Eli Magids

Hey everybody, it is Eli Magids coming to you from Charlotte. Today I'd like to talk to you about putting money into your kitchens and/or bathrooms right now and expecting to get the money back out when you sell your house.

If your kitchen or your bathroom is in complete disrepair and there’s no way that your house will sell without redoing it, then I would spend the money and redo it. If your kitchen is pretty decent and your bathroom is pretty decent and you can make them look pretty by changing hardware, putting in a new countertop in your kitchens or your bathrooms, cleaning them up, new fixtures, things like that, that I would do.

But do not spend money right now, putting money into your kitchens or your bathrooms because in appraisal, it’s not gonna give you that money back. If you spend $60,000 on redoing your kitchen completely right now, the appraiser is not gonna give you more than 1/3 of that money. And then he or she may give you less than that and saying that you put $60,000 into your kitchen, they’re gonna say, well, maybe you could have done for cheaper, you could have done it for $45,000. So they might only give you $15,000 credit.

Bottomline is, no matter how much money you put into your kitchens or your bathrooms right now, unless the house can’t be sold unless you redo that, I would just fix them up and make them look as pretty as possible. If you put new granite countertops inside of your kitchens right now, it’s great for selling your house but you’re not gonna get any credit whatsoever when it comes to the price or value of your home. Sorry about that but that’s just the way things are right now.

Don’t put a lot of money into it. I didn’t put a lot of money into my home in New York when I was selling it. Everyone wants a granite, I didn't put a granite in the household. And I wouldn’t have gotten more for the house even if I had redone the kitchen.

Just a word of advice, take it or leave it, but I think that it’s prudent just to make things look pretty and not to redo it. Unless you’re gonna stay in the house for a little while, you know, you’re planning on selling your house in two or three years and want it in your kitchen, go ahead and put it in your kitchen, put it in your bathroom, I don’t know care. But if you’re planning on selling it now, don’t put the money in.

Any questions, comments, complaints, please feel free to contact me at eli@elimagids.com. Please feel free to look at my videos in my website, say hello at www.elimagids.com.

I am Eli Magids. I am keeping it real. Talk to you guys soon. Thanks for watching.