84% of small and major kitchen renovations include appliance upgrades.
Most home sellers know kitchens are the heart of a home and can highly influence the purchasing decision of a buyer. With that in mind, I wanted to touch on the question of updating kitchen appliances before you sell. Does it pay off? Will your home sell for more?
Should you upgrade your appliances before selling your home?
There is no easy answer to this question. The short answer is: Well-chosen appliances will add value to your home but are not likely to provide enough value to recoup the costs. This doesn’t mean that you should never upgrade your appliances, but it does mean you should evaluate your decision carefully.
Based on the Houzz Study, between 6% and 7% of sellers choose to upgrade their kitchens before selling, and 26% of buyers upgrade the kitchen in their new homes. This basically illustrates that a new homeowner wants to make a home their own, and appliances are a big part of the renovation. In order to help you decide if you should upgrade appliances before selling, here are some tips.
Tips For Determining If You Should Upgrade Kitchen Appliances Before Selling
- Make sure you can afford to make all the appliances match in your kitchen. You want a buyer to feel like care and thought went into making your kitchen.
- Don’t spend on appliances if more glaring issues are present. Keep in mind, over half of the kitchens upgraded last year had not been updated for 21 years. This shows that kitchen upgrades are important, but most upgrades have a long life span. If the oldest, most unappealing thing in your kitchen is the linoleum from 1984, then new flooring will be a better investment than other kitchen upgrades.
- Don’t go overboard on high priced appliances unless all the comparable homes in the area have these upgrades.
- Choose timeless styles and colors to make older kitchens seem new, and yes, stainless steel appliances fit into this category with 75% of remodels using them1.
- Do your current appliances work? Do they give off a vibe of “does that thing work?” If your appliances look like they are older than you, it is probably time for an upgrade. Dated, dirty appliances can make buyers feel like the rest of the home is just as dated and possible uncared for.
- Stick to non-specialty appliances and choose a medium price range. New appliances should be durable and appeal to the majority with their look and function.
- If you upgrade other items beside your appliances, make sure to stick with minor renovations as these have a higher return on investment in the short term.
- Choose new appliances for resale value, not because you like them.
- Don’t underestimate the value of a deep cleaning of your appliances instead of purchasing new ones.
- Avoid the new high tech gadgets, like the TV embedded refrigerator, unless your home falls into the luxury category.
- Ask your Realtor what you should do before you purchase so you can make sure you can get the most bang for your buck.
- Assume that new appliances will not increase your homes selling price, but realize they will help find buyers, sell faster, and curb negotiations of the selling price.
Final Thoughts On Updating Kitchen Appliances
Keep appliance upgrades simple, because a new homeowner will want to spend money to make the kitchen their own, anyway. Now, if you are still a ways off from selling your home, enjoying some appliance upgrades yourself would be a good investment for your enjoyment now and your home’s value later. So yes, appliance upgrades will help to sell your home but may not be the most important item to upgrade before you sell. Happy appliance shopping!
If you have more questions about investing money in your home before selling, feel free to ask in the comments.