Which Improvements Will Give You the Most Bang for the Buck

When getting ready to sell your lovely home, the six key area's to focus on home improvement upgrades are the kitchen, bathroom, flooring, paint, and exterior touches to enhance curb appeal, and major systems (a/c, roof, plumbing, electrical, etc.). Start by having your home inspected to ensure that nothing out of the ordinary needs to be fixed like a leaky roof, electrical, or plumbing issues. If your home is still under warranty, a/c, plumbing and electrical issues are likely covered. Some major investments like installing an over-the -top wood fired oven, may not increase the value of your home but would provide a major selling point so carefully consider vanity upgrades. Here are some tips to get the most out of your home improvements.

1) The kitchen is considered the heart of the home, so splurge on staining, painting or replacing old cabinets, updating fixtures, replace vinyl flooring and upgrade the countertops. If other home's on the market of similar value have marble or quartz countertops, then yours should, too. There are less expensive options that look great and will add value. Replace old vinyl flooring with tile, stone or laminate. Update all fixtures and if you can swing it, replace old and dated appliances with stainless steel appliances. Most older homes are suffering from hideous kitchen wallpaper and you can easily perk up your kitchen by replacing this with a complimentary paint color. If the kitchen is small, go for a lighter shade of yellow, lilac, or cream while bigger spaces allow for brighter or darker shades like a deep red, orange, lime, or gray. Personally, I like my kitchens light and opt for neutral since everyone has a style all their own. You want your kitchen to have a wow factor but always be careful when choosing paint color... You will see the most return on your investment on your kitchen upgrades.

2) Update your bathroom fixtures, paint, and flooring. If your home has three bedrooms and one bathroom or if it could desperately use a half bathroom, consider adding an additional one if you have the extra space. The extra square footage and better marketability will increase the value of your home. While adding a whole new bathroom can have a heavy price tag, a half bathroom can add up to 10.5% to the value of your home while a full bathroom can add up to 20% of the value.

3) Remove old carpet and replace with upgraded carpet or wood. Tile entryways and perhaps hallways but never stairs. Do not make a huge investment in this area. You want it to look and feel clean and updated, but investing in Italian tile will not increase the value of your home. It might increase interest but not value. Paint your home throughout. In adjoining area's, it's a good idea to use the same color palette and stay within three shades even if you're going super neutral. For example, light beige, medium tan, and brown or just off white throughout is perfectly fine. The key rooms that you can get away with color and it usually won't be a major turn off are the dining room (darker shades of red or blue work well), the bathrooms, and the kitchen. Keep bedrooms neutral.

4) Curb appeal is super important. After all, you want to entice people to walk in and see that awesome kitchen you just remodeled, right? According to Houston appraiser, Frank Lucco, a poorly maintained front yard can result in a 10% drop in value. Clean your yard of any debris, trim shrubs, trees, add fresh mulch and flowers to brighten it up. Paint the front door, trim, and garage door. Line the walkway with solar powered lights which is functional and adds ornamentation.

5) Adding an additional bedroom adds 4% to the value of your home and each additional 1,000 square feet of living space will add 3.3%, so if you have an attic or basement that can be converted to usable space, go for it. Besides an additional bedroom, you can turn that extra space into a sport's den with a bar, a children's play room, or an office. If your lot allows for room for growth, also consider expanding the existing bedrooms for additional living and closet space. Make sure you get any permits needed for exterior or building projects by contacting your HOA and city project development organization. You can find a schedule for La Jolla city planning and project development meeting times posted right here every week.


If you have any questions about selling your home, home valuation, or for any of your real estate needs please contact Kristin Benedetti at Berkshire Hathaway HomeServices
 1299 Prospect St. La Jolla, California 92037, BRE # Lic 01946447 , Cell: 858-900-5578, lajollaluxuryhomes@outlook.com , www.lajollaluxuryhomefinder.com.  I can also provide you with referrals to reputable contractors throughout Southern California, if you need any help with home improvements. To get pre-qualified or if you have any questions about financing, please contact HomeServices Lending, an affiliate of Wells Fargo Home Mortgage at (858) 436-3483.

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Tips for Real Estate Investors

Over the past ten years, as more homes went into foreclosure house flipping has become increasingly popular. First time flippers are usually taken in by what appears to be easy money, but here are some valuable tips to follow on your road to house flipping success:

1)      Research the neighborhood you’re thinking about investing in. If you happen to find a great fixer upper you’re ready to sink your teeth into, take a look at what the schools, crime rate, and overall neighborhood is like as well as the city plans if the area if it isn’t very developed. La Jolla is particularly desirable because of the low crime rate, great schools, walkability, proximity to the beach and entertainment, and the area is largely developed. One thing you will want to look out for when buying investment property is whether the home is in a neighborhood with many vacation rentals. Although this changes over time in any neighborhood along the beach, this may initially pigeon hole your property as a potential vacation rental.

2)      Get the home inspected before buying. Structural improvements can break the bank and they won’t leave you with room for kitchen and bathroom upgrades which are commonly needed. Major plumbing or electrical repairs will also warrant the help of a professional which is another added expense.

3)      Don’t pay contractors in full until the work is completed. If someone, asks for payment upfront don’t not expect to see them again. Ask your realtor, lender, or someone who has recently renovated their home for a reputable contractor in your area.

4)      Don’t skimp on necessary upgrades. Paint, carpet, kitchen and bathroom upgrades, and cosmetic touchups to exterior should be expected. In my opinion, it’s always better to stick with high quality material in neutral colors because not everyone has the same taste in décor and a particularly bright or dark paint color can throw some people off. Even though they make it look very easy on decorating shows, if you haven’t installed flooring or applied a faux finish- you may want to hire a professional. Some hardware stores offer classes in simple renovating tasks that may be especially useful.

5)      Talk to your lender before signing because you may not be able to sell quickly after buying the property.

6)      Don’t be afraid to rent your property out. If the market isn’t quite optimal for selling when your property is ready to go on the market, rent it out for a year and revisit the situation later. If you choose to live in the property yourself, you will pay significantly less for capital gains tax as it drops to the long term investment rate if you stay for one year. After two years, capital gains up to $250,000 for individual owners and $500,000 for married couples would be tax free because you can list it as your main residence. There are some circumstances that are different and your individual needs should be carefully evaluated to ensure that your financial security and your best interests are met with the highest care and attention to detail.

If you would like information about investment property, commercial property, business opportunities, time shares, leases, foreclosures, short sales, fixer uppers, and great opportunities in your area, contact Kristin Benedetti at (858)900-5578 or via email at lajollaluxuryhomes@outlook.com. As your listing specialist and buyer agent, you can expect diligent service tailored to your needs, multi-faceted strategic marketing techniques, and the highest degree of professionalism and integrity.  Whether you are new to real estate investing or very experienced, my team can help you select the right property for reaching your goals.

Kristin Benedetti at Berkshire Hathaway HomeServices
 1299 Prospect St. La Jolla, California 92037,
BRE # Lic 01946447 , Cell: 858-900-5578,
lajollaluxuryhomes@outlook.com , www.lajollaluxuryhomefinder.com.  To get pre-qualified or if you have any questions about financing, please contact HomeServices Lending, an affiliate of Wells Fargo Home Mortgage at (858) 436-3483.