A few years ago, we were approached by a young couple who were planning to sell their home and wanted advice on ways they could increase the sale price without over capitalizing. They had approximately $10,000 to spend on improvements to the property.
Upon inspection, we found that the property was a 2 storey home purpose built and designed for themselves. It consisted of 3 bedrooms with the main bedroom occupying the entire top floor. The layout consisted of an oversized bedroom with breakout area, a large walk in wardrobe and ensuite bathroom.
When looking to add value to any home, we first explore the possibility of creating either additional living spaces or extra bedrooms. Larger families were the predominant buyers in this particular location, so the addition of an extra bedroom would open the property up to a much larger pool of buyers. In this particular case we re-designed the upstairs floor plan, converted the walk in robe to a 4th bedroom, erected some internal walls within the master retreat and created a spacious walk in wardrobe. The cost of this minor renovation was $11,000.
Once the property was complete and presenting at its absolute best, we interviewed 3 local real estate agents and provided a written report to the sellers outlining which agent was best suited to sell their home and our reasons why.
In consultation with the seller, we appointed an agent and then negotiated a competitive selling fee on their behalf, saving them $5,000 which more than covered their marketing expenses.
Prior to the renovation, the sellers had an agent give a market appraisal of approximately $795,000. Post renovation the market appraisals were around $850,000. The owners were happy to sell at $850,000 and as such the reserve price for the Auction was set. However one particular family was desperately wanting the property and we were able to negotiate this offer up to a level much higher than any other buyer was willing to pay. As a result the home was sold pre-Auction for $920,000.
If this couple had sold their home ‘as is’ without speaking to us first, they most likely would have achieved around $780,000 – $790,000. By engaging our services, not only were they able to add considerable value, but saved $5,000 on agent’s commission which easily covered their marketing costs, AND they achieved an extra $140,000 on the sale of the property which easily covered their renovation outlay of $11,000.
A great result from just one phone call to us!
If you’re thinking of selling and would like to know how to add considerable value to the sale price of your home, book in a time for a complimentary chat. https://calendly.com/innovativepropertyadvocates