An increasingly competitive housing environment is prompting a significant number of Ontario homeowners to invest in renovation before listing theirhomes for sale, according to a recent survey
Survey of Home Buying and Selling Trends in Ontario, conducted by COMPAS Research, found 79 per cent of sellers said they made improvements to their homes two years prior to listing and more than one third (39 per cent) of them did so with selling in mind. Further indicative of how sophisticated sellers and buyers are becoming, 37 per cent of sellers made upgrades to their home after listing their property for sale. Home sellers are typically spending $21,000 on average in renovations; the most popular of which are updating kitchens, hardwood flooring, and new windows.
Renovations can drastically influence a home's market value. The Survey found the wealthiest homeowners (those with an income of $150,000 or more) spent the most on renovation at $37,663 on average, while those earning under $30,000 spent the least at $8,263. Renovation costs typically increased with housing values, with the cost of refurbishing a home priced at $500,000 or more topping out at $55,974.
"With buyers visiting an average of nine properties before settling on the one they want to call their own, sellers need a distinct advantage over the competition, "Location is still the primary factor for buyers, but a property's condition also plays an important role. Our Survey found properties with updated kitchen cabinetry, hardwood flooring, new windows, an open concept and a finished basement appeal most to today's selective purchaser."