When deciding to sell your home, you may want to consider doing renovations before you start the process. There are a number of reasons to complete smaller renovation projects, including the possibility of increasing the value of your home.

Practical renovation upgrades will be a consideration to buyers in the home buying process. Any buyer will expect the electrical, plumbing, heating and air conditioning, along with windows and roofing to be in good condition; otherwise, they may push for a price reduction.
 

Upgrading older systems in your home can increase its overall value. Completing a home inspection before listing your home for sale can assist you with deciding what could be done before you kick off your home sale. Plus, home inspectors are experts and may be able to give you a rough idea of costs and priorities. Having a pre-inspection completed for your buyers will also reduce some of their concerns about the purchase.

Deciding what should be done and who should do it can be a daunting task. Using certified builders and contractors will give you peace of mind when completing these projects.

Companies like SmartReno can assist you with finding the right contractors for any size of renovation job and help you estimate your costs

As building / renovating specialists, you may want to involve us in some discussions, including:

• Qualified contractors and partners for every need
• Design elements (we have a designer on staff to make recommendations)
• What’s my home worth? & Financing alternatives
• The functionality and value of renovations.
• Already have an agent in mind? Get in touch for a second opinion

Also, some great news, when you buy your home with us we will loan you (interest free) $20,000 to prepare your home for sale. You can use this towards renos, painting, staging ect

Since most renovations resolve an issue or improve quality of life, many people automatically assume that they also increase a property’s sale price. That’s often true— but it’s not always the case. According to the Appraisal Institute of Canada, “If the value of your house exceeds the average market value in your neighbourhood, your renovations will not yield much return. But if your house value is below the average, you can recover a larger part of the renovation costs.” That being said, there are certain changes to a home that are more likely to yield a financial return on investment. Based on the Appraisal Institute of Canada’s latest Home Renovation Survey and the informed opinion of Canada’s professional fee appraisers, the home renovations with the highest, lowest, and average return potential are:

Highest Return:Bathroom Renovations   75-100%

• Kitchen Renovations  75-100%
• Interior Painting  50-100%
• Exterior Painting  50-100%

Before:
After:
(our own project)
Lowest Return:

• Landscaping  25-50%
• Interlocking 25-50%
• Fence  25-50%
• Asphalt Paving  20-50%
• Swimming Pool  10-40%
• Skylight  0-25%

Average Return:

• Roof / shingle replacement   50-80%
• Furnace / heating system  50-80%
• Basement renovation  50-75%
• Recreation room addition  50-75%
• Fireplace installation  50-75%
• New flooring  50-75%
• Constructing a garage  50-75%
• Window / door replacement  50-75%
• Deck installation  50-75%
• Central air conditioning  50-75%

Common Home Renos and Whether They Are Right for You:

Kitchens: Just a few improvements in the kitchen can pay a high return. Paint, re-flooring, sanding/staining cabinets or even replacing dated lighting and cabinetry handles are just a few of the low costs changes that can make a huge difference in appearance.  If you are planning a large reno for your kitchen, this is always money well spent as there continues to be an increased focus on the kitchen as the entertainment hub of the home.

Bathrooms: Adding an extra bathroom with good quality finish and workmanship can pay for itself.  According to studies and expert appraiser opinions, you could return between 65% and 75% of your costs of remodeling a full bathroom, and around 65% of the costs of adding a NEW full bath.  If you can’t afford a full upgrade – consider just re-facing the cabinetry and updating the faucets and showerhead to obtain best return on your investment.

Income Suites
Income suite renovations, such as a basement apartment, an attic, a loft conversion, or a coach house style suite in a garage, when done correctly, can often double your investment. An income suite adds a significant amount of value to your home and it can help you make money while you build.

Floors
Hardwood floors are the number one requested type of flooring by prospective homeowners. Hardwood looks fantastic, it is classic and super durable. Make sure you do a lot of research on the different types available on the market so that you get the most bang for your buck.

Doors
Replacing an older front door with a new, high-quality one can often pay back over 70% on your investment and it greatly improves curb appeal. The same thing applies for a new garage door replacement.

Hardware & Fixtures
Homes that are fresh and updated always sell faster and often at a higher price. A very simple way to modernize the look of a home is to update things like faucets, sinks, toilets, cabinet hardware, doorknobs, light fixtures, etc. Hardware updates can improve the entire feel of a room and a small investment can equal a big return. 

Decks: This may be one of the most cost-efficient ways to add some square footage to your house.  Especially since most people have really taken to bringing the outdoors in!  Large double patio doors that can be opened to allow this to occur can be very attractive in some areas of the country where they experience milder spring and fall seasons.  Deck additions generally recoup 85% of their value.

Paint: A quick paint job has consistently been a positive investment for return.  As long as the colours are kept classic and in with current colour trends – you can’t go wrong.  A fresh coat of paint takes years off the home’s appearance.  It is inexpensive and a simple colour change can make a huge difference in how a room feels to a prospective buyer.

Landscaping: Curb appeal is always important when enticing prospective homeowners to venture into your home.  This could be as simple as adding a privacy hedge, or a well-maintained flower bed.  Do keep in mind that a green, healthy, weed-free lawn is always a great way to show curb appeal and pride of ownership prior to the prospective buyer even entering your home.

Swimming Pools:  It’s agreed upon by most real estate experts that a swimming pool has no resale value at all. In fact, some homebuyers prefer to fill in the pool once they buy it to avoid the expensive upkeep and the fear of liability.   And, many people even refuse to take on that added responsibility.

Overall, homeowners need to think strategically as to what they want personally or when they will be selling, then decide what will have the most positive outcome for their own situation. With this information, you can make a more educated, wiser decision.

Little Improvements = Big Returns

It's always a good idea to spruce up the exterior and interior of your home before listing it for sale. But that doesn't mean you have to undertake major and/or expensive project.

Just a little effort will greatly increase the perceived value of your home. After all, if you wanted to undertake a large-scale project, you probably wouldn't be selling!

Here are some simple steps you can take to increase the perceived value of your home and make a great first impression.

Exterior Appearance

• Keep lawns cut
• Trim hedges and shrubs
• Weed and edge gardens
• Clear driveway and clean up oil spills
• Clean out garage
• Power wash
• Touch up paint
• Plant colourful, inexpensive flowers in pots if necessary

At the Front Door

• Clean porch and foyer
• Ensure door bell works
• Repair any broken screens
• Fresh paint or varnish front door
• Repair door locks and key access

Create a Buying Mood

• Make sure your home smells fresh and clean
• Turn on lights
• Turn on air conditioner/heater
• Open the drapes
• Light the fireplace

Create Space

• Clear halls and stairs of clutter
• Store surplus furniture
• Clear kitchen counter and stove top
• Clear closets of unnecessary clothing and stuff
• Remove empty boxes and containers
• Put away personal photos so buyers can envision the house as theirs

Squeaky Clean

• Clean and freshen bathrooms
• Clean fridge and stove (in and out)
• Clean around heating vents
• Clean washer and dryer
• Clean carpets, drapes and window blinds
• Eliminate pet odors and stains 

Maintenance

• Repair cracked plaster
• Apply fresh coat of paint or touch up where necessary
• Clean and repair windows
• Repair seals around tubs and basins
• Replace defective light bulbs
• Oil squeaking doors
• Repair squeaking floor boards
• Tighten Doorknobs and latches
• Clean Furnace Filters
• Repair Leaking Taps and Toilets

Since most renovations resolve an issue or improve quality of life, many people automatically assume that they also increase a property’s sale price. That’s often true— but it’s not always the case. According to the Appraisal Institute of Canada, “If the value of your house exceeds the average market value in your neighbourhood, your renovations will not yield much return. But if your house value is below the average, you can recover a larger part of the renovation costs.” That being said, there are certain changes to a home that are more likely to yield a financial return on investment. Based on the Appraisal Institute of Canada’s latest Home Renovation Survey and the informed opinion of Canada’s professional fee appraisers, the home renovations with the highest, lowest, and average return potential are:

See this integrative tool for estimating the best return on investment

Also read up on costs related to renovations here