I’ve been doing this for many many years and I understand that there are many different thoughts of real estate.
One thought is that the house has to be absolutely perfect to sell. This thought is good most the time but sometimes it can cost you a ton of money. Let me give you an example if you’re selling $1 million house that needs million-dollar things and people expect those types of amenities for the house. If you’re selling $100,000 house you need to be careful that you don’t put million dollar house amenities in but what is right for that property.
The way you do that is look at the sold properties and see what they have in rehab and all the upgrades they added. You need to also look at the days on market and really concentrate on the lower days on market items.
I’ve sold many many houses the range from $100,000-$525,000 I’ve usually been able to not over do a property.
Let me give an example should you use granite countertops or just regular countertops? My thought process is always based on the sales price and where you are selling the property. Example a median price home in San Fransico is a very high end in the Cleveland area. My guidelines(in Cleveland) run like this if it’s over $200,000 you definitely need granite countertops in the home in order to sell it most of the time. If it is under $200,000 then you may not need granite to sell it. Why do I even bring this up?
I’ve been working on many different houses lately and I’ve noticed that the budget is significantly changed if you do not used the proper types of amenities that the home needs to sell for the price you desire. Many times I see investors go overboard or under board on the homes and expect a better result. This does not always happen and they end up spending too much money.