There has been a significant increase in the renovation expenditure in the Bay Area. The trend in the Bay Area real estate can be associated with the decreased supply of property and the increasing demand for property.
Baby boomers account for the largest percentage of renovations followed by millennials. Baby boomers are willing to spend an average of $6,000 on home remodeling. While some hand over the whole remodeling process to the professional renovators, others opt to do it themselves while others are involved only partly.
Reasons For the Increase in Home Remodeling
Homeowners are opting to remodel their homes before selling to increase their value to match the high prices in the market. On the other hand, new buyers are settling for less-than-standard properties at a lower price and then remodeling them to meet their standards.
As well, increasing mortgage rates are pushing homeowners to become reluctant to sell and instead renovate their homes and stay in them. Some homeowners are not confident that they will make enough from selling a previous house to enable them to buy a new one.
More and more people are investing in huge home remodeling projects. Common home improvements include room additions, kitchen and bathroom remodeling, and garage construction.
What It Means for Home Sellers
Homeowners seeking to sell their property in the Bay Area should keep up with the trends. Renovating a house is going to make it sell quicker in the Bay Area and fetch a higher price.
If targeting baby boomers as prospective buyers, the remodeling should aim to provide safety for the older generation.
Exterior renovations are crucial. They create a first impression on potential buyers. Even though one may have invested greatly in interior remodeling, if the exterior is unkempt, it can degrade the value of the house causing stale listing or low profits on a sale.
Whether remodeling a house so as to sell or to improve living conditions, it is important to work with a professional renovator. A professional renovator will advise on the appropriate renovations, help set up budgets, and source for fittings and fixtures.
An increase in demand for single-home real estate property in the Bay Area has been accredited to the suitable living conditions in the area. Most homes are away from the traffic and city congestion and are spacious.
The Bay Area real estate market is favorable for sellers. With the high prices, high demand, and low supply, home sellers have a real chance to sell their properties faster and fetch high profits for their property.
