In his new Money Coach column, TV property expert Phil Spencer delves into the key challenges that buyers and sellers face in the housing market. This week, he takes a look at refurbs and renovations, and whether they’re still worth the ever growing cost.
Even if it’s hard work, most people who buy a home and do it up find it to be a huge source of pleasure and pride. But profit? Not so much.
Last year, Nationwide asked 2,000 homeowners their reasons for renovating. Just over half (54 per cent) said they wanted to make the property look nicer, a third were looking to boost the value and just 7 per cent were renovating in preparation for a sale.
With sellers outnumbering buyers in London and southern England, average property values are flat or falling in many areas. So if you’re selling a home in one of them, don’t assume you will find a buyer willing to pay a premium for every renovation you’ve made.
Renovation costs are rising
