Spend less on renovations before sale, says Greeff
Category Property news
In the current short-trending stock market, the need for major property renovations prior to selling should not necessarily be at the top of a seller's to-do list. 'Cape Peninsula properties across the board, in all title categories and in all conditions of repair, are spending far less time being listed before being sold. The demand for property is growing unabated, so the need for costly pre-sale renovations is reduced,' says Mike Greeff, CEO of Greeff Properties, an exclusive affiliate of Christie's International Real Estate. 'As most properties are achieving selling prices close to asking (and in some cases equal to or above the asking price), sellers are better off putting the money towards renovations in the new home they buy,' advises Greeff.
Focus on small, aesthetic repairs
He suggests that sellers rather focus on repairing cracks and patching up holes in walls, painting and repairing leaks, and replacing worn carpets before listing the property. 'Concentrate on making your property sound and liveable, rather than spending huge amounts on alterations on which you may not get a return. Any money you spend pre-sale should be put towards making your electric components and plumbing compliant, and then on energy-saving elements such as solar-powered geysers and, in recent electricity conditions, possibly a generator,' advises Greeff.
Plan and track your spending on renovations
'If you have made up your mind that you are definitely renovating, it's vital to be driven strictly by your budget, from projecting it, to constantly tracking it, and being disciplined about remaining within the boundaries,' says Greeff. 'The primary step is to break the renovation project down into every conceivable element and list the cost of all components; include demolition, materials, labour, site clean-up, insurance increases and then add 10 - 15% for emergencies and delays. That way, any surprise additional expenses will be covered, and you minimize the potential for blowing the budget and having to abandon a part of or even the entire project,' says Greeff. 'Track your expenditure every two to three days, ensuring that you remain within the bounds of your budget,' adds Greeff. He also suggests seeking the advice of experts and reading blogs of those who've been through the process as this helps to draw your attention to any element you may have missed.
Author: Greeff
