The Mortgage Supply Company

  • Blog
  • The 8 Things that are Devaluing Your Property

Sally Eustace | 19 Apr 2018 | Advice

The 8 Things that are Devaluing Your Property

Sally Eustace | 19 Apr 2018 | Advice

The 8 Things that are Devaluing Your Property

The 8 Things that are Devaluing Your Property

Obviously, we all want to make a tidy little return when selling our home. However, there are a number of factors which may hurt the attractiveness of your house to potential buyers. Here are 8 issues to watch out for, which could negatively affect the value of your house.

The suburb

When buying a property, people are expecting a lot more than just a piece of land with four walls and a roof. They want a community, a neighbourhood they can be proud of.

Most people want their new home to be near quality schools, local cafes and bars, and family-friendly community or recreation services. Thus suburbs that offer these will be more attractive to potential buyers. Likewise, locations with bad reputations, rowdy pubs nearby or underperforming schools will be viewed in a less favourable light.

Neighbours

This may be a hard factor to control but the type of neighbours you have could be the difference between a healthy little return or a nasty buyer backlash. Unless your house is on a secluded island in the Pacific or a house in the middle of nowhere, you’re going to have to deal with the neighbours.

Whether it’s a house of university students or an awful lime green paint job, your neighbours will have a massive effect on the attractiveness of your house.

External appearance

First impressions are everything when purchasing a house. Most prospective buyers will judge your house on its external appearance as they walk down the driveway. Whether it’s an overgrown garden or a bad paint job, don’t be surprised if the appearance is dragging the value down.

Before putting the house on the market, consider spending a bit of money to get the house in good condition. Get the yard professionally cleaned up, repaint the house in a neutral colour or clean those blocked gutters and remove overgrown trees. You will be pleasantly surprised how a bit of TLC will improve how potential buyers view your house.

Bathroom and kitchen

We have found that for many prospective buyers, the kitchen and bathrooms are the most important rooms in a house. Whether it’s outdated kitchen appliances or a lavish bathroom, these two rooms will help dictate the public’s interest.

As the kitchen is the most used room in the house it needs to be a comfortable space. Ensuring it has adequate storage and good appliances will boost the attractiveness of the house.

The bathroom should be a stress-free area. Ensuring that the room is clean and that all the plumbing works is vital. No prospective buyer will be willing to buy a house where the plumbing needs to be ripped up or a small mould farm is thriving in the top left-hand corner.

Floorplan

Everyone wants an open floor plan or a great inside/ outside flow but that’s not always possible. However, the most important thing is ensuring the space is versatile and functional. A versatile floor plan will always be more attractive to prospective buyers than a property that has little flexibility or a few awkward spaces.

Bad renovations

Have you got a DIY list that you’ve been meaning to work through before putting the house on the market? Maybe consider taking the tool belt off and getting some professionals in to fix the issues.

We understand that everyone enjoys a small DIY project, whether it’s painting the spare room, building a deck or installing a new tap. Be aware that if it works it’s a masterstroke but if it doesn’t your house value could suffer. Potential buyers will view it as another issue that they’ll need to fix, which could result in lower initial offers.

Incorrect house specifications

Before you sell your house, you should understand the exact specifications of what you are putting on the market. At the start of the process, you should get a Land Information Memorandum (LIM). This report will summarise any information or conditions that are held against the land. Most buyers will want a LIM conducted before they finalise the purchase.

This will include building permits and consents, council rates, environmental damage and any other important information that could affect the land. Depending on the results of the LIM, it could affect how you can advertise the property.

For a complete history of the property get a Property Pack from the local Council. This will include original and updated floor plans, any extensions and whether permits were applied for and consent issued. This will outline if there has been any illegal work conducted and whether the floor plans and actual layout match. If not, rectify these issues and ensure you are selling a property that is fully compliant.

Noise pollution

Living in a busy part of town is not for everyone. The amount of noise that is around your house could turn off some prospective buyers. Whether it’s a busy main road, train lines or noisy pets and kids surrounding the house. Be aware that for some people, particularly elderly and young families, excessive noise could completely rule out your house.

 

Not all of these issues are under your control but understanding the external factors that could affect your properties value is critical. It will help shape your initial asking price and set expectations for how the market may see the house.

If you would like any friendly advice regarding the value of your property, mortgages or anything else regarding finding your perfect home, contact us today.

 

CONTACT SALLY TODAY

FOLLOW ME

web-linkedin

WordPress Video Lightbox Plugin