well-executed renovation can add considerable value to your property when it comes time to sell it, but home renovations are not for the faint hearted. Renovating your home is a significant undertaking with many things to consider before beginning to ensure you realise the full potential of your property.
Each property is unique and should be judged on its own merits, including its location, style and size. Taking these factors into consideration will help you decide where your money is best spent.
Researching your suburb and understanding the needs of the demographic of the area is critical to determine where to allocate your funds and maximise the value of your property. For example, residents of lower density outer suburbs will be influenced by different features to those living in higher density inner city areas.
WBP Property Group Chief Executive and The Block Property Advocate Judge, Greville Pabst, says, “In some suburbs buyers are very discerning regarding the quality of cabinetry, flooring and fittings, whereas in other demographics natural light could be a key driver – particularly in the inner city where there is often more overshadowing and natural light is highly sought-after.”
WBP’s guide to renovating property lists increasing a property’s physical floor space by adding bedrooms, an additional bathroom or a modern kitchen as one of the surest ways to add value. These additions do come at an expense though, so buyers need to avoid overcapitalising – costs should not exceed the value added to the property.
Other features that add value to keep in mind are modern kitchens, having more than one bathroom, manicured gardens and building a garage, which according to WBP Property Group can add up to $100,000 in some cases to a property’s value.
Before renovating engage an architect for guidance, source quotes from a local builder and seek property advice to determine market value before and after the proposed renovation. Following these simple guidelines and planning ahead can help save you time and money and significantly maximise the value of your property.