Home improvements are likely to increase the value of a house. Sometimes, this might bring down the resale value of your home. Generally, homeowners and sellers make unwanted luxurious upgrades for the house. And this might end up burning their pockets instead of getting a good resale amount in hand.
People who live in Chennai usually can expect a good resale value. Be it a small town or a posh locality in Chennai, there is a guarantee that the houses are sold with a fair amount. But people expect more in return and try to do unwanted improvements just to make it look like the Luxury villas in OMR, ECR, Porur and other posh locations. Upgrading your homes as per the trend is good, but it would be more difficult to sell the house in the future. Because most house hunters look for affordable houses rather than luxury houses.
Here are some of the home improvements which turn up affecting the resale value of your house negatively.
Adding your personal tastes and favourites
The more personal upgrades you do, the more negative impact on the resale value. For example, installing your favourite music player with heavy soundproof windows might be what you want. But this is not the same what a buyer expects. Instead, if you install a cooler to escape the heat of the Chennai’s summer, then it might help you sell the house for more. Moreover, the scorching summers are way too hot to handle without any AC or cooler at home. There is a difference between upgrading as per your taste and upgrading practically.
Limit the luxury upgrades
While most homebuyers do not wish to look for a house with low-quality upgrades, the luxurious upgrades might not offer you a handful of money until you are in a very high-end locality. Most homeowners upgrade their kitchen with customized cabinets and shiny marble floors in bathrooms. This might look luxurious but buying one is not easy for a buyer. So thinking from a buyer’s perception would help you in finding the upgrades which are worth doing it.
Your changes should match your neighbourhood
Imagine you live in a neighbourhood where there are only one-storey individual houses. If you add an extra storey with luxurious upgrades, then buyers might focus on the other affordable homes in your neighbourhood. Your house might end up not fitting within their budget. If your neighbourhood has two-storey houses, then adding a storey for your house might help you in fetching a good resale amount for your upgrades. Your house looks decent enough to stand high in the neighbourhood with all your upgrades when compared.
Home improvements should sync with the rest of your house
Sometimes, owners tend to upgrade only a part of the house. The rest seems the same. If you wish to upgrade a particular room, say master bedroom, then it should sync with the rest of your house. Hence, no one wants to pay more just for one particular improvement which is particularly done as per the owner’s choice.
Be realistic about home improvements
Having upgraded your kitchen with Rs.1 Lakh for a house worth of Rs.25 Lakhs must not expect it to sell it for Rs.30 Lakhs. So always think practically when it comes to upgrading your home. Because there are a lot of agents who buy a house for low cost and upgrades it and sells for more money than imaginable. This might not be favourable for a single homeowner. The agents take this as their source for living and deliver the product as per the buyer’s expectations properly. So never blindly put all your money to upgrade your house unnecessarily expecting a huge resale value. Sometimes, this might affect negatively on the resale value of your house.