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Possible Remodeling Work
The best places to spend money on a remodel are as follows:
1. Exterior painting ($4,000)
2. Landscaping and cleanup ($3,000)
3. Interior painting ($3,000)
4. Home inspection services ($450)
5. Repairs required by inspection ($2,000)
6. Replace floors ($8,000)
7. Bathrooms, replace toilets, sinks, tile, floors. ($4,000 each)
8. Kitchen. The cost can range from $10,000 to $50,000, so this will have to be analyzed thoroughly.
9. Structural pest inspection ($350)
10. Repair work for termite work ($4,000)
A Start
The best place to start is with a structural pest inspection and a home inspection so that we can see where we are in the way of repairs to be able to sell the property. Another important part of the work is to determine the status of the trees and to determine if any are Heritage trees and if any of the trees are infested. Locations, status, and health are important factors.
Then after the remodeling and repairs, it is time to update the market value of the home:
Pricing Discussion Points
· Inventory is 20 percent lower than last year, which is a good indicator for a supply and demand analysis.
· The typical home in the North Los Altos Area sells in 45 days.
· The typical closing takes 35 days of escrow.
· New buyers need to move into their home before June to qualify for the fall semester of school.
Summary Points
· (Example Home) is a great home in a good location with an over-sized lot.
· Landscaping and interior work is in good shape which makes for a quicker sale.
· Staging is recommended. A well presented home with beautiful staging presents the home in its best light.
· Having the home unoccupied during the sales period is also recommended to allow real estate agents full and easy access to the property to show their clients. That way the highest number of potential buyers see the place in the shortest amount of time.
· Timing to the market is important. March through June are some of the best selling months of the year. Releasing the home to market in mid-April is very good timing. If the timing doesn’t work for this Spring, then the next good time is in September.
· Performing a crescendo marketing campaign leading up to a Broker’s Tour can build anticipation for the release of this property. This would include websites and email marketing.
Pricing Points
· The average home in the neighborhood is $1.58M at $721 per sq ft on an average lot of 10,400 sq ft.
· No other direct comparables exist.
· The home at (Example Home) is in excellent shape. Add 2% for the Chef’s kitchen and updated bathrooms.
· Add 10% for the oversized lot of 14,374 sq ft. and excellent landscaping.
· Add 3% for the hot market with multiple offers at the moment.
In summary, the recommended listing price for this home is between $1,739,000 and $1,828,000.
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