There are several schools of thought on this age-old
question. Should I replace my roof before I put my home on the market or should
I let the buyer worry about it? Your decision should ultimately depend on the
housing market in your area, the condition of your roof and your own financial
situation.
If you’re trying to sell your home in an area of high market
saturation and need to set your home apart from the competition, replacing an
old, worn out roof may differentiate your home from other, less well-maintained
houses available in the area.
When mortgage companies send out an appraiser to ascertain a
property’s value, one of the things they examine is the roof. If the roof’s
integrity is compromised there’s a risk the mortgage company won’t even approve
the loan. In that case, the seller will generally be forced to repair or
replace the roof before the buyer can even make an offer.
If the roof is so compromised that it’s leaking you will
definitely need to at least repair it, preferably before you begin showing the
house. Buyers will look for things like water damage and stains on the ceiling
from past leaks, so it’s definitely in your best interest as a seller to repair
the roof and any damage previous leaks may have caused.
The last thing anyone wants to do is finance repairs for a
house they are selling. If you were to finance a roof replacement with a home
equity line of credit you would obviously need to pay it off before you sell
your home, which somewhat defeats the purpose.
If you can prove existing roof damage was caused by a storm,
such as blown off shingles, you may be able to get your insurance provider to
pay for some or all of the repair or replacement costs. If you can’t afford to
make repairs out of pocket it’s likely best you negotiate with the buyer to
factor in future roof replacement or repair costs into the selling price.
Before you make any improvements to a home you’re selling,
whether they’re elective or maintenance-related, it’s always a good idea to get
an idea of the return you’ll get for the improvement. Generally, when it comes
to maintenance investments, you likely won’t recoup 100% of the cost, as it’s
not really a functional improvement like a new kitchen or bathroom may be. In
Washington, the average seller recoups about 80% of a roof replacement’s cost in the
sale value.
For example, if you spent $6,000 on re-roofing you can
expect your home to sell for approximately $4,800 more than it would if the
roof were in a severe state of disrepair.
If you either don’t want to or simply can’t afford to pay
for repairs you may be able to defray the cost for the buyer by lowering the
sale price during negotiations. If the cost of replacing the roof on your
Spokane home is $6,000 you can offer to reduce the asking price by a percentage
of that cost. You likely won’t need to reduce the asking price by $6,000 but
you may want to start at $1,500 and negotiate from there.
Your negotiating position will be heavily impacted by
inventory in your area. If the homebuyer has a lot of good options you’ll
likely need to sweeten the deal more than you would if the buyer really wants
your home and has few alternatives.
If you are considering
selling your home and want to know the condition of your roof and how much life
may be left in it, call Alpine Construction at 509-448-8099 to schedule a FREE estimate. We would be happy
to give you an honest appraisal of your roof’s condition and estimated costs
for repairs or replacement. Our roofing professionals can also give you an idea
of how buyers, inspectors and appraisers may perceive your roof and whether or
not you can expect your home’s roof to be a point of contention during the home
selling process.
