Maintaining or increasing the value of a home requires a plan. Not every investment leads to a corresponding increase in value. And in the event of an impending sale, it is better to leave some interventions to the future owner.
For many Belgians, the purchase of the family home is the most important investment in their lives. Even after the purchase, the home remains a significant expense item. On the other hand, the house can generate a significant added value in the event of a subsequent sale. The value may be increased even more with targeted interventions. Does it make sense to quickly invest in energy-saving measures in the event of an impending sale? And which investments are more likely to be costs at a death home?
1. Maintenance pays off
“The Belgian is a homemaker,” says Siham Rahmuni, the CEO of the real estate company Quares. “On average, Belgians live in the same home for more than thirty years. Our homes must therefore last a long time. That is why it is important that the home is adaptable and that you continue to invest in its maintenance.” Filip Dewaele, the chairman of Dewaele Real Estate Group, confirms this. “A home that does not evolve with the times will sooner or later be labeled ‘demolition building’ or ‘total renovation’.”
The independent real estate advisor Stadim also points out the importance of maintenance investments. “It prevents you from having to implement short-term solutions in the event of a later sale,” says Tom De Ridder, head of the residential department.
2. Avoid half measures
According to calculations by the National Bank, a house with an EPC label A is worth 18 percent more than a house with an EPC label D. It is therefore not illogical that owners with sales plans look for interventions that will lower the EPC level of their home. can improve your home. “For a seller who wants to sell a tired house, roof insulation and new windows are two investments with a view to a better EPC score, which will speed up the sale,” says Koen Hoste of the real estate agent Living Stone.
However, Siham Rahmuni warns against an exaggerated focus on the EPC level: “Unfortunately, our brokers note that this often leads to trickery: embellishment without really sustainable improvement. For example, consider replacing single or double glazing in the same window frame. Agreed, such an investment does lift the house above current requirements, but in the long term the new owners will have to invest again in new exterior carpentry. You better do it right all of a sudden, or you don’t do it at all. Because sometimes, as a selling owner, it is simply more interesting to accept the negative price difference. In any case, it will save you time and worries. And the new owner has the freedom to make the necessary investments as he sees fit.”
3. Timing and payback periods
Yet there is great agreement about the usefulness of energy-saving investments, because they have a double effect: they increase the value of the home and immediately reduce the energy bill. These payback effects vary greatly depending on the type of investment. “Therefore ask yourself how long you plan to live in the building,” advises Tom De Ridder. He also points out that the calculation also takes into account maintenance costs and possible subsidies and premiums.
Siham Rahmuni advises drawing up a timeline. “It is important to respect a certain logic in the combination of techniques,” she says. “The correct order is crucial. For example, there is no point in investing in a heat pump if your home is not well insulated. Insulating the roof, facades, floors and installing windows with high-efficiency glass are actually the basic investments. Solar panels are also a no-brainer, if your roof allows it. The investment is limited and pays off immediately.”
Tom De Ridder believes that financial return is not the only relevant criterion. “If it is the home you want to grow old in, any investment in the home is in principle justified,” he says. Filip Dewaele agrees: “You don’t necessarily make many investments in your own home with a financial intention, but because you think it is a good investment in your family life, your health, your zest for life, etc. Your own home is much more than an investment, it is your warm home, and you can never invest too much in it.”
4. Think about the target group
In addition to the energetic interventions, investments that make the home more attractive to a larger group of buyers can also be considered, says Filip Dewaele: “Creating an additional room in a house with only two bedrooms – for example in the attic – can be interesting, because the target group who looking for a house with at least three bedrooms is much larger than the target group for houses with one or two bedrooms.”
Does this also include investments in the garden? “The outdoor space has become more important since the corona crisis,” Dewaele explains. “But I would still be careful with heavy investments, such as expensive extensions, ponds and swimming pools. It is important that everything remains in proportion. In an exclusive villa, a swimming pool can provide added value, but in a modest home it will be more difficult to fully recover the investment.”
There is consensus about largely aesthetic investments, such as a new kitchen and/or bathroom. “Tastes simply differ greatly, and what is attractive to one buyer may be the opposite for another,” says Tom De Ridder. “Please note: replacing a kitchen or bathroom does have a positive impact on the value at the time of sale, but you will more than likely not recoup the full investment amount.”
5. Don’t forget the little ones
Small improvements can sometimes have a big effect, Filip Dewaele knows. “Anything that makes the home look better makes sense,” he says. “That doesn’t have to be complicated. Simply cleaning up the mess helps. Other classics include installing missing skirting boards, repairing a cracked window, or replacing a broken tile. Painting is also useful: if you’re thinking about selling, a new coat of paint is your best friend. Everything looks fresh and the cost is justifiable.”
Getting assistance from a professional home staging company can also be a responsible investment, according to Siham Rahmuni. “Not everyone has insight into the potential of spaces. Home staging can solve that problem. And that way, potential buyers’ visits will be more valuable.”
2024-03-17 05:51:20
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