How Much Is Too Much When Renovating A Home In Westchester County NY?

Over the years I have had many clients buy, plan to renovate, but decided to hold off because they were comfortable in the home.  Then, when it came time to sell they seriously considered making improvements just to get a higher dollar amount for the home.  A home owner never see's a dollar for dollar increase, just overall improvement and some added value.  Some of my clients bought in 2006 and shortly after the market started to head downward.  

A few years later they wanted to sell and couldn't even ask what they paid for the home due to the declining market.  The homes needed some improvement and even if they put those dollars into the home they still wouldn't come out ahead.  At times, improvements will simply justify your asking price not command a higher one.  I've had this conversation with too many clients and don't enjoy delivering the bad news.  

Buying a home is a major investment as we all know and having a knowledgable agent guide you from the very beginning is paramount.  I sit with buyers all the time and talk about the home they have interest in, what their plans are for the home (and future) , How long they plan to stay, the benefits of certain improvements, and the current state of the market.  

I'm definitely a believer in improving a home for your enjoyment because after all, our home should be our castle.  There is definitely value in the enjoyment of the project.  You will have to seriously consider how long you plan on staying in the home.  If only a short time then you are probably better off leaving it as, unless you got the home for a great price and certain improvements will help you get a higher dollar amount when it comes time to sell.  Kitchens and bathrooms are typically a smart improvement but be careful not to over imporove.  You can spend $10,000 or $100,000 on a kitchen renovation, it depends on your taste and the quality of the finishes.  

Finished basements are another big topic of conversation.  Finished basements are a great way to have additional space for the family and entertaining.  There is definitely value in that but in terms of legal square footage it should only be counted if the basement is above grade and has a legal egress.  You can always call a local appraiser in to talk about how they determine value and adjust where necessary.  It's always wise to do your research in the beginning then to wish you had later on.

Let's pull into the driveway of the nicest home on the block.  Many buyers shy away from the nicest home on the block due to the fear others not following suit.  Before buying the home pay close attention to the neighbors and look for pride in ownership.  This is most likely the most important purchase you will ever make, take as much time as you need to do your research.  An informed decision is a sound decision.

Please feel free to contact me Christopher Pagli, directly on 914.406.9023 or chris@LegendsRealtyGroup.net to discuss this topic and any others in more detail.

I'm Selllng My Home, Where Do I Begin?

Selling a home in Westchester County?  Here are some tips that will make your life a little easier when listing, presenting, and showing your home. 

1) Hire A Professional - Most people selling a home don't know where to begin.  Working with a professional will lighten your load and ensure the property will be properly marketed and priced.  Selling on your own can work, and does, but there are many important marketing tools you will miss out on.  Websites such as Realtor.com and the local MLS are extremely important because the local agents will most likely not know about your property if it's not in the MLS.  Another important factor is understanding how and where buyers search.  If you don't know this information how can you effectively market your home?

2) Detach Your Emotions - This is tough because most people selling a home are attached to it.  If you have made the conscious decision to sell then you are halfway through the process of detaching.  Don't be offended if buyers have negative things to say, everybody has an opinion.  Instead try to take the feedback and see if there is anyway to improve the home.  The sales activity in your immediate marketplace plays a big part in what a buyer will most likely offer on your home.  We can't avoid the facts, so hopefully the state of the market will work for you rather then against you.  Keep this in mind and hopefully the next buyer will love the home as much as you do.

3) Take Great Pictures - I can't stress this enough!  Too often I see lousy pictures taken by either an agent or the seller.  I've even considered making a coffee table flip book for terrible home photos ;o).  We laugh but it's really not funny.  As the seller client you should demand to approve the photos before they are officially listed online.  The main idea here is to capture as much of a room as possible, that means including ceiling and floor.  This helps to show depth in a room.  Toilet, shower curtain, and bed close-ups don't do a room justice.  Take a minute to look through the camera lens before tasking the photo.   Make sure anything that doesn't need to be in the photo is out, such as that bottle of glass cleaner on the coffee table or breakfast dishes in the sink.  If you aren't using a wide angle lens then don't include that photo.  If you have captured the essence of the home in the other photos it's ok to leave something to the imagination.  I'm not a fan of wide angle lenses because they make the room  look like it's being viewed through a peep hole.  Remember, buyers formulate their opinion by what they see online, it can cost you a showing.

4) Be Honest & Disclose Where Necessary - Some sellers make the mistake of trying to hide things.  Work with your professional to understand what needs to be disclosed by law and what doesn't.  If you think something might be an issue before listing your home then correct it.  The less you give buyers to gripe about in the beginning the better.  Make sure any and all work permits are in order if you've done work to the home otherwise it will haunt you in the end and could stall your transaction.  I've had a few past clients that didn't do their due diligence prior to buying the home and got stuck fixing the previous owners work, or negligence.  

5) Don't Hover When The House Is Being Shown - Many sellers want to stick around to see what a buyer is saying about their home.  Give the buyer space, if they get uncomfortable it can end the showing abruptly. You want to the buyer to spend as much time as possible getting a feel for your home, buying a home is an emotional experience.  If they feel like they are home then that is what helps sell the property.  

6) Stage Your Home  - You get one chance for a first impression.  When a buyer enters a home they go on how it makes them feel.  If the home has a consistent flow then it will be more inviting.  Keep the senses in mind, pleasant smells, appealing to the eye, and flow are most important.  There are simple fixes that can make a world of difference and cost nothing!  If you have an awkward layout then it will be hard for a buyer to envision how they will set the space up, if it's vacant.

7) Proper Pricing - This is the most important aspect to selling a home.  Most sellers don't know where to begin when it comes to proper pricing.  Many think they have an idea because they used a home valuation tool on a website.  These tools can be somehwat accurate but the proper way is to have a comparative market analysis done.  Better known as a CMA, this is a compilation of local market data and com parable sales within the past 6 months.  You want to know what similar homes sold for as close tou yours in style, location, and condition.  This is the same data a buyer will use to formulate an offer and the bank appraiser for the loan.  Supply and demand is also another important part.  A seller may be able to ask a bit more then the comps for a home if supply is low and the buyer pool is large.  In Westchester County we saw numerous bidding wars this past spring and the season before.  When a buyer wants something bad enough they may be willing to pay more for the home.

8) Marketing The Home - This is the second most important aspect and goes hand in hand with proper pricing.  Your agent should be an expert in this area and it is your job to inquire about the marketing plan for your home.  We have to think about proespective buyers and how they search, where they search, and what will attract them.  If you don't have a full understanding of all the marketing avenues available and how they work, then don't try to do it alone.

Christopher Pagli - www.WestchesterCountyRealEstateMarket.com

Accredited Buyer Representative

Real Estate Associate Broker

William Raveis Legends Realty Group

914.406.9023 cell

914.332.6300 office

Tips For Making An Offer On A Home

As easy as making an offer on a home seems it can be very dificult for some to do.  As an agent I get asked all the time "what do you think we should offer"?  I technically cannot tell you what to offer just provide you with market data and support in order for you to make an informed and comfortable decision.  

My approach is simple, we need to make an educated offer.  An educated offer is one where we have analyzed the most recent, comparable sales data to the subject home.  It is very important to compare Colonial homes with Colonials because you won't compare them to a ranch.  If a ranch is the only comp then you will have to adjust a bit because Colonials typically bring a higher dollar due to popularity.  Another very important factor is how close to the subject home the comps are, sometimes you have to extend beyond the 1/2-1 mile radius.

This is the same data a bank appraiser is going to use and hopefully the listing agent when determining a price for the home.  The reason we use sold data is the price a home actually sells for determines value.  In regards to active listings, the seller can ask anything they want for a home but if there isn't a buyer that's willing to pay that price then guess what, your home isn't worth that price. The active lisitngs will just be your competition on the market if you are a seller.  In that case you will want to position yourself as the best value amongst the competing homes.

We take the sold comps and couple them with your level of interest in  the home, supply levels, and what you truly feel it's worth to YOU.  With that we formulate our offer.  When presented we can let the listing agent know how we came to our number and that will give us ground to stand on.  Sometimes this means paying the asking price and above.  In a market like we have in Westchester at the moment, supply levels are low, competition is swift, and homes are disappearing quick.  So many Westchester County home buyers are willing to pay above ask in order to get that home they love.  

Lastly, a good offer isn't always about the price, the terms can make or a break a deal as well.  As a Westchester County Buyers Agent I Always advise the buyer make an offer contingent upon a satisfactory home inspection and their ability to obtain a mortgage.  In some cases buyers do waive one if not both of these in order to "sweeten" the offer a bit.  You have to feel comfortable doing this and if you aren't then that is how it will be.  Having nothing to sell, the ability to break a lease at any time, and being flexible with the seller on closing timeframe can also help you.  

I love giving my buyer clients the knowledge and tools they need to make a comfortable decision.  After all, I want you to love the home you purchase!

Please feel free to contact me with any questions.

Westchester County Real Estate Agent, Westchester County Buyers Agent,

Christopher Pagli - www.WestchesterCountyRealEstateMarket.com

Accredited Buyer Representative/Real Estate Associate Broker

William Raveis Legends Realty Group

914.406.9023 office
914.406.9023 cell

chris@legendsrealtygroup.net

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