In the ever-evolving landscape of real estate, selling a property for the highest possible price is a common goal for sellers and real estate agents alike. While various factors influence the sale price, one strategy stands out as a game-changer: home renovations. Whether it's a minor touch-up or a major overhaul, renovating a home before listing it on the market can significantly impact its perceived value and appeal to potential buyers.
We just sold a beautiful mid-century Bahl Patio Home in Sunnyvale, California. This Silicon Valley home involved a lot of strategic home preparation and renovation to achieve the final sales price for our clients. Under our guiding eye, this property was impeccably updated and sold for over the list price in just 7 days. We received multiple offers from several very qualified buyers. I’m sure you’re wondering, what did we do to achieve this?
1503 YUKON DRIVE, SUNNYVALE
LIST PRICE: $2,188,000
SALE PRICE: $2,380,000
In this blog, we’ll dive deeper into what you need to know in terms of ROI to get the best price for your home.
#1 Know What Is On Trend
Remember that childhood song you thought would never get old? Decades later you listen to it, and it just doesn’t sound the same? Sometimes you’re even embarrassed to admit you used to like it! Trust us — we’ve all been there. The same idea can be applied to real estate. What was popular 20, 10, or even 5 years ago may not be what buyers today are attracted to. We’re not saying that you or your real estate agent need to become interior designers, but understanding the trends that are enhancing prices in the present time is critical to achieving the highest possible sales price.
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First impressions matter in real estate. When prospective buyers step into a home, they immediately form opinions based on its visual appeal and functionality. A well-maintained, updated property with modern style creates a positive impression, setting the stage for a successful sale. Conversely, a home in disrepair or showing signs of neglect can deter buyers and lead to lower offers.
One of the key benefits of home renovations is the ability to modernize outdated features and amenities. In today's competitive real estate market, buyers are often drawn to homes that boast contemporary designs and modern conveniences. By upgrading elements such as kitchens, bathrooms, and flooring, you can breathe new life into your property and cater to the preferences of modern buyers. From sleek stainless steel appliances to stylish quartz countertops, modern renovations can make a home feel more luxurious and desirable, ultimately driving up its resale value.
We have seen clients put in as little as $60k into their remodels and make over half a million dollars in returns.
#2 Know Your Audience
This is an area where a great real estate team will make a huge difference. As mentioned earlier, trends change over time, as do the demographics of your potential buyers.
Today’s buyers are dealing with high interest rates and uncertainties in the economy. They are picky because the cost of money is so much higher. They are often putting a lot of money down and do not have a ton of extra money for renovations. Current homebuyers also often either work remote or hybrid schedules, so they look for their potential home to not only be the place they rest, but where they work as well.
Because of these circumstances, buyers today often have practical considerations about a property's value. Investing in energy-efficient upgrades, such as installing new windows, insulation, or HVAC systems, not only reduces utility costs for homeowners but also appeals to eco-conscious buyers. Similarly, renovating essential systems like plumbing and electrical wiring ensures the safety and functionality of the home, alleviating concerns for potential buyers and bolstering its resale value. By addressing these fundamental aspects of the property, renovations demonstrate to buyers that the home is well-maintained and ready for occupancy, instilling confidence and driving up its market value.
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#3 Understand That Turn-Key Homes Sell Fast & For More Money
Keeping in mind current style trends and buyer preferences, home renovations also expedite the selling process by reducing the need for negotiations and repairs. A well-renovated home attracts more qualified buyers and generates greater interest, leading to quicker offers and potentially multiple competing bids. Moreover, by addressing any issues or deficiencies upfront, homeowners can minimize the likelihood of costly surprises during the inspection process and streamline the closing process. Ultimately, a renovated home presents less risk and uncertainty for buyers, making it more appealing.
When you put in the work ahead of time to fix your home’s deficiencies and get it looking its best according to current trends, you take stress off the backs of potential buyers — and they are willing to pay a premium for it! Again, thinking about the modern homebuying audience in Silicon Valley will help you get the most bang for your buck. Your potential buyers today are often working long hours at fast-paced technology or finance companies. The last thing they want to do after a long day at work is to have to project manage the renovations of their new home. If you put in the time and strategically make a plan that will increase the value of your home today, it will sell for much higher tomorrow.
The average software engineer, doctor, lawyer, etc. doesn’t know what to do to make a place look good. We follow trends and have a system in place to ensure that your property will appeal to today's discerning buyer.
Especially when it comes to luxury estates in Los Altos, Los Altos Hills, Palo Alto, and Atherton neighborhoods (and other similar areas), buyers paying the premium price for these high-end properties in ultra-desirable areas want to move into their homes and start enjoying it as soon as possible.
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CASE STUDY: 1503 Yukon Drive, Sunnyvale
For our recent Sunnyvale sale, the strategic home remodel was focused on identifying current trends and the attitudes of current buyers in the market to receive multiple offers. The home remodel featured a comprehensive upgrade, starting with luxurious vinyl plank flooring extending seamlessly into the bathroom, offering both elegance and practicality with its waterproof qualities.
The kitchen received a stunning transformation with sleek new cabinets and state-of-the-art appliances. Every room is rejuvenated with fresh doors, while the exterior is refreshed with new landscaping, enhancing curb appeal. Inside, a fresh coat of paint in white or light hues gives the space a brand-new feel.
Attention to detail is evident with new hardware throughout, including kitchen handles and light fixtures. Speaking of lighting, all rooms are equipped with recessed fixtures, offering three different hues for versatile illumination—bright, natural, and ambient—ensuring every corner of the living room, hallway, three bedrooms, and bathrooms is beautifully lit. The bathrooms receive a lavish touch with updated vanities and contemporary light fixtures, completing the home's modern and sophisticated look.
Conclusion
In conclusion, home renovations play a pivotal role in maximizing property value. By enhancing the visual appeal, functionality, and marketability of the home, renovations attract more buyers, expedite the selling process, and command higher sale prices. From modernizing outdated features to addressing practical considerations, strategic renovations enable homeowners to capitalize on their investment and achieve optimal results in the competitive real estate market.
We have over 45 years of combined experience helping sellers strategically prepare their homes. From luxury properties in Los Altos, classic estates in coveted Atherton neighborhoods, architectural masterpieces with panoramic views in the town of Los Altos Hills, modern condos in Palo Alto neighborhoods, and beyond — we have seen it and done it!
We will leverage our years of experience successfully preparing and selling real estate to help your home shine its brightest once it's on the market. We know how to transform listings and we know how to market your home to sell for the highest possible price.
Are you looking for a top Atherton, Los Altos Hills, or Los Altos realtor at The Agency? Follow Kiersten Ligeti and Patricia Karoubi Team luxury realtors for an exclusive look at Los Altos, Los Altos Hills, Atherton properties and more.
Kiersten Ligeti | 650.766.8319 | LIC. #01298631
Patricia Karoubi | 650.868.4565 | LIC. #01396914
The Agency Los Altos
