One of our specialties is rehabbing foreclosed and bank owned properties. We do this for clients that are looking to turn a run down property into their dream home or investors looking to turn a property into profit. Although the priorities for these may be somewhat different, the important upgrades to reach the maximum value are very much the same. Here are our top 5 upgrades to build value:
- Kitchen Remodel: This is usually the most costly upgrade to home, but a well done kitchen can drastically raise the value of a home. It is important for the kitchen not to be closed off from the rest of the living areas of the home. This “open concept” has become the standard for what home buyers are looking for in a kitchen. Granite counter tops with under-mount sinks and stainless steal appliances give a clean and modern look. An extra feature that can add a “wow factor” is using a farmhouse style sink.
- Window Replacement: This is also an expensive upgrade, but that’s precisely why it’s important. From the investors perspective, potential buyers know how expensive windows are and don’t want to incur that cost. New vinyl windows can also drastically improve the curb appeal of a home. For the person creating their dream home, new windows offer superior safety from the elements because of impact rated glass and higher energy efficiency.
- Flooring: Hardwood floors offer a classic look that never goes out of style, but are costly. The property has to be in a price range to justify such an expense. In older homes that may have wood floors that are worn, refinishing is a great way to bring them back to life. Tile in the bathrooms is always a safe choice. Carpet in the bedrooms can be a hit or miss. The most important thing about flooring is to stay consistant. You don’t want different flooring in every room.
- Entry-Way: This is one of the most overlooked upgrades in a rehab, but can give you a huge return. This often gives people the first impression of your home, so it’s important to start off on the right foot. A quality, attractive front door is the key to this. A covered greeting area is an added bonus that should be well maintained and offer some design details such as a tapered column and quality lighting.
- Fresh Paint: This offers a clean and fresh feel to the home. The key to this for the investor is to use neutral colors. Stay away from personal color preferences.
- Landscaping: The idea of a home rehab is to breath new life into a forgotten home. This is impossible to accomplish if the landscaping has taken over the house. Making sure the landscaping is well groomed will allow you to showcase the home.
- Bathroom Remodel: Last, but hard to say least is the bathroom. For the investor there are small upgrades like new fixtures and grout that can improve the appearance of a bathroom without dropping tons of money. In this area many homes have the 2nd bath in the garage. If this is the case, spending the extra money to incorporate this into the rest of the home can add tons of value. For the people creating their dream home, there are tons of detail options to make your bathroom more functional as well as give you the look you want.