Consider Resale Value When Buying a Home
The time to think about selling your home is the day you buy a home. If you buy a home with good resale value, it should be fairly easy to sell if and when that time comes. But some home buyers never consider resale value when they buy; they focus solely on whether the home suits their needs at the time of purchase.
Number One Rule of Home Resale Value. Location. You hear the phrase in triplicate – location, location, location! If you choose a home in a desirable location, odds are that the location will remain in favor which will always attract a larger pool of buyers. Alternatively, if the location is less than desirable, it’s possible that your future sales price may be less than the homes around it thus attracting less interest from buyers. Be careful to choose the correct location.
Basic Indicators of a Home with Good Resale Value. Foremost, define the type of buyer who would purchase such a home. Then think about the type of home that kind of buyer would need. How does your home compare? Here are some indicators of a good resale value home:
- More than 2 bedrooms. If almost every home in the neighborhood has only 2 bedrooms, owning a home with fewer than 3 bedrooms is most likely not a drawback. Many couples need a guest bedroom and/or office, if not an office for each occupant. A home with 3 bedrooms or more can be a better choice to ensure future resale value.
- More than one bathroom. Buyers will still buy a one-bath home but they may expect to pay less for it. Given a choice between a two-bath home and a one-bath home, first time home buyers will almost always opt for the two-bath home. And, it’s not enough to simply have two or more baths – a home without a master bath could have a lower resale value.
- Family space. A family space is any space in which a group of people can congregate. Whether to entertain friends or to host an event, buyers want a room that is spacious and informal. The days of formal living rooms and parlors are over – every space has a specific purpose or purposes.
- Storage space. People collect a lot of stuff! We have got to store it somewhere! Built-in cupboards and/or walk-in closets are almost essential. Homes with small closets or no storage space could be harder to sell.
- Garage. Unless you live in an area that can rely on mostly public transportation, you need a place to park your car, preferably 2 parking spots. If it’s a covered, enclosed area all the better.
- Good flow, layout. Most home buyers prefer natural light and open spaces, with an easy flow. Many families with young children do not want the master suite separated from the other bedrooms.
- Updates, remodeled. Simple, do-it-yourself home improvements can greatly enhance a home’s resale value. The two best rooms to remodel are the kitchen and the baths. In our tropical paradise, many buyers prefer air conditioning, at least in the bedrooms. Some lenders may make “energy efficient” mortgage loans which may provide for such updates upon purchase.
With over 36 years experience in the Barbados Real Estate industry, Ron Karp Realty Ltd. has an intimate knowledge of the Barbados property market. Contact us today and let our experience and local knowledge work for you.