I bought a SFH in Reston, VA in 2007. We moved down the road to Herndon, VA and listed our previous home for rent. We have a short-term renter moving in.
We are considering selling when the renter moves out. The property dioes seem to be positioned well for appreciation within 1.5 miles of a new metro station, but the ratio of rent/property values aren't great. The house is worth somewhere in the low 600s and rent is currently 2800 and would probably be less on a 12 month lease.
The "bones" of the house are in fairly good shape. We have some old sliding glass doors that would need to be replaced. Based on an estimate from Anderson, we will probably let the next buyers do that themselves.
We did some basic updates to the powder room. We have some linoleum flooring that IMO needs to be replaced and also some dated light fixtures, even if it isn't a good % return, I think it will help it sell faster.
IMO the big question is the kitchen and MBR, should they be updated before selling?
Kitchen is a MAJOR selling item. Would consider a refresh if not complete update in that price range. Condsider a new door from Lowes....start around $600 material cost and if standard size should pop in quickly. Try to let the buyer just move in...most don't want to buy a $600k rehab. My two cents!
If you are working with a local Realtor, ask him/her to take you on a tour of homes that would be competing for the same buyers. You should be able to answer your own question relatively quickly.
However, price fixes everything. If you can list the home below market without doing the repairs you may attract more buyers. The least expensive house in the best neighborhood is very appealing to buyers.
I agree with Jesse, @Scott Culver and it all depends on your sales price and how much can you get more by remodeling.
Our renters are moving out this weekend. It looks like I may have under-estimated the market value of the house. The house 2 doors down - which does have some definitely advantages - sold for $750K the day it listed.
We are going to list with the agent we used to buy our current house. He is recommending doing some minor work - cleaning floors, very minor painting, etc. The one significant thing we need to have done is replacing some flooring.
He said we want something that looks like tile - especially in pictures, but is easier to install. Honestly it will probably get ripped out when ever the buyer renovates the kitchen, so tile unless it was what the end buyer ultimately wants may be a negative. Any suggestions on a product that meets those criteria?
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