Renovating a home is often viewed as a strategic investment to maximize its market value. When real estate is in high demand, homeowners seek ways to enhance their property’s attractiveness. Given the cost of materials and budget constraints, it’s recommended to know what renovation projects will result in the biggest bang for your buck.
Renovate to sell faster?
In a strong and competitive real estate market, carrying out work before putting your house up for sale can really make a difference. Strategic renovations, even minor ones, add a “showy” touch that draws the attention of potential buyers from the first visit.
That being said, there is a vast range of renovations to choose from. From simple projects (like replacing light fixtures, adding an accent wall in a room), to more significant work (complete kitchen or bathroom remodel, for example).
The goal for sellers is to carry out work that will have a noticeable impact on their property’s appearance in order to capitalize on its value. In that respect, it’s an excellent idea to consult with a real estate broker to identify trends and required fixes to make before putting a home up for sale.
They can pinpoint improvements that will have a direct impact on getting a home on the market. A house with a wow factor will increase its chances of selling quickly at a price beneficial to the seller. The expert working with you can assess what is best for you: to sell, renovate or buy something bigger.
Receive support from a real estate broker to sell your property
Thinking about selling your home and want to receive support that meets your needs? Confia advisors are available to discuss the financial and logistical implications of a sale so you can make an informed decision. When you contact Confia real estate agency, you can rest assured your project will be taken care of.
Personalized pairing allows you to choose a Confia partner real estate broker. What’s on offer for you: a human approach, local market know-how, sound advice and support at each step of the transaction process.
Whether you’re considering optimizing your home before putting it on the market or whether you’re looking to buy a new property that needs renovations, Confia will guide you to explore all the possibilities at your disposal.
Buy or sellHow to plan renovations?
Proper planning is essential because a well-considered project will not only increase your property’s value, it’ll also make it more attractive to potential buyers. Before even starting any renovations, you should identify what you want to accomplish.
Do you want to modernize certain features in your home to attract more showings or are you looking to add significant value? We advise you to take the time to sort out your ideas, in particular by creating a mood board, then surround yourself with specialists.
Remember to schedule your renovations by taking into account the time of year and local real estate market. For example, spring and summer are ideal seasons for exterior work.
Set your budget
Establishing a budget will help you determine the scope of the work you’ll undertake and avoid nasty financial surprises. Be aware that a Confia advisor is qualified to draw up a game plan adapted to your situation, which will allow you to make the most of your real estate investment.
Start by booking a home appraisal. Your real estate broker can use the comparable method to estimate the market value of your property.
Have you considered using the market value assessment tool, available on the EspaceProprio mobile app? By analyzing real estate market data and the features of your home, it gives you a market value estimation that helps you determine the current value of your property. It’s easy: simply download the Espace Proprio app on the App Store or Play Store, then enter information about the property.
*The value generated by the market value assessment feature does not constitute an appraisal, an actual value or a guaranteed selling price, or the opinion of a real estate broker or licensed appraiser as to the price or fair market value of the subject property. Information is provided for reference purposes only and should never replace the advice of a professional regarding the assessment of a property’s market value.
Now list all potential renovations and prioritize them. Focus first on essential things that need to be done, depending on your goal (resale, increase listing price, aesthetics, functionality, etc.).
Once you’ve gone over the list and calculated how much you may need to spend, you can spend time researching what financial help is available for the renovation work you want to have done.
Based on your equity or your home’s accumulated net worth, a line of credit can be a very interesting financial path to choose to accomplish your renovation project.
Benefit from government grants
There are several grants and tax credits available for home renovations in Quebec. Taking advantage of these incentives can considerably reduce your costs so make sure to look into federal, provincial and municipal programs. RenoAssistance Renovation Advisors will be able to help you out with this.
Get inspired by today’s resale trends
Interior design and layout trends are constantly evolving. Giving your house a little renovation love will make it more attractive to buyers. When you’re supported by a real estate broker, you’re well positioned to receive advice about improvements that will have the biggest impact on a resale.
Contact a contractor
In most cases, collaborating with a recognized company will simply the renovation process, especially for large-scale projects. RenoAssistance, part of the EspaceProprio family (like Confia!), offers a turnkey service by putting you in touch with qualified professionals. From planning to carrying out the work, RenoAssistance will support you during every step of your project.
Available services include structural changes, expansion, conversion, interior and exterior renovations, even small jobs now handled by HomeExpress (electricity, plumbing, heating and air conditioning).
Start your renovation projectChoose sustainable materials
Looks matter and potential buyers will judge your home’s outward appearance. Carefully select materials, in particular sustainable ones that improve energy efficiency: double-glazed windows, high-performance insulation and Energy Star-certified appliances.
Good to know…
Several legal and administrative aspects need to be considered when planning renovations. They often vary from city to city and could influence your choices, from both a financial and logistical point of view.
Contact your municipality to ensure that your project complies with current standards. You could also talk to a specialist like an urban planner or architect to clarify any questions you may have and get some solid answers.
Do I need a building permit for my renovation work?
A permit will be required, depending on the type of work involved. Generally speaking, you need a permit to modify the structure of a house (like building an extension, removing a load-bearing wall or creating new openings) or to improve the aesthetics (replacing exterior siding or a pool). You have to submit plans to your municipality and pay an application fee. Again, make sure to follow all the regulations in your area.
Some changes that don’t require a permit include interior painting, replacing flooring or renovating a kitchen that doesn’t affect the structure. However, it’s always a good idea to check with local authorities to make sure your project doesn’t fall under specific bylaws. Some municipalities have strict guidelines regarding property appearance or use of various materials, even for minor changes.
Is insurance a must?
Insurance protects your investment and covers you against unforeseen situations. When it comes to renovations, anything can happen! You should first check that your current home insurance policy covers renovation work. You may have to adjust your coverage to include it.
In the event of a major construction project, plan to take out civil liability insurance to protect yourself from any damage caused to third parties or neighbouring properties. And if you use contractors, they need to be covered by professional liability insurance.
Renovations to consider in your home
Here are renovations that offer the biggest bang for your buck or the best return on investment (ROI), according to data published in the RenoAssistance blog.
1. Replace the garage door
A new unblemished garage door contributes to a property’s appearance as well as functionality. Nobody wants a worn-out model on its last legs! According to the article above, this is one case where you can expect to recoup a significant portion of your investment.
2. Stone veneer exterior cladding
An attractive facade (curb appeal) is a powerful asset to help make a good first impression with potential buyers. Be aware that stone veneer mimics the look of natural stone at a fraction of the cost and is easy to install. Less luxurious coatings like fibre cement or vinyl can be used on the sides and back.
3. Kitchen renovation
The kitchen has always been the heart of the home, which makes it a room to prioritize. From a resale perspective, less is sometimes more in order to give future buyers an opportunity to personalize the space to their liking… but it’s up to you! It’s good to know that even a modest project, like replacing cabinet doors, countertops and hardware according to current trends, is enough to update the space.
4. Window replacement
New windows improve a property’s appearance while making it more energy efficient. Also keep in mind this kind of project will result in lower heating and air conditioning costs so you get to benefit as long as you live there. With several grants to consider, this is win-win for sure!
5. Wood or composite patio or deck
During the pandemic, many people started to appreciate having functional outdoor space where they could eat, work and relax. The addition of a patio or deck increases your square footage and makes your property much more attractive.
Wood composite patio are an interesting option to consider. They are more expensive and have a slightly lower return on investment but don’t require maintenance and retain their appearance for life.
6. Door replacement
Whether steel or fibreglass, a new door enhances a property’s facade while making it more energy efficient.
7. Asphalt shingle or metal roofing
The roof plays a key protective role. Even if it’s not the most cost-effective project, replacing an old roof should be a top priority. Asphalt shingles have an average lifespan of 15 to 25 years. More expensive, a metal roof has a lower return on investment but the upside is you won’t have to replace it anytime soon, bar a natural disaster.
8. Bathroom renovation
The bathroom is one of the most high traffic areas in the house, which is an excellent reason to fully renovate it. If you have a limited budget, replacing key elements like tile, faucets or a vanity is a good alternative.
9. Basement conversion
Transforming a basement into living space can substantially increase a home’s value. Whether it becomes a game room, home theatre or another bedroom, this feature is often attractive to future buyers. It could even justify listing at a higher price!
In short, whether you want to enjoy the benefits right away or pass them on to future owners, these wise renovations have the potential to be highly profitable. It’s up to you to decide what to do!
FAQ
How do renovations help a property sell faster?
Renovations can make it easier to sell a property by increasing its value or making it more attractive. Well-considered renos, like updating the kitchen or bathroom, often create a wow effect that helps sellers stand out in the real estate market.
However, it’s important that you respect the anti-flip rule, which requires you to live in your principal residence at least 365 days before selling it to minimize the tax impact..
How can a real estate broker help me if I’ve got a renovation project? How can they help me in a real estate transaction?
A real estate broker knows about current trends and what buyers are looking for. They can use that knowledge to make suggestions that will increase your property value (depending on the services they offer).
They can share the best strategies to help your property sell faster for an optimal price. Without making formal recommendations on what renovations to undertake, a real estate broker can offer tips on how to depersonalize the space.
Depending on a real estate broker’s business model, they sometimes share tips on what improvements offer the highest return on investment. One thing’s for sure: a real estate broker’s expertise will help you navigate your way through the real estate market and simply the sales transaction. Are you ready to find your perfect match?
Contact Confia real estate agency