When selling your home and when selling your property, no matter what type of property it is, there are multiple factors to take into consideration. Your objective should be to sell your home for the best price possible, whether it is a house, a flat, a bungalow or anything else. However, some factors may bring down the value of your home without you even realising.
There is a lot more to the value of a house or property than just the décor too. Although kerb appeal is very important, things like the local area and amenities available as well as even who lives on your street or in your apartment block can make all the difference and could even reduce your property’s value.
Here we share some things which you might not have expected to bring down your home value.
The Wrong Type of Renovations
Estate agents and real estate experts often suggest renovating or touching up your home before putting it on the market. They suggest that certain renovations, particularly re-doing your kitchen or bathroom, converting a loft or basement or putting in new floors can all add value to your home and attract potential buyers.
However, there are certain renovations which may do the opposite and actually deter buyers. For example, swimming pools might do more damage than good when it comes to your home values. Due to their high maintenance costs, swimming pools often indicate a red flag for prospective buyers, especially if they are in a location with a cooler climate.
Similarly, too much investment on landscaping or gardening can indicate high maintenance costs for buyers which can be off-putting. You should therefore, always think very carefully about which home renovations and home improvements you undertake to try and improve rather than reduce the value of your home or property.
Unusual Colour Schemes
Experts usually recommend decorating your house in a neutral colour palette before putting your house on the market. This is as true for the house’s exterior as it is for inside the home. Bright colours can discourage potential buyers and could even impact the selling price.
Painting your walls in unusual colours or with unusual patterns could also prevent buyers from being able to picture themselves in the home. Similarly, if the paint work of your house is faded, cracked or peeling, it can quickly put off buyers. A fresh coat of paint, both inside and out, could help to bring the value of your home back up.
Neighbours and Local Residents
Although it is out of your control, your neighbours can directly impact the price of your home. Maybe they have an untidy front garden, or perhaps they are very noisy. Whatever the problem, your neighbours have the potential to impact your property value as well as theirs.
If the problem is superficial, for example their front garden needs more attention, it may be worth having a polite conversation with them to let them know that you are in the process of selling your home.
Location, Location, Location
The location of your home is key in determining how much your property is worth. As a general rule of thumb, similarly sized homes located in the same area will usually sell for roughly the same amount of money; this is true regardless of any upgrades or renovations.
You should always check out the market value of your area and compare your property to similar local properties which are on the market as investing in a large-scale renovation project in order to increase your home’s value could be money wasted.
It has even been suggested by some that that similar homes in the same area usually sell within a 20% price range of each other.
Similarly, local amenities will all play a role in the house price. For example, if you are close to less desirable amenities such as bad school districts or if you are far away from shopping centres, restaurants and medical facilities, all of this could work to reduce the value of your home.
Time of Selling Your Property
The period of time in which you sell your house can have a big impact on your property’s value. For example, the season for selling and buying a home typically runs from May to August, especially if the homes are for families. However, if you need to sell a house fast for example, you may not have the luxury of waiting for the ‘right’ time of year in which to sell your home or property. If this is the case, you should consider what else you can do, at relatively low cost to ensure you maximise the value of your property.
September, in general, is a less popular month for home sales meaning that there are fewer buyers and home valuations tend to be lower. Additionally, holiday seasons tend to be slower for house sales. At a more macro level, the state of the economy at the time of selling can also impact the value of your home.
For example, if jobs are scarce in your local area or if there are many redundancies, property value will also fill as people are less likely to be able to afford a house. In these periods of time, there tend to be more short sales and foreclosures, all of which can bring down the value of your home.
Does Your Property Need Maintenance?
Putting off any maintenance work until your home has a new owner may work against you and result in a lower property value.
Any features such as damaged sideboards or a leaky roof will lead to a lower valuation of your home. Also, the longer these issues are left, the more expensive they typically become. Quick fixes and repairs can go a long way when it comes to deciding how much your home is worth.
Maintenance extends not just to the inside of your home and the building itself but also to its surroundings. Real estate agents often refer to “kerb appeal” which is the aesthetic of your home from the outside including the front garden, pavement and porch area. If your front garden or curb is in poor condition, it will bring down the value of your home. Also, this will be the first thing that potential buyers see so it is your opportunity to make a good first impression.