The New Economics of Home Preparation: Why Move-In Ready Properties Command Premium Prices

KeyCrew Media
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In today’s real estate market, the definition of a “sellable” home has fundamentally shifted, according to veteran real estate professional Angie Heitzer of Summer House Realty. “If you are priced well, and it is move-in ready, they don’t have to come in and rip out carpets and paint walls and replace appliances. You sell faster and for a better price,” Heitzer says, highlighting a growing market premium for turnkey properties.

Heitzer points to a critical shift in buyer behavior that many sellers haven’t fully grasped. “If somebody’s walking through the house and they see wood rot on the soffit, versus ‘oh look, it looks good’ – deferred maintenance and those big ticket items are huge,” she explains. This heightened scrutiny of property condition is reshaping how homes need to be prepared for market.

Heitzer emphasizes that some maintenance problems can stop a deal in its tracks. Aging roofs nearing the 20-year mark, outdated HVAC systems, and old hot water heaters often raise red flags for both buyers and inspectors. Visible wood rot or worn flooring can also give the impression of neglect, undermining an otherwise strong listing. Addressing these issues early, she notes, can significantly improve buyer confidence and speed up negotiations.

“We need to either replace the roof before we list it and price it accordingly, or we need to have a plan that we will replace the roof before closing,” Heitzer says, outlining her strategic approach to major maintenance issues.

Beyond structural elements, Heitzer advocates for a two-pronged preparation strategy:

1. Address Critical Systems:

– Focus on big-ticket maintenance items first
– Ensure all major systems are in good working order
– Document recent updates and maintenance history

2. Enhance Visual Appeal:

– Depersonalize spaces (Heitzer prefers this term to “declutter”)
– Apply fresh paint throughout
– Create spaces where buyers can envision themselves living

The Market Reality

“Once something’s hit the market 90-120 days, even a big price reduction doesn’t really help. It doesn’t move that needle,”Heitzer observes. This underscores the importance of proper preparation before listing.

She cites a recent example: “I have a home in the neighborhood that the builder is now selling that same floor plan for $20,000 less than she paid for it. My suggestion was, this is not the time to put it on the market, if she is not needing to sell, I don’t have to move. Today’s not the day.”

While some sellers balk at the upfront costs of preparing a home for market, Heitzer suggests viewing it as an investment rather than an expense. “You sell faster and for a better price than if somebody comes and sees it and thinks, ‘I can’t move from Atlanta into this house. I’m going to have to find some place to stay while I replace floors or have it painted or replace the roof.'”

Looking Forward

The emphasis on move-in ready properties appears to be a lasting shift rather than a temporary trend. Heitzer suggests this reflects broader changes in buyer expectations and market dynamics. For sellers, this means the traditional strategy of listing a home “as-is”and negotiating on price may no longer be the most profitable approach.

The message is clear: in today’s market, proper preparation isn’t just about cosmetic appeal, it’s about creating a product that meets evolved buyer expectations and commands premium pricing.