Tuesday, January 24, 2012

She may be a beauty queen; but she lives in the slums

Don't make me say, "I told you so!" 5 or 6 years ago I was asked my thoughts on a home owner's idea to renovate their home with the idea of adding value for a sale. This home was across the street from the waterfront, in an area perpetually boasting possible commercial, tourist development. Around the home were more old cottage style homes and along the street a fair bit for sale in hopes a developer with deep pockets would swoop down.

My advice to the owners was to do nothing. If anyone wanted their home at the value they were hoping for, it would only be to demolish it and incorporate it with more properties to have a base for a hotel or business. I cautioned that if they spent too much money and time overdeveloping their home, they would not see the return because of the neighbourhood and future of that area.

Sadly they chose to ignore my advice and sunk a ton of money into a lovely renovation. Their home sat on the market on and off for two years and last time I drove by there was a sad little for sale sign out.

When I was trying to sell it for them; almost every buyer's feedback was that it was a beautiful home....but didn't fit the neighbourhood. And, from a developer's standpoint, they'd snap up the old cottages before they'd touch a 600,000 home.

It gives me no satisfaction to say, "I told you so."

Do yourself a huge favour. If you're thinking about doing a renovation with the idea of adding value to your home sale price, first consult a straight forward Realtor who will give you a reality based opinion! Often the best reno for sale is no reno! Buyer's often would rather buy a home that needs some upgrading for a lower price and do the work as and when they can afford it.

Unless you're doing it solely for your pleasure and living enjoyment, don't overdevelop! You can create a beauty queen...but if she lives in the slums her prince charming will never find her.

A great Realtor will always give you the "big picture" view and you are never "bothering" them to ask their advice.

3 comments:

Unknown said...

I remember this home... and that feedback! So true Beth!

Poems and stories beth mccarthy marks said...
This comment has been removed by the author.
Poems and stories beth mccarthy marks said...

Yup! You know the one! Thanks, Brell!