So You're Thinking of Selling Your House?
It could be part of your retirement plan todownsize, or you might be running out of room and need to upsize and get a bigger place.
As a Real Estate Broker with a degree in Construction Sci. & Management, I am asked this question so often. Should I renovate my house?
Unfortunately, there isn’t a straight forward response. Every property is different and requires an individual evaluation.
For many of us preparing a home for sale can include spending some time and money onupgrades and/or repairs.
The first step you should take into consideration is to consult a Real Estate Professional. REALTOR®'s can give you a current market evaluation and help point out the items that you need to prepare, maintain, or overall upgrades that can be done to the property; affect the resale price in a positive way.
Here are some examples:
If upgrading the kitchen in a house would cost a Homeowner $20,000.00, but similar homes in the area with new kitchens have sold for more than $40,000.00 (put in $20,000.00 and get back $40,000.00), then maybe a kitchen upgrade is something to think about!
On the other hand, upgrading a kitchen in a house that has major structural problems is not recommended, as the new purchaser may consider a complete renovation of the entire house.
Once you have figured out what maintenance or upgrades need to be completed on the property, if you want to install a new kitchen or kitchen cabinets, if you require making necessary repairs or repairs to your roof, you will need to hire a professional for the job, and you will need a written contract.
In Ontario, any agreement with a Contractor worth more than $50 must be in writing. This means that you should have a contract even for a small home renovation or repairs. If the contract is signed in your home, you are also entitled to a 10 calendar-day cooling off period. Within these 10 days, you may cancel your contract without having to provide a reason or pay a cancellation fee.
Make sure your contract includes:
- The contractor’s name, address and contact information.
- A thorough description of the project, including the materials to be used.
- A copy of the written estimate.
- A clear description of any warranties.
- The total cost and payment schedule, including the deposit amount. We recommend keeping down payments at no more than 10 per cent of the total cost of the contract.
- A work schedule, including start and completion dates.
Avoid falling into the temptation of “paper-free” deals that sound too good to be true. Remember that no receipt means that you have no proof of purchase.
These tips have been provided by Consumer Protection Ontario, a consumer awareness program from the government of Ontario. Visit Ontario.ca/HomeRenos to learn about your rights and responsibilities before you get started.