What NOT to Fix

It may be hard to imagine selling your home shortly after you purchase it, but realistically, most people only live in their homes for 5-7 years.  Of course, when you buy your new house you have a whole slew of ideas for projects that can really make this house yours.  None of them, more than likely, include what you can improve to entice buyers when you sell it in a few years.  When brainstorming these renovations and projects, try to keep in mind that what you do now may have an impact on both how long the home takes to sell and how much money you’ll walk away with in the end.

WORST RENOVATIONS YOU CAN MAKE if you hope to get a payoff when you sell:

1. Swimming Pool – It is hard to ignore the dreams of swimming in the privacy of your own pool in your own back yard.  If you have the money to invest the 30-70k it takes to install an in-ground pool, the only questions left if whether or not you can recoup the money when you eventually sell… The answer?  Depends on where you live and when you sell.  If you live up North, pools aren’t as highly regarded as pools in states where summers and hotter and longer.  The same goes for home shopping in the winter.  That gorgeous covered hole in the back yard in no longer as enticing when shopping in the cold of February.  Bottom line, with the money it takes to build and maintain a pool, it is not worth the investment when it comes time to sell.
2. Garage Conversion – Don’t do it!  If you really need the space and the extra bedroom for your time living there, then okay.  But if you are expecting that extra bedroom to be worth more than the garage when you decide to sell, you are mistaken.
3. Permanent Conversion of a Bedroom – Yes, bedrooms do add value to a home… most of the time.  If you convert a bedroom into an office, or rec room, be certain that when it comes time to sell the home you are able to convert it back!  If not, your same 3 bedroom home is now only being compared to 2 bedroom homes in your area when your house is being appraised.

When it comes to renovating, save your money for the more boring and safe investments, such as new plumbing or electrical upgrades.  While they are not as glamorous, they are a sure way to recoup the money you put in to your upgrades.