Should You Renovate or Sell As-Is in Winnipeg?

You may be thinking of selling your home in Winnipeg but you have one big question: Should you spend money updating it or just sell it as is? Trust me, you’re not the only person asking this question. Renovating or selling as-is in Winnipeg is a common dilemma for homeowners and the answer isn’t always clear-cut. The answer really depends on your personal situation, timing and how much stress you can handle. Let’s go over what you need to know in order for you to make the best decision for yourself.

What Does “Selling As-Is” Actually Mean?

To start with, what does selling as-is mean? Selling an as-is property simply means that you are going to list your house for sale how it stands today — no repairs, no upgrades, no cosmetic fixes. Whatever condition the property is in is what will be sold to the new buyer. This does not mean that you are trying to hide anything or be deceptive, it means that you have been honest when putting a list price on your house based on its current condition.

The Case for Renovating Before You Sell

Unfortunately, for some people, renovating their homes is impractical. Here are a few situations in which renovations might be the best option for you:

• You want to make money from your house: If you live in a desirable area of Winnipeg and the real estate market is strong, renovating your kitchen, bathroom, and flooring can increase the resale value of your home. 
• You have the time and the cash: Renovating your home usually takes several months to complete, so if money is not an issue and you can wait (not an option for everyone), you should consider making strategic renovations to maximise the return on your investment.
• Small changes can create a big impact: Making small changes such as painting your walls, installing new light fixtures, or changing the hardware in your home is a great way to make your home seem new without spending a lot of money. These inexpensive improvements have been shown to draw more attention from potential buyers and result in higher offers.

The Case for Selling As-Is

Selling a house as-is may seem an odd choice for Winnipeg homeowners, but it’s a good decision for many people. Here are four situations when selling your home as-is is the best option for you.

1. You need to sell quickly: Whether it’s due to a new job, divorce, financial issues or family emergency, sometimes life doesn’t leave you with any choice but to sell your house quickly. Finding a possible buyer willing to pay cash and buy your house as-is allows you to sell your house faster.
2. Renovations cost more than they add: Many homeowners believe that by spending $30,000 on a kitchen remodel they will be able to sell their home for $40,000 more than they spent. Often, however, homes in the same area do not sell for that much of a difference.
3. Your home has major renovation needs: If your home’s basement is damaged, the roof is leaking or you don’t have working plumbing or wiring, all of these repairs can add up to a lot of money and time. Selling your home as-is to a cash buyer allows you to skip the hassle of completing these renovations.
4. You don’t want to deal with the stress of completing renovations: Renovating a home can be incredibly stressful for some people. Dealing with contractors, managing timelines, and unexpected expenses — it can be a tremendous amount of pressure, especially when you are also carrying the emotional burden of selling your house.

So Which Option Is Right for You?

Here’s a more straightforward method to think about the issue. Answering yes to these 3 questions may indicate that it is worthwhile to investigate renovation options.

1. Do I have enough time? If you answer yes, it may be worth considering renovating; if you answer no, sell your property without doing anything to it.
2. Do I have enough money? If you’re going to be using debt to finance the renovation, then it’s probably not worth it.
3. Will the renovations generate a positive return on investment? Find a local Manitoba real estate agent for opinions or receive a cash offer before you make any decisions. Then compare cash offers with other options available. 

The smartest first step may be obtaining a no-obligation cash offer prior to your decision-making process as it provides you with an objective point of reference when making comparisons against what you would like done to your property. It also provides you with peace of mind as you’re under no pressure to commit.

The Bottom Line

There’s no universally applicable response; every case has its unique circumstances. Renovating could work out in certain situations, but for most Winnipeg homeowners selling as-is tends to be the quickest, least hassle and often most sensible choice. The homeowner doesn’t deal with construction headaches, has no initial costs to incur, and essentially finishes the transaction with cash in hand.

If you have made the decision to sell your Winnipeg home without the difficulty of renovating, AJ Buys Houses stands ready to help you with this process as smoothly and easily as possible with fair cash offers and a process tailored to fit your needs so you can move on your schedule with no repairs, no stress and no surprises.

FAQs — Should You Renovate or Sell As-Is in Winnipeg?

Q1: Is it worth renovating my home before selling it in Winnipeg?

This varies with circumstances. When there is a combination of time, budget and a significant amount of demand for homes in a certain location, making strategic improvements could increase the selling price of your home. If renovations are projected to exceed the value or cost of your house, you will not likely generate a return on investment. Regardless, always evaluate the full cost associated with each renovation before making your decision – being provided a cash offer prior to renovating will allow you to make a valid comparison for valuation purposes.

Q2: Will I get less money if I sell my home as-is?

Not sure how much less? Usually less! The home that you sell may be slightly more affordable than one that has undergone full renovation — just think of the savings you will have on contractor fees, time spent on renovations, ongoing costs of maintaining your home plus agent commissions! Typically, after analysing what they will gain/lose from selling an existing home vs. selling their home “as is”, most Winnipeg homeowners conclude that selling their home as-is will net them as much as — or often more — than listing with an agent!

Q3: What kinds of repairs or renovations actually add value before selling?

Great question; not all renovations provide similar returns. Fresh paint (interior/exterior), updated kitchen hardware/faucets, updated bathrooms, new flooring and enhanced curb appeal are some renovations that most typically provide the best return. Large-dollar renovations like an entire kitchen renovation or the addition of a bathroom usually do not return a full dollar for a full dollar spent, so be careful not to overinvest in your project.

Q4: How do I know if my home needs major repairs before selling?

Before you put your home on the market, you should consider hiring an inspector for a pre-sale inspection. This will provide you with a better idea of what issues need to be addressed and allow you to make an informed decision as to whether it makes more sense to repair those issues or sell your home as is. If the issues that are discovered are major, such as foundation cracks, roof problems, or old electrical wiring, selling your home as is to a cash buyer may be the best option, since it will be the easiest and least stressful option for you.