Home-owners in Auckland should consider renovating their properties if they want to sell it for a higher value as the average asking price in June fell by more than $82,000.
Renovations can be as simple as a fresh coat of paint, or an extensive project that involves the addition of stairs with steel stringers for a second floor. When requesting for estimates and quotes, the Ministry of Business, Innovation, and Employment (MBIE) offered some guidelines.
Determining the Price
The MBIE advised that home-owners that cost estimates for home renovations and repairs should be between 10 per cent and 15 per cent of the final price. The actual cost could be lower, but be wary of contractors who quote a cheap price that’s too good to be true.
Consult a quantity surveyor if you’re unsure about the reasonable price for a home extension. Quantity surveyors specialise in figuring out the cost of construction work.
Whether you’re just looking for a one-time quotation or doing the project yourself, it would be useful to seek their advice and avoid overspending in the process.
Less Expensive Homes
Lower asking prices aren’t exclusive in Auckland. Industry data showed that the average asking price for homes in New Zealand dropped by around $13,000 in June. The decline in Auckland, however, was the biggest nationwide and it has been happening in the past four months.
Asking prices in the Bay of Plenty region posted the second-largest decline at $55,152, which led values to cost $624,207 in June from $664,652 in April. In Wellington, prices fell below $600,000 for the first time in 2018.
You can hire a contractor to do extensive renovation work on your house to improve its value, or you can do the work yourself and buy the materials from a supplier. When choosing a service provider, it’s better to select a company that already has decades of experience in the building industry.