Most investors use the buy-and-hold strategy to get a return on investment. However, there are also many other ways to increase a property’s value.
In order to boost the value beyond the standard appreciation of a property, Graana.com, Pakistan’s smartest property portal, has shared some tips below.
Increasing Your Property’s Value
Before making any improvements to your home, you have to answer a few questions first:
- Is it going to be a quick sale that requires a few cosmetic changes?
- Are you going to put the house on the market after completing the renovations?
- Do you want to renovate the house without selling it in order to build its equity?
All these factors are important in deciding the type of changes you will make, how much you are willing to spend and whether it will be worth it in the long run.
Ways to Increase Your Property Value
If you want to raise the value of the property, here are different ways to do it.
Fixing Structural Issues
Before making any cosmetic changes, you must fix all the structural issues in the house. This is important because if the basic structure of your house is weak, then your house value will most probably decrease.This is why you must fix all structural issues before remodelling your house.
Some of these include:
- Wall cracks
- Leaking roof
- Pest infestation
- Warped ceilings
- Damp subfloor
- Uneven floors
- Decaying timber
Renovate the Bathrooms
If you have an old bathroom, it most likely needs a facelift. By making these changes, you can make your property more attractive to potential home buyers. You can add a fresh coat of paint, replace the cabinets or change the shower tops to give it a new look.
You can also install new tiles or a new sink to remodel your bathroom. It depends on your budget and how extensive you want the renovation to be.
Remodel Your Kitchen
Before making these improvements, you should speak to any interior designer or professional that can help you in enhancing the look of your kitchen.
The benefit of hiring a professional is that they can tell you about new design trends and any changes that you should make in your budget. This way, you will be able to get more value in return.
Add Curb Appeal
Great curb appeal can attract a number of potential home buyers, thus making a refined exterior important for increasing the value of the property.
This includes placing new plants, changing the front or garage door, changing outdoor lights etc.
Apply a Fresh Coat of Paint
Just a few coats of paint can change the look of your house dramatically. Most professionals suggest contrasting warm neutral colors, like beige or grey, with cooler shades to brighten up both the interior and exterior of your home.
Neutral colours are generally more appealing to individuals, and applying them will definitely uplift your property.
If you have old doorknobs or light switch covers, then replacing those will make your space look more polished. This is one of the simplest methods for making improvements to your property.
Change Windows or Doors
Windows and doors also play a major role in enhancing the aesthetics of your home, for instance, installing a french door or skylight can give it a more modern look.
Install New Flooring
If you have an old tiled or wooden floor, then installing new flooring will increase your home’s aesthetic appeal. According to experts, any property with wooden flooring will sell at a higher price compared to those with tile or marble flooring.
However, wooden flooring can be quite expensive – which is why you need to take the return on investment into account, and whether the renovation cost will be recovered after sale.
Add More Square Footage
Expanding your square footage, like adding a new bedroom or bathroom, makes a lot of sense if you want to yield a better return on your investment. The more rooms you have, the greater your property’s appeal will be.
If you have a basement in your house, for example, you can turn it into a recreation room, gym or home office to attract more homebuyers.
Redoing the Property
House flippers use the fixer-upper technique to sell the property above the market value by fixing structural and design issues. In order to increase the value, they buy an old house and build it again from scratch.
If you have the budget, then this strategy can definitely increase your property’s value. You can use modern designs and materials to give it a modern look.
However, there are a number of risks involved in this as well. The property you own may not be sold at the price you want, or the sale may not cover all the expenses of renovation. This is why most people don’t opt for this strategy as it requires a lot of time and money.
Doing a large-scale renovation or even small touch-ups can boost the value of your property but you need to be smart while carrying out such changes. You don’t want to spend so much money on the renovations as there is a chance you won’t get a good return on investment.
This is why you should do some research on the properties in the area and how much they are worth before embarking on this home improvement project.
To know more about home improvements, visit Graana blog.