Every listing consultation goes a specific way; The first question always asked is “How much is my home worth?” The second question is almost always “Is there anything I can do to get more money?” I have a feeling that many homeowners in this mindset search the internet for “Should I remodel my home to boost its market value or sell it as-is?”. There is a lot of misinformation online about this topic, and everyone has an opinion about it. This decision can significantly impact the final selling price, time on the market, and overall experience. To help you navigate this choice, let’s explore when remodeling makes sense and when selling as-is might be the better route.

Why Remodeling Can Be a Game-Changer

Remodeling a home before selling can dramatically increase its appeal to buyers and potentially lead to a quicker sale at a higher price. The concept of “First Choice Dominance” (FCD) highlights this strategy. In real estate, FCD occurs when a home stands out as the most desirable option available in a buyer’s market. This dominance can be due to modern upgrades, aesthetic appeal, or a home’s ability to evoke emotional connections. A well-remodeled home that aligns with current buyer preferences often sells faster, sometimes even sparking bidding wars, resulting in a premium selling price​. The homes that are for sale at the same time, but are less desirable, will not attract the buyers that made offers on the desired home. Those buyers will sit and wait until a home hits the market with same updates as the home they missed out on.

High ROI Areas to Focus On

Creating positive buyers emotions is the most important concept about Remodeling a home to sell. Envision how the entire house looks and feels.

Targeted renovations—those that focus on key areas like kitchens, bathrooms, and curb appeal—are often the most effective. For example:

• Kitchens and Bathrooms: Buyers often view kitchens as the heart of the home, and a well-lit, updated kitchen with a spacious island can evoke feelings of warmth and hospitality​. Painting the cabinets instead of replacing saves a lot of money. Updating the backsplash is also a fairly
• Curb Appeal: Simple exterior improvements like fresh landscaping, a new front door, or updated light fixtures can make a significant difference in attracting potential buyers to your home​.
• Small Updates Matter: Even minor updates like changing light fixtures, painting walls in neutral colors, and updating cabinet hardware can make a big difference in how a home is perceived. These updates are low-cost but can yield high returns by making the home feel fresh and move-in ready​.
• Remodel Right: Remember, you are thinking like an investor. Don’t over remodel or remodel an area in the home while neglecting other home defects. For example, a brand new modern kitchen will not present well if the flooring is bad, and all the lighting in the home is mismatched and outdated. This is my list of targeted renovations.

Benefits of Remodeling Before Selling

1. Higher Selling Price: Strategic updates that align with buyer preferences increase a property’s market value, leading to higher offers.
2. Shorter Time on Market: Homes that are updated and “move-in ready” tend to sell faster, reducing carrying costs and the stress of prolonged showings​.
3. Less Hassle During Escrow: Remodeled homes are less likely to face renegotiations or delays during the inspection and escrow phases, as potential issues have already been addressed​.

Remodeled homes will always attract more buyers. Photos and videos online will look great and get a lot of attention. One really important thing to understand is that there are factors about your home that might be a turn-off. Unfortunately, you can’t control them. Homes next to freeways, busy roads or train tracks. Location is a big factor. The interior layout is another thing to consider. Buyers are looking for modern open layouts. If the freshly remodeled kitchen is hidden behind walls, they buyers will build the positive emotions we want. Lastly, the neighborhood will effect the sale of your property. Every neighborhood has a price range. Don’t expect your home to sell for more then the highest selling price for your location. It might happen, but when developing a remodel plan, it’s important to understand this concept.

When Selling As-Is Might Be the Better Option

While remodeling can be beneficial, it’s not always the right choice for every homeowner. Here are a few scenarios where selling as-is might make more sense:

1. Time Constraints: If you need to move quickly—perhaps due to a job relocation or to align with a specific school calendar—waiting for a remodel to be completed might not be feasible. Even small remodels can take months to complete when accounting for permits, contractor schedules, and unexpected delays​. On the other hand, if you can secure your next home before selling your current home, you are actually in the perfect position to remodel. The house will be empty, the work can completed quicker, and you’ll sell for a higher price.
2. Budget Limitations: Major renovations require upfront capital, and not all homeowners have the financial flexibility to undertake these projects. In such cases, selling the home as-is can be a less stressful option. If a remodel will benefit you, don’t think you have no options because of money. There are short loan products (bridge loans). I also offer interest free remodel loans, that are paid back at the closing of escrow. Don’t let money get in the way of moving up.
3. Market Conditions: In a strong seller’s market, where demand is high and inventory is low, selling as-is might still fetch a reasonable price without the added cost of renovations. However, even in a seller’s market, basic repairs and staging can still help make your home more appealing and may be worth the minimal investment​.
4. Condition of the Home: If a home requires extensive repairs or has structural issues, the cost and effort to remodel might outweigh the benefits. In these cases, it may be more practical to sell the property as-is, especially if the home is located in a high-demand area where buyers are willing to take on a fixer-upper​.

Important Real Estate Concept

Once a person buys a home. They will most likely continue to move up the property ladder. Buying better homes every 16 years. Buying low and selling high throughout your life will compound and exponentially increase the home options later in life. Now imagine what the buyers are thinking about when they tour your home. They want to move up in life. If your home reminds them of their current home, they will probably pass. The market doesn’t matter in this situation. In a buyers market, a remodeled home might not sell for the absolute highest possible price but it will sell faster and higher then the other homes for sale. You can take the extra money and get a really good deal on your next home.

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Risks of Selling As-Is

• Lower Selling Price: Homes sold as-is typically attract offers that are lower than those that have been updated or remodeled.
• Fewer Interested Buyers: Many buyers are looking for move-in-ready homes to avoid the hassle and expense of renovations themselves. Selling as-is could limit your pool of potential buyers.
• Potential for Buyer Negotiations: Buyers may request repairs or price reductions after home inspections reveal issues that need to be addressed.

Balancing the Decision: Key Takeaways

Deciding whether to remodel or sell as-is depends on your specific situation, including time, budget, and the current market conditions. If you decide to remodel, focus on high-impact areas and updates that buyers value most. Consult with a real estate expert to guide you on which updates will yield the best return on investment and align with current buyer demands​.

On the other hand, if time is of the essence or the costs of remodeling outweigh the benefits, selling as-is might be the more practical choice. In either case, a seasoned real estate agent can help you navigate these options to achieve the best possible outcome for your home sale.