How to get the best price of your property's resale value?

Nobody likes to buy a home with something that requires big money to modify or repair

While the adage “location, location, location” is still considered the ideal gauge for your property’s resale value, there are other factors that can still play a part in helping you get the best price when you part ways with your home.

One of the things to consider is the upgrades or renovations that you may have made to the property. While making improvements to a home can be a good thing, there are some additions that can make or break your property’s resale value.

The following are some home upgrades that will dampen your property’s resale value.

Poor renovation

It’s one thing to make renovations to your home – and another thing when those upgrades requires further improvements!

“Nobody likes to buy a home with something that requires big money to modify or repair,” says property investor Kamarul Ariff.

He gives an example of a property he had purchased that had a “badly-renovated roof.”

“The roof obviously had some bad leaks in the past but the renovations were very poorly done by the former owner. Unfortunately, when people go to inspect property, not many check to see if the roofing is in good condition. After all, most homebuyers or investors check out a property when the weather is clear anyway.”

Kamarul recalls that after buying the property, it rained heavily - indoors!

“There were leaks everywhere! When I finally got an expert to check the roof, I discovered that there were badly done patches made to some holes on the roof, which only worsen the leaks.

“In my opinion, it’s better to spend a bit more money and get a good job done than to stinge and get poor workmanship. In the long run, nobody benefits.

“It’ll affect your resale value and the buyer who’s looking for his dream home ends up buying into a financial nightmare.”

P. Lalitha, a home-buyer, shares a similar sentiment.

“The apartment I bought had poor floor renovations in the bathroom. Of course, it was my neighbour who lived below that alerted me of this.”

Upon inspection by an expert, she discovered that the cement used by a previous owner for the flooring was of poor quality.

“Renovations were not just done, they were badly done. So much so that it cost me a fortune to fix them. My advice for future home-buyers? Check every inch of your house. To home sellers, if you want to get the best resale value for your home, get your renovations done by an expert,” Lalitha says.

backyard swimming pool (Photo credit: Wikipedia)

Permanent upgrades

Some homeowners make upgrades to their property for personal gratification without taking into account the fact that they may need to sell it in the future. However, these renovations hardly do anything when it comes to resale value, nor do they make it easy to sell.

“Among them are fixtures such as swimming pools and wall modifications,” says KL Interior Design executive designer Robert Lee.

“Having a swimming pool can increase the price of a home, but it also comes with extra responsibilities that not everyone wants. If you’re a senior citizen and not the active sort, you’d probably need to hire someone to clean and maintain the pool you’d probably never use.”

He also points out that major works done to a property’s structure, such as to its walls, can be hard to undo.

“There was this large family living in two adjacent terrace houses and they made a huge arch in the wall between the two houses. When it came to selling, they had a huge problem!

“They also wanted to sell off the house as soon as possible and refused to patch-up the wall.”

Other structural changes, like turning a three-bedroom apartment or house into a two rooms can also put a damper on resale value, says Lee.

“If you’re selling a two-bedroom apartment and your neighbour is selling a three-bedded one at the same price, which property do you think a buyer will you go for?”

Home-Deco Art Sdn Bhd director Rachel Tam says having a distinct paint job won’t affect a home’s potential resale value.

“Some people paint their homes in all kinds of colours, like a kindergarten,” she chuckles.

“But it won’t affect a property’s resale value. It’s not permanent and can be easily replaced. Besides, the first thing most homebuyers do is give it a new coat of paint anyway.

Unexpected outcome

Some upgrades can be so extreme that they no longer look like what they were initially set out to be.

“We knew of someone who bought a single-storey house for RM250,000 and spent about RM200,000 to build a second level. When he sold it, he only got RM300,000,” says Lee.

“Some renovations that place a property beyond its original architecture will not increase its resale value,” he adds.

Tam notes that some people turn their homes into an office or place to conduct business, which may or may not affect the property’s resale value.

“It depends on how extensive the renovations are. If you’re just converting one room into an office, then it’s fine, as the future owner won’t need to do much or anything at all to convert it back into an ordinary room.

“However, if you’re going to start raring animals or live stock there, which may include additional structures to contain them, then this could be a put-off for potential homebuyers who are looking for a basic place to live.”

By EUGENE MAHALINGAM eugenicz@thestar.com.my

Related articles

• Beware of Value-Killing Home Renovations (reallyhome.wordpress.com)
• Renovating your bathroom: adding value to your home (mysavingsguide.co.uk)
• 6 home renovations whose cost might not be recouped at resale (seattletimes.nwsource.com)
• 7 DIY tips to help you sell your home (confused.com)
• Can I get a loan to renovate and update my house? (kcrealestatepro.wordpress.com)
• Important Tips for First Time Home Buyers (doorfly.com)
• Defining a Generation. . .Again (tammywebster.com)

Are you coming? Press ‘Like’ if you are!

Wedding Dress For Happy Couple in Love (Photo credit: epSos.de)

Press ‘Like’ if you are coming

Trendy couples are not just in the soup about spurning shark’s fin soup at their nuptials. They are now in hot water over wedding invitations.

Internet-savvy couples are ripping up the usual way of sending invites – those fancy cards with formal words – and using Facebook instead.

Take 24-year-old marketing specialist Lim Yi Ning and 26-year-old product manager Foo Tiang Lim who sent friends and relatives an invitation through Facebook that said: “You are cordially invited to our wedding.”

It worked like this: Those on the guest list received an online notification. They then visited the page to view the event details and RSVP-ed simply by clicking either “Join”, “Maybe” or “Decline”.

No agonising over the type of paper and choice of words, no pen to sign your name, no licking of envelopes and no stamps. But the move does not hit the “write” note with older folk, etiquette experts and wedding planners.



Cashier Jean Tan, who is in her 50s, does not have a Facebook account and feels that using it to send out wedding invitations is “insincere”.

“It seems like just throwing the occasion out there and if you want to come, you come. It does not follow proper tradition,” she added.

Not sending invitation cards can give the impression that the couple is on a tight budget or pressed for time, said Eunice Tan, 39, founder of Image Flair Academy Of Modern Etiquette.

Jonathan Goh, 40, director of wedding planning company Wedding Acts, said he always advised his clients to send out formal invitation cards.

“A lot of people say ‘move with modern times and technology’. This may be possible 10 to 20 years in the future when everyone is on a social media network, but for now, there are still relatives and friends who prefer to have the paper invite,” he said. — The Straits Times/ Asia News Network

Form rather than substance, government functions!

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Cut the frills, make it simple

On The Beat By WONG CHUN WAI, Sunday Star

Form rather than substance seems to be our hallmark when it comes to government functions.

I CAN never understand why government agencies have to spend huge amounts of money on uniforms every time they launch a campaign. They seem to love having the attire and the VIP invited to open the function is also asked to wear it.

Normally short-sleeved shirts or T-shirts, the uniforms often feature some logos and if the function is a dinner, silk batik attire is also thrown in. A cap or a beret, which seems to be fashionable now, is added.

I am not sure if the uniforms are meant to symbolise single-mindedness or unity to meet some objectives or if it is just a need to use up the budget.

It’s understandable if these uniforms are meant to be used again and again but, unfortunately for taxpayers, they tend to be made specifically for one occasion.

In some cases, more money is spent to engage an event management company to stage a dramatic or theatrical launch which would probably last only 10 minutes.

Then there would be the customary presentation of a token of appreciation, which everyone seems to receive. Sometimes even the organiser himself gets a gift.

At one point, there was a suggestion that local fruits should replace the tacky pewter or metal plaque tokens but the idea never caught on. So, the VIP receives the memento which would most probably end up in a dusty corner of the office.



And in true Malaysian hospitality, refreshment is then served, and this sometimes ends with a buffet meal.
Even those arrested during the Bersih 2.0 demonstration recently were treated to a buffet. Only in Malaysia. Presumably, Malaysians expect a buffet during any event.

Most public functions start around 10am and end shortly before lunch, which means that after having our famous jamuan teh, we then all go for another round of food, this time lunch.

If the function begins at 3pm, it should end before 5pm with a jamuan teh. By the time we all get home, it’s already time for dinner.

And don’t forget the door gift which you receive with a “Thank you for coming and we hope to see you again soon” as you leave the hall. It has become so common that no civil servant would want to put a stop to such waste of money.

It isn’t just about money but also the loss of productivity as meetings have to be held to organise such functions. There would be endless hours chasing after the aide of a VIP to confirm his attendance and, of course, the entire staff of a ministry or agency would be held up as they have to make up the crowd.

I guess it will be difficult to convince our government officials to keep the functions simple and short. Form rather than substance seems to matter more, unfortunately.

It does not matter if it is a Barisan Nasional or Pakatan Rakyat event. Both seem to have the same mind-set and wastage.

So it came as no surprise when the Sultan of Selangor, known for his no-frills principle, snubbed a Yayasan Selangor event to commemorate its 40th anniversary last year. The bill for the celebration ran up to RM996,472 for the entire event, with RM387,232 allocated for lunch, which then had to be cancelled. Another RM200,000 was allocated for souvenirs and clothes. Uniforms, presumably.

Malaysians are sure such wastage is not just confined to Selangor but that it also occurs in other states, and the amount spent could be even more.

Not too long ago, when the issue of preventing wastage cropped up, there were suggestions that government agencies should stop holding their functions in expensive hotels. Well, the bad news is that lobbying from the hotels was so strong, the government finally dropped the idea altogether.

Many hotels were alarmed as their revenue would be hit if the local sector – meaning the government – did not hold their meetings and functions in their premises.

And what many civil servants will not tell us is that for such out-of-base, meaning out of their offices, seminars, retreats, brainstorming or whatever excuse for an event one can think up, allowances also need to be paid for those attending them.

We long for the day when politicians would just walk straight into the hall (why the need for a holding room?); a short opening remark is made by the host; the speech (not a lecture please); the VIP to declare the event opened without performing any gimmick; and for the VIP to then leave the place after the customary handshakes. Everyone should then just go back to work.

Just one gentle reminder to the VIP before we end this week’s column: Could you please be punctual for the function? We are busy people, too. And thank you so much for coming, it’s an honour, Yang Berhormat.