Renovate or Not Before Selling?
Hi, I have a 2 bedroom, 1.5 bath apt. in the heart of Carroll Gardens that I am thinking of putting on the market. The kitchen and bathrooms are dated and need to be renovated. In this market do you think I am better off spending $50,000 renovating them and combining the small living room…
Hi, I have a 2 bedroom, 1.5 bath apt. in the heart of Carroll Gardens that I am thinking of putting on the market. The kitchen and bathrooms are dated and need to be renovated. In this market do you think I am better off spending $50,000 renovating them and combining the small living room and dining room into a bigger space or leaving it “as is” and pricing it accordingly. In other words will I make more than my renovation costs back or is it more hassle than it is worth. Also, what are some thoughts on ball park prices for this type of Co-op now. Two years ago it would have gone for about $650,000 I think but I don’t know now. Thanks in advance for any advice.
I personally would think not to renovate. If I was looking at an apartment chances are very good that I will absolutely not like what someone else picks out. I would rather pick out my own and pay a lesser price.
just have the apartment painted and clutter free and i think you will do fine.
I like Slopegirl’s middle ground. A lot can be done for cheap that will help reduce the number of people who are turned off by outdated elements without giving the impression that the price includes unwanted granite etc. I find that photos help me see a space more objectively. Painting, adding a throw rug, replacing a faucet or sink might help.
If it were a condo, I would definitely be in the spruce not renovate camp. As it is a co-op, you need to think about how your board reacts to prospective purchasers who intend to undertake an immediate renovation. Your board might be more inclined to allow you to renovate than to accept a purchaser who intends to renovate. If opt for a flexible design that could be easily adapted to a new owners taste that might work out well. I know that I would be apprehensive going to a board interview knowing I had to do a major renovation. Redecorating is one thing, renovation another.
We are in the process of buying a 2 BR (not in Carroll Gardens, but nearby). I specifically targeted unrenovated apartments in the search. Personally, I saw too many places that were renovated to be bland or ugly, and the sellers seem to expect a huge premium for that. Let me do the work myself, or maybe even live with an unrenovated kitchen (G-d forbid). Location and square footage are really the important items.
As a buyer, I’d rather pay the pre-renovation purchase price and then do the renovation that I wanted. The kitchens that are renovated to make a house marketable are completely generic to me.
Actually, I’m a buyer and although I know it’s easier to buy a fully renovated place, unless you are willing to do it properly, leave it alone. I say spend the couple of thousand to spruce it up and call it a day. As I go through apartments, bad finishes of newly installed items stand out. For instance, I just turned down an apartment where the owner installed new bamboo flooring because she took the cheap way out to finish it instead of what I would call the “proper” way. A waste of money and good flooring. There may be people out there not as picky as me, but I’d rather do it myself then live and pay for another persons mistake.
I say renovate. When I sold my two bedroom co-op a couple of years ago it was the renovation that really roped in the buyer. Whether or not you make back the exact amount you spent (and if you do it right you could actually exceed the amount spent) it will make it much easier to attract qualified buyers and will justify a decent asking price.
I have no idea, but I think it matters some what else is on the market. There’s a lot of value at being the cheapest 2 bedroom out there. At 599, you’d be close I think. And if your maintenance is low, then there you are.
I personally click on any ad that says “WHAT A DUMP!” or “HANDYMAN SPECIAL”. But that’s just me. My favorite kitchen of all? One where the demo’s been done. Leave me the appliances (cuz you can’t sell it without) and maybe put in a table or dresser in there and I can envision where I’d go with it.
Broker is right. It’s about the current market, not what has worked in the past. I know two different people with 2BR apts in top top locations who can’t sell because they didn’t renovate the kitchens. And they’re not overpriced.