Renovating before you sell? Is it worth it?
Have you been thinking of doing some renovating before you sell? You might want to think again.
Renovating when you living in a place for your enjoyement is one thing, but renovations just to make the sale could possibly cost you more than it’s worth.
Most renovations do not payback the full amount of the renos in appraisal value but some types of renos are better than others.
For example a good paint job especially at the front entrance can do wonders for resale value as first impressions are very important. Finishing off a basement before selling could be a bad idea. How can you tell.
Check out the following website by the Appraisal Institute of Canada in their Renova section. There you can use their forms to give you a rough estimate on the payback for various improvements. You simply choose the improvement that you thinking of, enter the amount that you plan to spend and the system will tell you how much value you can expect it to return. It’s not perfect but it may help you decide whether or not it’s worth it to spend the money.
Here’s the link at http://www.aicanada.ca/renova.