No one should complain about the real estate market in the US for being too uneventful. On the contrary, it sets new challenges for keen homebuyers, investors, and desperate property sellers almost daily. As of 2023, the housing market must deal with inflation, low inventory, pricey homes for sale, and exorbitantly high mortgage rates.
No wonder sales numbers dropped dramatically in the second quarter of 2023. What happens when a homeowner intends to sell their property under such dire circumstances? First of all, they must be highly creative to secure a successful home sale!
Why everyone needs an expert when selling real estate
Contacting established and experienced local real estate agents can be the right move to boost your chances of selling your home faster and for a significant profit! They will bring you up to speed with the most inventive home-selling techniques during inflation. They dispose of all the essential property appraisals and real estate valuation knowledge. Also, they have the best budget-friendly home improvement ideas at their fingertips!
Why is the kitchen so crucial?
Many consider the kitchen the heart of a home. It’s where most social interactions take place while the hungry family waits for dinner. Potential homebuyers will scrutinize your kitchen, “leaving no stones unturned.” On the one hand, selling a house with an outdated kitchen isn’t impossible. Yet, you risk a somewhat lesser return on investment. So, is upgrading a kitchen worth it? Yes, and no.
By all means, you can consider ingenious methods to revamp a kitchen on a budget! However, contrary to popular belief, a complete kitchen renovation isn’t always necessary before putting a house on the market. After all, we must take into account the costs and benefits of a kitchen remodel.
It’s about the money you invest in a kitchen before the sale.
An entire kitchen renovation can be expensive, often costing tens of thousands of dollars. Once you invest such a considerable amount in your kitchen, you might not want to sell your house anymore. The need for new cabinetry, appliances, countertops, fixtures, and flooring typically drives the high price tag.
You might be at the top of your game regarding DIY home improvements. However, at a given moment, you’ll still need to hire contractors (and designers) to oversee the project so everything flows smoothly. That adds to your overall expense. For homeowners looking to sell their house, such a substantial investment may not be justified.
Crunching numbers and calculating the return on investment (ROI)
According to Zillow, the national minor kitchen remodel ROI is about eighty percent; with an average cost of $22,000, you can expect a nearly $17,200 return.
Undoubtedly, a kitchen renovation will increase the value of your home. Still, there’s no certainty that the ROI will be proportionate to the amount you invest. Suppose you spend a whopping $10,000 on your kitchen upgrade. You mustn’t count on adding that sum (or a more substantial one) as a bonus to the final revenue after selling your asset.
Most notably, real estate markets can be unpredictable. Keeping up with current or future kitchen trends will not necessarily increase the final sale price. Because personal tastes have a major saying here. Buyers will have their own preferences for kitchen design. The business may go south if the kitchen radically differs from what they imagined.
Therefore, consider the local market trends! Also, consult real estate professionals to understand the potential ROI before you commit to a full-scale renovation.
Prepare yourself for the sale with pre-inspection and disclosure!
Before listing the house, homeowners can apply for a pre-inspection to identify any burning issues that need a quick fix. Should you disclose them to potential buyers if you can’t repair them correctly and in time? Yes, because it demonstrates transparency and builds trust.
This approach can help put concerns about your kitchen’s condition to rest. At the same time, it mitigates the need for a complete renovation, which could lead to eliminating the need for expensive improvements.
Why not target broader buyer preferences?
Rather than opting for a complete kitchen redo, you can focus on minor, budget-friendly updates that appeal to a broader range of buyers. Simple cosmetic improvements, such as fresh paint, updated hardware, and modern lighting fixtures, can make a considerable difference in the kitchen’s appearance without breaking the bank. However, avoid putting new floors on old ones instead of removing them. Similarly, costly countertops on out-of-date cabinets are a huge red flag.
Provide breathing room for personalization!
Most buyers will prefer a home they can customize according to their likings and needs. The results of a kitchen upgrade may not bode well with their vision. To your greatest surprise, they can even negotiate your initial price down to provide resources for their future changes. Leaving the kitchen with a neutral design and minor updates will give buyers the flexibility to personalize the space, which could lead to a faster sale.
Secure the perception of potential in your kitchen!
First and foremost, your buyers must see the potential in your house and, respectively, kitchen. You can accomplish this by repainting your kitchen with neutral colors, like beige or white. Then, an ample kitchen storage room is paramount. No one likes a cluttered kitchen, so remove unused cabinets and appliances!
Absolute must-have for an inexpensive but efficient kitchen revamp!
Changing the cabinet hardware proves to be an instant seller for buyers. A new cabinet paint job is a hit. A new faucet will make buyers believe you love and care for your kitchen!
Though updated (eco-friendly and sustainable) appliances are a somewhat costly investment, they will convince prospective buyers that they hit the jackpot! Suppose you’re not into betting money on updating your kitchen with ultimate intelligent home gadgets. Nevertheless, a new light fixture will be worth every cent of your investment. A well-lit kitchen will highlight its perks.
You can’t neglect to improve your kitchen’s storage room! Since we don’t want cookware, utensils, pots, and pans lying around, we suggest using your walls smartly! Incorporate the practice of open shelving. Next, add wall-mounted racks and pegboards. Also, try the backsplash with built-in shelving!
Conclusion
You don’t need to renovate your kitchen completely before selling your home. It goes without saying that first, you should carefully calculate the costs and potential ROI!
Try to walk in your buyers’ shoes and imagine their preferences. What kind of kitchen would convince you? A blank canvas to paint on? Or a stylishly and tastefully repainted kitchen that’s also decently equipped? Or would you move into a house with an overstuffed kitchen with a design in total disharmony with the rest of the house?
Focusing on smaller updates and high-impact improvements throughout the property can increase your chances of attracting buyers.