We own a house in California (San Jose) that was being rented out up until a month ago. We now want to sell the house. Actually we wanted to sell the house years ago, but emotional attachment led us to rent it out when we moved out of it. Now we've realized that we hate being landlords. We didn't run into any significant problems, but hated wasting time on it. I believe we have until January 2021 to sell the house, before we will owe capital gains taxes on it.
The house needs a bit of work, or at least I think it does, in order to make it more presentable for sale. It's by no means a dump, but new bathroom and kitchen fixtures (countertops, toilets, sinks, shower stalls, etc.) will make a big difference in how nicely it presents itself. And it definitely needs a new coat of paint inside. Liquidity for these renovations isn't an issue.
My actual question:
Given our laziness, how much of a hands off approach can I take with this? Can I just hire a real estate agent, and have him/her do all the renovations and selling? Or should I engage with a separate contractor myself? We have no experience with home selling, and I'm hesitant to engage with an agent/contractor before I do some research.
Home Selling Advice
Re: Home Selling Advice
Some realtors will have a go-to contractor or a list of contractors you can contact but generally contacting them, opening the door for them, creating a to do list with paint colors, fixture choices included, supervising their work and ultimately paying them is up to you. Many realtors will just make suggestions on repairs and leave the rest in your hands. I don’t know if any realtor that will actually coordinate the repairs for you. That level of service might be difficult for you to find, but you can certainly ask.
Re: Home Selling Advice
Real estate is local so check with your agent, but in general I would not do upgrades like countertops or shower especially in San Jose. Is this an entry, mid-level, or high valued house for the market?
If entry or mid-value with what you describe I would remove all dated window coverings, paint walls off white, and replace carpeting that can't be cleaned or has pet odors. That will make it look light and spacious. I'd defer to the realtor but staging might not even be necessary.
If you expect to get multiple offers within a few days there's no reason to do the extra work and it won't get you more for the house. Market competition will get you that. List and be done with it. Let the buyer take care of it; they'll probably redo it anyways.
If entry or mid-value with what you describe I would remove all dated window coverings, paint walls off white, and replace carpeting that can't be cleaned or has pet odors. That will make it look light and spacious. I'd defer to the realtor but staging might not even be necessary.
If you expect to get multiple offers within a few days there's no reason to do the extra work and it won't get you more for the house. Market competition will get you that. List and be done with it. Let the buyer take care of it; they'll probably redo it anyways.
Re: Home Selling Advice
It's entry-level. Zillow values it at about $1.15M. It's just a cookie-cutter house.stan1 wrote: ↑Sun Jun 07, 2020 6:14 pm Check with your agent, but in general I would not do upgrades like countertops or shower especially in San Jose. Is this an entry, mid-level, or high valued house for the market?
If entry or mid-value with what you describe I would remove all dated window coverings, paint walls off white, and replace carpeting that can't be cleaned or has pet odors. That will make it look light and spacious. I'd defer to the realtor but staging might not even be necessary.
If you expect to get multiple offers within a few days there's no reason to do the extra work and it won't get you more for the house. Market competition will get you that. Let the buyer take care of it; they'll probably redo it anyways.
I'm not sure what the market is like these days. I imagine it's not great w.r.t. getting multiple offers, and bidding wars.
I get the point though, and I should think more carefully about whether I should be doing these upgrades. I certainly would prefer not to if the ROI isn't great.
Re: Home Selling Advice
I wouldFind a good real estate agent and start there.
You should spend some money to maximize your return, but not a ton. Unless it’s a total dump, I wouldn’t renovate anything.
Fix anything that is broken.
Clean, clean, clean
Paint the inside, especially entry, kitchen master, and bathroom
If needed, paint the outside. Otherwise power wash it.
Replacing dated light fixtures and wall outlets makes a huge difference. And since you’re painting, it’s a good time to do it.
Best of luck.
You should spend some money to maximize your return, but not a ton. Unless it’s a total dump, I wouldn’t renovate anything.
Fix anything that is broken.
Clean, clean, clean
Paint the inside, especially entry, kitchen master, and bathroom
If needed, paint the outside. Otherwise power wash it.
Replacing dated light fixtures and wall outlets makes a huge difference. And since you’re painting, it’s a good time to do it.
Best of luck.
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Re: Home Selling Advice
Agree, contact realtors (at least 3) and have them evaluate the home and what to update. Ask them what you can get for the home “as is” and what can you get if you do the recommended upgrades. Many things can be done that will not cost a lot and will make your place more presentable. Remember some realtors just want to sell as fast as possible with the least amount of effort, so only do upgrades that you reasonably believe will sell the home faster and that will add to your asking price.