What to Look for in a Resale Home?
Many Sedona home buyers are looking for a home to potentially resale down the road. However, deciding upon a home's value can be a complex process. Do upgrades and remodeling projects really pay off? What is worth more: a three bedroom or four bedroom home with the same square footage? Read ahead to learn the answers to questions like these.
What to Look for in a Resale Home:
- Location. You've heard again and again.... "location, location, location." Location is important and includes factors such as the price of recent nearby home sales, the quality of local schools and whether the area has a strong sense of community. Buyers are valuing community in the community where they're buying more and more. They're looking for a forever home, not one for four years, but focusing much more on the community, the activities and the school district.
As more and more people are looking to lessen their dependence on the ability to drive around, some homebuyers seek out communities that don't require vehicles to get around. One resource is WalkScore.com, which rates neighborhoods throughout the U.S. based on access to public transit and proximity to grocery stores, parks and more. Empty nesters are also very interested in walkability.
However, we all know location includes many other considerations. Does it have a view? Is it a waterfront home? Is it close to noisy streets?
- Size and layout. It used to be that homebuyers would go gaga for a ton of square footage, but it's not so much that way anymore. Homebuyers have come to realize that mini mansions aren't all they're cracked up to be with their extra space to clean and more to upkeep.
Layout is a key factor, though, because an open-concept design can look much more spacious than a boxy space of the same size. Additionally, larger but fewer bedrooms is more desirable than more bedrooms that are much smaller.
- Age and condition. Historic homes that have been well maintained and new homes are typically more valuable than homes built somewhere in the middle. Generally, as a home gets older, it becomes less valuable. However, there's a point where they've been around so long that their value increases again. A home built in the early 1900s is usually more valuable than a home built in the '70s.
Age aside, condition matters too. A buyer will pay $15,000 more for a well-kept house that’s move-in ready than they will for a house that needs a few thousand dollars worth of work.
- Upgrades. Renovations contribute to a home's value, but if your home is considered "over improved" compared with other properties in the neighborhood, it can actually hurt the property's value. You want it to be common for the neighborhood. Unless you live in an area where granite countertops and built-in wine fridges are the norm, you might be better off saving the money and choosing more basic finishes your kitchen. However, you should keep records of repairs and upgrades to show potential buyers that the home has been well-kept.
- Unfortunate events. If your property has issues like mold or experienced a fire or was the site of a violent crime, it could be more difficult to sell – and command a lower price. People can be very concerned with these things. Federal law requires the disclosure of all known lead-based paints, but state laws vary in whether the seller must disclose issues related to natural disasters or crimes committed on the property.
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