Renovating Wisely

Oct 30, 2017 8:00:00 AM Share this:

When it comes to renovating, the result can significantly increase the value of your property if done well, but bear in mind renovations can also cost the most if not planned and completed carefully. 

Disruption Any renovation is a disruption, so before your bathroom and kitchen are ‘out of order’ have a Plan B for alternate locations to cook and shower.


Read more

Topics: Selling, Property Tips, Home Buyers, property focus, Renovations, Home Maintenance

Are your renovations influencing your property's value?

Jul 31, 2017 8:00:00 AM Share this:

The smallest of changes can mean the world of difference. You'll be surprised to see what a fresh coat of paint, landscaped garden or a few technological additions like an automated gate or solar geyser can make.

Many homeowners buy with the intention of renovating or upgrading their property. Whilst there are various upgrades that can make a significant difference to the value of your property certain changes can detract from the property's overall aesthetic and value.


Read more

Topics: Renovations, property value

Things to consider before building a granny cottage

Jul 10, 2017 8:00:00 AM Share this:

If you have an empty space in the backyard just right for a granny flat or self-contained dwelling, it might be the perfect way to add some extra rental income or provide for a growing family. Here is a list of things to consider before you start building.


Read more

Topics: Renovations, home renovation

What’s the long range colour

Feb 2, 2017 6:38:13 PM Share this:

New season's fashion isn't just for your wardrobe. The team at Resene take a look at what colours fashionable homes will be wearing over spring and summer.

Think shimmer and glitz, white with black accents, unexpected colour combinations and iridescent as well as toned-down hues. Luxe metallic finishes, whites with charcoals and earthy greys, dusky tones, and exuberant pops of bright colour are all on trend for the coming months.


Read more

Topics: Maintenance, Renovations

When not to renovate your property

Nov 15, 2016 10:44:36 PM Share this:

When not to renovate
If your property needs repair or you’re considering a few renovation projects to get it ready for sale, there are a few things you need to consider first.

Although well-planned, cost-effective renovations can add value to a home, there is always the risk of over-capitalising. That’s why it pays to consider the types of renovations that add value and appeal to potential buyers. So, when you’re looking to sell, when shouldn’t you renovate?

Remember, renovating for your own personal use and renovating to attract a wide range of potential buyers are two different things. It all comes down to your return on investment or ROI. Basically, you’ll want to ensure the amount you invest in the renovation is less than the value you’re adding to the property, and the sale price you’re likely to achieve.

Here we explore some of the situations where we wouldn’t recommend renovating if you’re looking to maximise your sale price.

Check your margins
If your property isn’t in desperate need of repair and you’re confident you have a decent amount of equity existing in your property, renovations may not be necessary. Especially if after crunching the numbers, you’re not confident you would be increasing the sale price by that much, and remember a return on investment can never be guaranteed.

A general rule of thumb when it comes to renovating a property for profit, is to spend no more than 10% of the property’s value on the alterations. So, the first step would be to ensure you have an up-to-date valuation of your property, undertaken by a professional.

The next step would be to work out a budget, and ensure you add a buffer in case of unforeseen additional expenses. Using the 10% rule, this means a home valued at R500,000 would have a total renovation budget of R50,000. Any more than this, and you risk
over-capitalising.

Do you need a quick sale?
Most renovations take time, to plan and budget for as well as to be completed. So, if you’re looking to sell soon, renovations may not be possible. Remember too, that renovations often go over budget and can take longer than anticipated so factor all these considerations into your decision.

Who are you renovating for?
Some renovations appeal to most buyers, such as a kitchen or bathroom upgrade, but others are personal to you and your needs, taste and style and therefore won’t appeal to the largest number of potential buyers.

This can include adding extensions such as granny flats, converting bedrooms into specific-purpose rooms like a media room or library, and separating rooms by adding additional internal walls.

Who are you selling to?
This is where research is key. What is the demographic of your property’s neighbourhood? Mostly singles and couples? Mostly retirees or mostly families? Finding out who the neighbourhood is likely to attract will help you determine suitable renovations and not so suitable ones.

For instance, if your local market is likely to attract families, think carefully before adding stylish but potentially hazardous staircases, or ornate glass features. Or if your potential buyer is most likely an investor, keep renovations to a minimum as they will almost certainly have their own plans and your changes may add no value to them at all.

Ask if you’re unsure
When planning a renovation, don’t shy away from asking your local real estate sales consultant their opinion on the condition of the property, the type of buyer the home is likely to attract, what similar homes in similar condition are selling for and any renovations they would recommend. You may be surprised, if your home isn’t in need of massive renovations your sales consultant will tell you and you may save yourself a lot of hassle, time and money.

 


Read more

Topics: Add Value To Your Property, Selling your Home, Renovations