How can you add value to your property through renovation? This is a question many Australians are face when purchasing a property, for either personal or investing. Renovations can be a big task so it’s important to consider whether the time, money, and effort will align with your property goals. It can be a challenge to know what the market wants and what people like, so this episode will help you understand the best strategy for you!
Buyer’s agent Amy Lunardi and Rask founder Owen Rask talk through actionable ways for you to understand how to add value to your property.
On this episode of the Australian Property Podcast:
- Amy and Owen’s personal experiences renovating
- Renovation goals: What are you trying to achieve? Is your renovation for personal or financial benefits?
- Ways to add value:
- Cosmetic
- Paint, flooring, curtains/blinds, light fittings, landscaping, benchtop
- Changing floorplan
- Extending up or out
- Things that do not necessarily add value
- Insulation
- Solar panels
- Irrigation
- Better appliances
- Ways to save money
- Labour
- Materials
- Sprucing up for sale
- Focus on the feeling of a property
- Cosmetic and comfort
- Consider the demographics
- Speak to local agents
- Extra considerations
- Avoiding replacing something you’ve already paid for (eg buying a property with a modern kitchen then replacing it)
- If doing major works, ideally increasing the accommodation or size
- Overcapitalising
- Consider the true costs – holding costs, opportunity cost, your time
- Sometimes can open a can of worms once you start
