Renovating before selling can be harsh on your pocket, it’s best not to go overboard when remodeling Going small is sometimes better in the long run. While some sellers might feel inspired to “gut” their home, or to make major renovations like adding another room or putting in a pool, real estate experts said big changes usually don’t pay off. Small projects like replacing cabinet fronts and replenishing hardwood floors can increase your sale price significantly.
Not all renovations are created equal and you can’t always count on recovering your hard earned invested money, especially if you decide to binge. Major projects like adding on a bedroom or garage, or re-doing a kitchen might make sense in some neighborhoods, but in a lot of neighborhoods, it just doesn’t pay off.
The National Association of Realtors issued a statement at the beginning of the year saying that small and exterior-focused improvements offer better value than more ambitious renovations. Then last month, the Appraisal Institute, and association of Real Estate appraisers, urged homeowners to “choose upgrades instead of major remodeling projects to see the greatest potential investment.”