Selling a home is a huge decision, and it often comes with a major dilemma: Should you invest in renovations before putting it on the market? On one hand, you want to get the most value possible, but on the other hand, the idea of spending time and money on upgrades might feel risky. What if it doesn’t pay off?
At JSB Home Solutions, we understand the importance of making informed decisions when selling a home. That’s why we’ve teamed up with local Columbus area realtor, Kendra Carter of The Carter Group with Keller Williams Realty, to bring you a well-rounded perspective. With our 46 years of expertise in home remodeling and Kendra’s deep knowledge of the real estate market, we’ve got both sides covered. We understand the hesitation homeowners feel—why put money into a home you’re about to leave? Together, we’re here to offer the insights you need to make the best decision for your situation.
In this article, you’ll learn the pros and cons of renovating before selling, helping you make an informed decision. By the end, you’ll know which renovations are worth the investment and whether sprucing up your home is the right move for your situation.
Table of Contents:
First impressions matter, and buyers are often drawn to homes that look move-in ready. Renovations can make your home stand out in a competitive market. If you’ve got outdated flooring or tired, worn-out cabinets, making a few upgrades can give your home a fresh look that attracts a broader range of buyers.
Homes that have already had key updates done tend to sell faster. Buyers appreciate not having to do the work themselves and are willing to pay more for a home that’s ready to live in from day one. If your goal is to sell quickly, renovations might help move the process along.
"Average days-on-market is a big psychological factor for buyer perception in home sales. Homes needing larger scale remodels tend to sit longer, and have more price reductions." - Kendra
"We will run a Seller Net Sheet with our title company to accurately project home sale profit. We can then factor in renovations and how that can increase profit, and if it makes sense for current cash on hand. More importantly, some renovation companies offer financing for remodeling. That could be a great option as well." - Kendra
What if the updates you choose don’t appeal to potential buyers? Over-customizing your home to your personal taste could limit your pool of buyers. While you may love that bold, modern design, others may find it off-putting. Sticking to neutral, broadly appealing updates is key, but there’s still a risk that the renovation won’t resonate with everyone.
"Over improving is a thing, as well as poor selection with finishes. We have seen bold colors, finishes and fixtures not resonate with the market in many cases." - Kendra
Even a small project can turn into a lengthy process with delays and unexpected issues. If you’re in a hurry to sell, taking on a renovation might push back your timeline more than you’d like. Time is money when selling a home, and if the renovation drags on, you could lose potential buyers.
"In some cases, you could receive a higher net profit selling as is. Rushing a renovation could also lead to messy DIY fixes and that will only lead to lessening value, rather than increasing." - Kendra
Before diving into renovations, it’s important to focus on projects that will give you the best return on investment (ROI). Not all upgrades will boost your home’s value, so knowing which renovations typically pay off can help you make smarter decisions. Let’s take a closer look at which projects are worth the investment and which ones may not be.
If you do decide to renovate, focus on these types of projects to boost the value of your home. These types of projects will let you set a higher asking price:
Some renovations aren’t worth the investment because they cost quite a bit to accomplish but don’t boost the overall value of your home very much:
Before deciding whether to renovate, it’s crucial to understand the current state of the real estate market. A seller’s market happens when there are more buyers than available homes, driving up demand. In this scenario, buyers are often willing to overlook small cosmetic issues or even larger repairs just to secure a home. In a hot seller’s market, you might not need to invest in major renovations because the high demand allows you to sell at a favorable price without extensive updates.
On the other hand, a buyer’s market occurs when there are more homes for sale than buyers, which gives buyers the upper hand. They have more options to choose from, so they’re likely to be pickier and look for homes that are move-in ready. In a buyer’s market, making key renovations—like updating kitchens, bathrooms, or enhancing curb appeal—can give your home an edge over the competition. In this situation, renovations might help your home stand out and attract buyers who aren’t looking to take on projects after purchasing.
By understanding whether you’re in a buyer’s or seller’s market, you can better decide whether renovations are a smart investment before selling.
The current state of your home plays a major role in whether renovations are necessary to attract buyers before selling. Some homes might benefit from a few key updates, while others could appeal to buyers as-is. Let’s look at a few examples:
By assessing the overall condition of your home, you can better determine whether investing in renovations will boost its value and appeal to buyers, or if it’s more practical to sell as-is.
How much are you willing to spend, and how quickly do you need to sell? Your financial situation and timing will heavily influence whether renovations make sense. If you’re working on a tight budget or timeline, it may be better to skip the renovation and focus on pricing your home competitively.
If renovations aren’t in the cards, you can always sell your home as-is. Some buyers, particularly investors, are looking for homes that they can fix up themselves. Selling as-is can save you time and money, though you may need to adjust your asking price accordingly.
"We will put both scenarios on paper to help you decide what path is best. Last year, we helped a homeowner net $100,000 over the projected as-is sale price by doing a $22,000 remodel." - Kendra
Another option is to offer buyers credit toward repairs or renovations. This way, you avoid the upfront cost and hassle of renovating but still provide buyers with an incentive to take on the project themselves.
"For this option, we want to ensure the buyer's financing will allow this type of credit. In some cases, there are seller credit limits." - Kendra
So, should you renovate before selling your home? It ultimately depends on your budget, timeline, and the current market conditions. If you’re looking to maximize value and attract more buyers, certain renovations can definitely help—but they come with risks, including upfront costs and potential delays.
Before making any decisions, consult with a real estate expert or remodeling professional. They can help you assess the current market, the condition of your home, and which improvements—if any—make sense. With the right guidance, you can confidently choose the best approach for selling your home, whether that means a full renovation or selling as-is.