CARPET CREDITS

When discussing what is worth fixing or not fixing on a house going on the market, my normal rule of thumb is to spend as little as possible, but still get the job done. My thought process here is that you don’t want to spend money on items where you won’t get your money back. For example, it isn’t worth putting in a pool, since it will cost way more to put it in than what you will get in increased sales price.

However, I will often suggest paint or putting in new carpet when it’s needed. My clients sometimes resist that idea and say, “Let’s just offer them a credit for the carpet (or paint, or whatever). I’m sure the buyer can look past it. Besides, what if they don’t like what I put in? Isn’t it better to let them pick their own color, type, style?”

While logically, this makes sense, it assumes that buyers buy based on logic. They don’t! They buy based on emotion, then justify with logic. I’ve observed that buyers make split-second decisions based on how the home “feels” to them the moment they walk in the front door. The assumption that buyers will want to put in their own carpet (or whatever) is wrong, because they are never going to buy the house in the first place! I’ve found that very few buyers can “look past” things that need fixing, even when they say they can.

It is better to either fix the condition, or reduce the price to compensate for it. However, if you reduce the price, a buyer might still expect a price reduction later to compensate for the issue. This is why it is usually better to just fix it, whatever “it” is. If you are considering selling your home and you aren’t sure what’s worth fixing up, reach out to me and I can send you my free fix-up guide.

If you have questions about real estate, call me at (925) 998-9712. Voted “Best of Brentwood” multiple times. To search the MLS for free, go to: www.SharpHomesOnline.com. Sharp Realty. #01245186