Have you over-valued your home? Myths that cause homeowners to miscalculate their worth
If you’re planning to sell your property and move homes in 2016, then be aware of these property selling myths before you put your house on the market. Estate agents are often criticised for over-inflating the value of a property in order to gain more money in commission fees. This puts home owners in a difficult position. They are obviously attracted to the high price tags promised by agents, yet might find that they remain on the market for longer as they’re not in the correct price bracket for interested buyers.
Check out these five property selling myths before you commit to a value for your property. Likewise, don’t pay over the odds when buying.
Many homeowners are under the illusion that south-facing gardens add a huge amount of value to a property as they get the most sun. However, insurance firm Direct Line reveals that this type of feature really only contributes an extra £800 to the property value. In addition, people are put off large gardens.
As TV property expert Kirsty Allsopp explains “We’re not interested in our gardens anymore; we’re not the passionate gardeners we used to be”. Buyers are increasingly more interested in the manageable type of space that an average garden provides. Many people actually prefer a west facing garden – you get the evening sun, which is perfect for those who work all day and want to relax in the garden during the long summer evenings.
Kitchens and bathrooms
An attractive, bright and spacious kitchen can sell your house, but homeowners are guilty of massively overspending on both their kitchen and bathroom installations. Concentrate on creating a clean and fresh space, paying attention to the layout and finish, but don’t waste your money on expensive kitchen or bathroom cabinets as buyers really can’t tell the difference.
For example, you can install a good quality kitchen with a range cooker for around £5000, but many kitchen fitters will charge up to £20,000 for a state-of-the-art kitchen.
It’s a real myth that houses that have a larger number of bedrooms are worth more than those with less. Instead, the size of the bedrooms is of vital importance to buyers. This is perhaps surprising news when many people spend so little time in them, but spacious bedrooms always sell homes.
It is certainly true that homes that are located next to busy roads will be harder to sell. However, those that are near to tube or train tracks aren’t particularly affected in value and in fact many buyers see the convenience of transport links that you can walk to as a real selling point.
Unfinished DIY projects
Sadly, many potential buyers will not have the vision to imagine your home in any other way than it is currently presented. Therefore it’s not wise to leave incomplete DIY projects such as an uncarpeted spare room or untiled bathroom. Spend a couple of weekends tying those loose ends up before putting your property on the market and you’ll receive a much more positive response.
If you have fallen for one of these common property myths and are having difficulty selling your house even though you’re emotionally or financially committed to a new home, then this is a frustrating position to be in. However, there is a solution in the form of bridging loans.
A bridging loan is a short term funding option that is available for up to 100% of the property price with interest rates as low as 0.99% per month.
Your property will sell eventually, but there may be a delay. To ensure that you don’t miss out on securing your dream home, consider a bridging loan to tide you over until your existing property sells.