Your Belconnen property is now on average worth 4.5 per cent more than last year, according to CoreLogic data. With property values beginning to flatten out before the end of the year, you may be one of the many ACT residents planning to take advantage of the high prices currently afforded by this peak.
If you're a owner of Belconnen real estate and planning to take your property to the market, you may be wondering just how to squeeze every dollar of value out of your current property. It can be a daunting task, but here are a few things that have been shown to increase the value of your property.
An obvious start to selling your home is obtaining the services of a good real estate agent.
The Real Estate Institute of South Australia describes how a good real estate agent can help you with every stage of selling your house, including providing knowledge on prices you can expect, the process of selling, any costs you should expect in getting your house sold – they are experts on getting the most out of your property.
Real estate agencies can also help with the marketing of your property, and as many people will see your property for the first time on a website, it's best to make sure you work will a well-known brand with a overarching marketing mindset.
While it may be tempting to try a do-it-yourself sale, the money you would save from not paying an agent's commission would quickly be offset by the lower price you would end up getting on your property. Everything we mention in this article can be advised on by an experienced agent, and their experience is invaluable.
So before anything else, get yourself a good real estate agent.
After sorting your real estate agent, you should consider what parts of your home might need a visit from a renovator. Buyers will be looking with eagle eyes for anything that might need replacement or repair, and will certainly be factoring that cost into any offer they might make.
But before you rush off to find a quote on renovating your whole kitchen, make sure you actually need to make such a drastic move.
"As a general rule, the simpler and lower-cost the project, the bigger its cost-value ratio."
According to Remodeling Magazine's studies into the cost and added value of certain renovations, many renovations did not add the cost of the project to the value of the house. Of the 102 markets surveyed, only 7.3 per cent of projects had payoffs that resulted in 100 per cent or more return compared to cost. However, that doesn't mean you shouldn't invest in those upgrades, but instead choose carefully which upgrades to make.
"As a general rule, the simpler and lower-cost the project, the bigger its cost-value ratio," summarises Remodelling Magazine.
"It's no surprise that replacement job – such as door, window, and siding projects – generated a higher return than remodelling projects. That's been the case since at least 2003."
Remember, a house that languishes on the market for six months because of peeling paint has no sale value at all. Making sure that your home is up to date and repaired means that you will not have to explain to buyers that the door swells in the rain or that the windows don't open properly. As you can imagine, these sorts of issues will immediately turn a potential buyer into a disappointed rejection.
Now that your house is renovated, spruced, clean and marketed, you have to choose when to sell, and also how to sell.
Auction may be a tempting option to try and take advantage of "auction fever". As sources such as the Organizational Behavior and Human Decision Processes journal have described, this entails potential buyers actually overbidding on the original estimates of items when they are placed in a competitive environment. It is easy to imagine how this applies during the flurry of bids that ensues from the sale of a tempting property.
Private treaty also has its advantages, such as the flexibility of negotiation described by REISA. It is also thought of as simpler and is far more common than auctioning in general.
Either option is valid, and each has its advantages and disadvantages. You will need to discuss with your real estate agent which your property is best suited to.
Finally, it is imperative to choose the right time to sell. You don't want to sell when property values in Canberra are low, as this will drive your own property value down. It may be tempting to try to sell as quickly as possible, but in the long run it is best to wait if necessary and potentially receive thousands more for your property.
If you're selling your Belconnen home, get into contact with the experts at Ray White Belconnen for expert advice tailored to your neighbourhood!