% or more cash on hand to purchase michael poole a home. In Chapel Hill, where small single family homes start at $200k-$250k, that is a lot of money. Buyers don t have the savings to take on home improvement projects once they are in their new home. As the current homeowner, as long as you have equity, you will be better off spending *some* money to get your home ready for the market and adjusting michael poole the price accordingly.
Buyers want to know that the basic systems and structures are sound. This means keeping up with maintenance and replacement of: HVAC . We have a two-story home that was single-zone heating/cooling. When we needed to replace the AC a few years back, we paid to upgrade to dual-zone and put a second unit in the attic. michael poole Roof . We have not replaced the roof since we have been here, and will probably have to do that within the next few years. We will likely choose a 20-year shingle (rather than a 30-year shingle, or cedar shake) to keep it affordable, but we will also make sure there will be life left in the roof when we decide to sell. If we had replaced the roof immediately when we moved in, we may have chosen a more expensive option. Hot water heater : We will need to replace michael poole our hot water heater michael poole within the next year or two, as well. Tankless heaters are a green feature that are attractive to buyers, but you may not get your money back on them, strictly from an investment standpoint, even with the lower energy michael poole costs. But, if green features are important to you, you may choose to go that route anyway.
Image of 204 Old Franklin michael poole Grove Drive in Chapel michael poole Hill is courtesy of FMRealty.com and TMLS. Image current at time of publishing. michael poole Open House this Sunday, February 23rd from 2-4pm. See the link for details.
Recent Posts REALTOR Tip: Recouping the Cost of Remodeling Triangle Housing Market Watch: January 2014 Units Sold UP 11% REALTOR Tip: Choosing Home Improvements That Will Pay You Back (Re-Post) REALTOR Tip: 5 Reasons Triangle Families Should Check Out “Social Butterflies” REALTOR Tip: Triangle Homeowners – Don’t Fall for After Storm Scams Who’s Helping Us Lead the Triangle? * Follow Us on Google+
Categories Community Involvement FM Lending Blog Fonville Morisey Branch Bits Fonville michael poole Morisey News In the Mix Our Scotty McCreery Support Our Triangle Communities RE Education Headlines michael poole Real Estate Market Watch Triangle REALTOR michael poole Tips We Feature YOU Archives Select Month March 2014 February 2014 January 2014 December 2013 November 2013 October 2013 September 2013 August 2013 July 2013 June 2013 May 2013 April 2013 March 2013 February 2013 January 2013 December 2012 November 2012 October 2012 September 2012 August 2012 July 2012 June 2012 May 2012 April 2012 March 2012 February 2012 January 2012 December 2011 November 2011 October 2011 September 2011 August 2011 July 2011 June 2011 May 2011 April 2011 March 2011 February 2011 January 2011 December 2010 November 2010 October 2010 September 2010 August 2010 Subscribe to Us!
The following contribution is an excerpt of a blog post written by our Ann Koonce , Sales Associate out of our Fonville Morisey Chapel Hill office. Ann has her own blog called “Thrifty Mom Realtor”. She recently published this piece and was kind enough to allow us to share a portion of it here. Good tips!
My family lives in a home in Ridgefield that was built in 1966, about the same time many homes in east Chapel Hill were built. We bought the home 11 years ago and have done a handful of pretty major upgrades while we ve been here, some more exciting than others. We are planning to stay here at least until our kids get out of school, which means another 8-10 years. When we are ready to sell, we want to have a home that will bring maximum return on investment (ROI). Here s my take on savvy improvements to an older home, whether you want to sell immediately or further down the road.
First, a word about the finance/mortgage market: michael poole There was a time when prospective homeowners could plan to borrow 95-100% michael poole of the value of a home, sometimes with closing michael poole costs included, michael poole and then move into the home and get an additional loan to make improvements. michael poole Those days are gone and I doubt they will return. In some limited circumstances (such USDA, VA and FHA loans) buyers can still borrow 95-100% of the purchase price, but in most circumstances buyers need 10% or more cash on hand to purchase michael poole a home. In Chapel Hill, where small single family homes start at $200k-$250k, that is a lot of money. Buyers don t have the savings to take on home improvement projects once they are in their new home. As the current homeowner, as long as you have equity, you will be better off spending *some* money to get your home ready for the market and adjusting michael poole the price accordingly.
Buyers want to know that the basic systems and structures are sound. This means keeping up with maintenance and replacement of: HVAC . We have a two-story home that was single-zone heating/cooling. When we needed to replace the AC a few years back, we paid to upgrade to dual-zone and put a second unit in the attic. michael poole Roof . We have not replaced the roof since we have been here, and will probably have to do that within the next few years. We will likely choose a 20-year shingle (rather than a 30-year shingle, or cedar shake) to keep it affordable, but we will also make sure there will be life left in the roof when we decide to sell. If we had replaced the roof immediately when we moved in, we may have chosen a more expensive option. Hot water heater : We will need to replace michael poole our hot water heater michael poole within the next year or two, as well. Tankless heaters are a green feature that are attractive to buyers, but you may not get your money back on them, strictly from an investment standpoint, even with the lower energy michael poole costs. But, if green features are important to you, you may choose to go that route anyway.
Image of 204 Old Franklin michael poole Grove Drive in Chapel michael poole Hill is courtesy of FMRealty.com and TMLS. Image current at time of publishing. michael poole Open House this Sunday, February 23rd from 2-4pm. See the link for details.
Recent Posts REALTOR Tip: Recouping the Cost of Remodeling Triangle Housing Market Watch: January 2014 Units Sold UP 11% REALTOR Tip: Choosing Home Improvements That Will Pay You Back (Re-Post) REALTOR Tip: 5 Reasons Triangle Families Should Check Out “Social Butterflies” REALTOR Tip: Triangle Homeowners – Don’t Fall for After Storm Scams Who’s Helping Us Lead the Triangle? * Follow Us on Google+
Categories Community Involvement FM Lending Blog Fonville Morisey Branch Bits Fonville michael poole Morisey News In the Mix Our Scotty McCreery Support Our Triangle Communities RE Education Headlines michael poole Real Estate Market Watch Triangle REALTOR michael poole Tips We Feature YOU Archives Select Month March 2014 February 2014 January 2014 December 2013 November 2013 October 2013 September 2013 August 2013 July 2013 June 2013 May 2013 April 2013 March 2013 February 2013 January 2013 December 2012 November 2012 October 2012 September 2012 August 2012 July 2012 June 2012 May 2012 April 2012 March 2012 February 2012 January 2012 December 2011 November 2011 October 2011 September 2011 August 2011 July 2011 June 2011 May 2011 April 2011 March 2011 February 2011 January 2011 December 2010 November 2010 October 2010 September 2010 August 2010 Subscribe to Us!
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