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Before and after Reno valuation

Discussion in 'Renovation & Home Improvement' started by cherubym, 1st Sep, 2015.

  1. cherubym

    cherubym Well-Known Member

    Joined:
    10th Aug, 2015
    Posts:
    267
    Location:
    Melbourne
    Hi,
    How do you estimate post-Reno valuation to see whether a Reno would give a significant valuation to your PPOR? I'm looking at upgrading my kitchen to with mid-range appliances and a Caesar stone bench top. Existing appliances are still functional, but they are very old ones.

    People say for every $1 spent, we should aim at $2 return for renos. So I'm just not sure how I can estimate the post-Reno valuation.

    Any opinion is welcome. Cheers!
     
  2. bob shovel

    bob shovel Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    5,399
    Location:
    Somewhere in the land of Oz
    Jump on re.com.au find where your house currently sits with other like ( same no bed and bath rooms etc) properties, then search again for properties with the things you'd like to reno, new/ish kitchen bathroom etc. you'll get a feel where it sits post reno.
    You need to compare apples with apples, so find As similar as possible properties. Depending where you are you may need to search neighbouring suburbs, but also factor in +/- $x,000 if the suburbs differ.

    Don't worry about medians just stick to currently for sale. Or recently sold properties but there may be vendor discounting to factor in to.

    You should be able to get a feel for process once you do that.

    Or just get the local real estate to come around and they'll tell you where you sit and tell them you want to do a reno then sell and if it's worth it. They'll have all the recent sales for you to compare if they come prepared
     
    Leo2413 and miked like this.
  3. cherubym

    cherubym Well-Known Member

    Joined:
    10th Aug, 2015
    Posts:
    267
    Location:
    Melbourne
    Thanks, @bob shovel

    I am looking at bank valuation to refinance and get the equity out of it. So no buyer's emotion can be accounted for. :)

    Do the valuers really look at the value difference between a good kitchen vs. a great kitchen? Also, an outdated appliances vs. European-made stainless steel ones?
     
  4. bob shovel

    bob shovel Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    5,399
    Location:
    Somewhere in the land of Oz
    wont make a HUGE difference but depends overall on what you've done.

    Comparing recent sales will give you the best idea and that is how they compare and work out price too.
    its a bit tick a box eg: kicthen- poor, average, high end
    a 5k oven vs a 2k one wont add an extra 3k to your val