Yvette & Dennis Gardner

If you plan on selling your home in the near future, there are a number of things you can do to "Spruce" up the home and make it more inviting to potential buyers. Most of these projects are not very expensive and can add a lot of "WOW!" to your home. New paint, updated light fixtures and bathroom fixtures as well as an inviting entrance and curb appeal can all help get potential buyers into your home.

As for additions and remodeling; they too will help position your home so it competes much better in today's market. However, don't expect to get all your money back from your investment. Latest statistics show that certain projects will bring you a greater return than others. Kitchens and Bathrooms lead the way with an 80% to 85% return on your investment. Depending on the age of your home replacement of windows will also net you 80% or more of your investment. Adding a deck to your home (here in the south) will net you 85% or more. In some price ranges, outdoor kitchens and water features will also give you a great return.

There are also those things you should not do. Adding a Back-up Power generator will only give you a return of 67% and updating a home office only 60%. Contrary to popular belief, adding a sunroom will only add 64% of the cost of your investment.

So, the answer is yes, but you need to pick and choose wisely!

When buyers look at purchasing a re-sale home they are always concerned about the condition of the appliances, plumbing, heating, air conditioning and other systems. And although the home has been inspected there is no assurance that something will not fail after the buyer moves in.

The Home Warranty covers most of these systems for the first year after the buyer moves in and is renewable from year to year. The warranty also covers the seller during the listing period, so if something does go wrong, you're covered too. Not only could this save you thousands of dollars, a home warranty gives the purchaser "piece of mind," making your home a more sound investment.

Pre-Inspection can save you money and heartbreak. Imagine getting an acceptable offer on your home and then having thousands of $$$$$ worth of unknown repairs that are needed, or worse yet, the potential buyer gets scared and backs out. You may think your home is in good shape, but hidden defects behind the walls and under the house can cost thousands to repair. You could be left with renegotiating your price or spending unplanned money at the last minute to make repairs.

Experience shows that Pre-inspections help you get things in order ahead of time, for the least cost, while preserving your final negotiated price and helping to sell your home. Your Realtor should also use the pre-inspection and repairs as part of their marketing plan.

The second inspection you should consider is the Termite Inspection. This inspection is for wood infestation, mold and moisture under the home. If you have not had your home inspected in the past year, have it inspected; even if you have no plans to sell your home. If you have a termite Bond, make sure it is current and can be transferred to the new owner. Most buyers will want assurance that the home has been well maintained. A termite bond is a great investment.

Absorption rate is about supply and demand. It should be used to help the sellers understand where their home is positioned relative to competitive offerings in terms of anticipated days on market. The formula is not complex, but you must have data representative of the specific market your home is in (i.e. size, age, location, features).

If you need to move in 6 months, but the absorption rate is 12 months, you will have to reposition your home such that it will sell in less time. In our area Appraisers typically do not use absorption rate as part of valuing your home, but it is essential in positioning your home competitively and should be updated every month in a rapidly changing market.

Although the Upstate of South Carolina has not been exposed to the same fate as many other parts of the country, we are in a Buyer's Market. There's a surplus of new and existing homes and there are fewer potential purchasers for the homes that are available. It is indeed a great time to purchase.

Unlike a Seller's Market, with low inventories and lots of potential buyers, you have to do more than place a sign in the front yard. You have to properly position your home based on the competitive offerings with the right price and the right product.

For the sellers, they face a challenge in positioning their home in order to get it sold in the shortest amount of time and at a fair market value. Most home owners don't understand that they must get their home "Pristine" both inside and out and "De-Personalize" it. Yes, price, location and condition are also very important factors, but in today's market you must do more!

Get it Ready to Show:

• Light Fixture and Plumbing hardware can take years off the age of your home.
• Fresh Paint can brighten your home, but be careful of the colors you use.
• Clean, Clean, Clean! In order to make the home appealing and don't forget those pet odors.
• De-clutter. "Clutter Eats Equity", so box up items that take away from space and neatness.
• De-personalize. That's right; remove family photographs and your bowling trophies. Even some of your furniture and accessories may turn off potential purchasers. The items that make you feel like it's your home, take away from the potential buyers ability to see the home as "their next home".

Be Careful of Upgrades and Additions:

• They may add appeal, but you may find you get 70% or less of your investment back when you sell the home.
• Energy Efficient additions have a good return on investment. New Efficient HVAC and Appliances along with new windows are among some of the better investments.
• Upgrading kitchen counter tops can also be a winner. However, you should know what the competitive properties are offering before making these upgrades as you can over or under do based on these comparables.

Our Recommendations:

• Consult an experienced Realtor. They can guide you through the process and provide you with expert advice as to positioning your home among the competitive offerings.
• Consult a Home Stager. Most consultations are less than $150 and you get a complete written report of recommendations. If you require other services they will be billed separately. However, many of their recommendations you can do yourself.
• Consult a professional landscape designer. Curb appeal is extremely important for those who drive by and especially for those who view your home on the internet. Internet shopping is used by 87% of home buyers and if the photograph of the exterior is not appealing they will go to the next home without even looking at photos of your interior. Again, many of their suggestions you can do yourself.

Statistics show that if you do the right things you will be rewarded. You will sell your home much quicker and will receive the highest competitive price.