Update Your Kitchen To Sell Faster
If you want to speed up the sale of your house, a kitchen renovation is your number one tool. You know that the kitchen is the single most important room to a potential home buyers. So a kitchen remodel used to be a great investment. However in the current market, everyone needs to be careful not to over-capitalize in a renovation. We got the solution for you: Update your kitchen to sell faster instead of a full on renovation.
A kitchen renovation is too expensive
Of course the price tag can scare home owners off. A kitchen renovation can cost anything from $25,000 upwards. With falling property prices the last thing you want to do is, spending $25,000 just to find out that your property has lost 20% in value since you bought it.
A kitchen make over or update is the safe bet
So of course the price tag can stop some people from a renovation project. Nevertheless the kitchen is a deal-breaker for many potential buyers. A kitchen update is lots cheaper than a full on renovation, so it makes it a safe bet in difficult markets.
So what is the difference, you may ask. A full kitchen renovation involves a lot of planning and sometimes even a new planning permission form the council. Many trades are involved, like a carpenter, a painter, an electrician, a plumber, a gas plumber… You will have to purchase new appliances; need to dispose of the old ones and often worst of all, you lose a lot of time.
A kitchen update however can be as easy as re-painting the doors and drawer fronts of your kitchen cabinets and adding some modern finishes. It can be done in just a couple of weeks; and it does not require any planning leave alone a planning permission. It is normally done by one tradie alone – usually a professional painter and ideally one that is specialised on kitchens. And the best of all: It can cost as little as $3,000.
Kitchen Renovation vs Kitchen makeover
So in direct comparison, a kitchen update is lots cheaper, faster, and less messy than a complete kitchen renovation. You may wonder: Does a kitchen update add the same value to my home? How much you can typically recoup on a kitchen update does of course vary. However the numbers speak for itself a kitchen renovation is known to have a return of investment of only 54%. Whereas a normal kitchen makeover has up to 93 %ROI.
Kitchen Update a money maker
Real Estate agents confirm that a well-planned kitchen update can add as much as $30,000 to the sales price of your house. We did the maths for you. Assuming you spent $3,000. Assuming further your sales price goes up from 300,000 to $330,000; or let’s be conservative and say the sales price goes only up by $15,000. You have made $12,000 profit, or a ROI of 500%. Nice enough, isn’t it? Of course these numbers don’t match every home. You will probably want to throw in a new bench-top, a new splash-back, modern door handles and a few new light fittings up to complete your kitchen update. This will bring the costs up to around $6,000. Still, $9,000 net profit. Easy to judge, it is worth to update your kitchen to sell faster. And more importantly: Your house will sell in the first place and not sit on real estate.com as a cold listing for months.
To get realistic and relevant numbers for your home and your kitchen, talk to your real estate agent and give us a call on 9303 2176 (or click here) for an obligation free quote.