Selling your home is one of the most challenging tasks that you would ever encounter in your life. This is because it involves huge amount of money, and a slight deviation from the selling price could easily result in loss of few lakh rupees. Then there are other costs that you need to factor in before calculating the real profit margin. This includes brokerage, lawyer fee, advertising cost and other miscellaneous charges that may come up from time to time. Add to this the price for dressing up your home, the proceeds from the yields even dip further. Hence, there is always lot of confusion around upgrading the home especially at the time of selling it.
However, you may get rid of most of the extra costs, if you decide to sell your house online through Housing.com, one of the fastest growing property websites in the world. This site facilitates buying, selling and renting of all kinds of real estate assets across India. You can certainly save agent commission, legal fees and marketing money and you can utilize it to ‘dress up’ your home. Having said this,the core question still remains – should you upgrade your house before selling? Let’s find out –
Identify the areas that need immediate attention
The first thing that you need to do before selling your house is to get it in order. If you own a lavish property in the financial capital of India and you happen to encounter a purchaser who is looking to buy row house in Mumbai, your home should be in the ready to move-in mode. Hence, it is critical that you must first address the areas that need instant attention, for example, the crumbling walls, kitchen leakages, interior and exterior paints. Most transactions in India get affected due to shabby looks of the property. Unlessof course the prospective purchaser is an investor, who isn’t much concerned about the looks and feel of the home and is just investing to have a diverse portfolio. Such instances are rare and thus it is advisable to do the basic revamp of your home before selling it.
Avoid spending extensively on expensive interiors
The most important thing that you need to consider during the ‘dress up’ of your home is to identify the spaces in your house that need upgrading and to what extent. Do not go over broad, spending lakhs of rupees on interiors, especially if you are looking to sell it in the near future. You must not undertake the expensive interior activities like:
- Extending the living room to include the balcony
- Getting the false ceiling done
- Installing the modular kitchen
- Adding the geyser to bathrooms, etc.
You can go for the costly upgrades only if you are planning to live in your house for considerable number of years after the interiors or if you are planning to rent it out. The reason being, flats with good interiors fetch higher rental incomes. But if you are planning to sell it, then it doesn’t make much sense, since it is difficult to get money higher than the market rate. At the max, you can get 3% to 4% more than the prevailing circle rates but that too is not guaranteed.