Many investors will tell you real estate is one of the safest investment options. For the past few years, Nashville has been experiencing a boom as hundreds flock to Music City daily. Amazon’s imminent arrival will only increase the real estate market value. Preparing your property for a potential sale, even if it’s a few years down the road starts with a few renovations. As condo owners, you don’t own all aspects of the property, but there are notable changes and improvements you can make to increase the resale value.
Condo Improvements That Add Market Value
Renovate the bathrooms.
Many real estate agents agree a bathroom renovation will do a lot to improve your market value. Nothing turns off a potential buyer faster than outdated bathrooms or kitchens. You can start with a bathroom because it doesn’t require you to pour tens of thousands of dollars to make improvements. Spending between $3,500 to $7,000 on upgrades will go far and get almost 100% on return. A complete overhaul does exceed the ten thousand dollar threshold. Consider this if you think the updates would not just benefit during a sale but could be something you will enjoy as well. Here are average costs if you are considering renovations:
- Bathtubs: $2,600 – $4,100
- Shower: $3,000 – $4,800
- Sink: $1,400 – $2,300
- Toilet: $340 – $480
Update your kitchen.
Since we already mentioned that many buyers highly value updated bathrooms and kitchens, let’s take a closer look at what that means. Kitchens are a major component of any home. It’s one of the first rooms buyers see when viewing the property and impact the perceived market value. Updating the kitchen is costly. If you have the money for a complete overall, you will recoup most of the cost in the resale. However, those with a limited budget are not out of luck. Think cosmetically and make minor changes. Painting the cabinets, updating the faucet, and replacing fixtures are good places to start.
- Minor remodels including painting, new floors, counters, etc.: $20,800
- Major remodel with new appliances, custom cabinets, new floors, and paint, etc.: $62,200
- Upscale remodel including advanced technology appliances, stone countertops, backsplash, and floor tiles, etc.: $123,000
Get new home appliances.
Buyers weigh up how long it will be before they need to replace old appliances. You can do a lot to improve the resale value by purchasing new appliances for them. If this is the route you want to take, then you should consider obtaining a matching set. Budgets that allow for upgrades should consider doing so if you don’t plan to make many other home improvements. Getting something technologically advanced is a huge bonus. It means it’s not only it’s new but modern. The average cost of appliances are:
- New fridge: $900-$8,000
- New Oven: $650 – $2,000
- New Washer/Dryer: $700 – $1,000
- New Dishwasher: $400 – $700
Add more storage or improve storage spaces.
All of the projects listed here will benefit you as you reside in the condo, but nothing beats added storage. Adding brand new storage options is a bit of a challenge in some condos. But, it’s encouraged to look at your space creatively to see if there is anything that could be improved. Awkward corners could become new closets, or you can expand existing. Never underestimate the value of a custom closet. Custom closets include a lot of storage updates like drawers, cabinets, and hanging space that will improve the value of the condo. The average cost for a custom closet is between $200 and $6000.
Additional Renovations You Can Make to Your Condo
- Replace the floors with either new carpets or hardwood flooring if budget permits.
- Update hardware throughout the condo. From the kitchen cabinets to the doorknobs, minor changes don’t cost a lot but make big impressions.
- Switch to new lighting fixtures. The new accessories improve asset value and transform the aesthetics.
Buying Condo Insurance
Condo insurance covers the property in the event of a fire, theft, storm, or vandalism. These renovations aren’t cheap. You want to protect your investment in more ways than one. Purchasing condo insurance is the best way to get the coverage you need while improving market value. Personal property coverage will insure things like furniture or possibly the new appliances. Building Property Protection protects parts of the property inside that doesn’t belong to you as the owner. Both are necessary for comprehensive protection.
