New kitchen / new bathroom - is it worth it?

[redrabbit]

I'm a first time buyer, and have been in my house for 2 years. It's only now I have the financial stability to do anything.

I'm in the process of updating the downstairs/spare toilet which is costing about £500ish. I'm also going to re-carpet the whole house.

I'm reluctant to spend £3k on a new bathroom and maybe £8k on a kitchen if I think I will want to move out in about 3 years or something. Also, I've been told that new bathroom or kitchen does not increase the value of a house - but does make it sell more easily - is that true?

I suppose I'm just thinking out loud really, but has anyone else been in a similar position?

I guess I just need to decide if I'm going to live here for another 5+ years and therefore the money spent would be worth it. Otherwise I risk wasting my money which I probably wouldn't get back in the house sale.

 

[EFLImpudence]

You seem to have answered your own question.

Whilst there are programmes saying you should make the house perfect to attract a buyer, Mrs. Buyer will only want to redecorate and replace anyway
although she won't be sensible enough to realise it, it doesn't really matter what it looks like now.
As long as it's clean and reasonable and not a tip.

It's all relative to the price in the end.

As you say, will what you spend be added to the value? No.

 

[redrabbit]

Yea I kinda have answered my own question!

I had a random call from Estate Agent yesterday asking if I'd like a valuation - which I said yes to, he's coming next week to look.

He asked "Have you made any improvements to the house?" - I guess as it can effect value. Thing is, with my house there's nothing you could do to effect value. There is no garden, no outside space, no chance of loft extension, the rooms are fixed so you can only really decorate and modernise.

 

[EFLImpudence]

Crossed lines on the internet ???

 

[Whitling2k]

Our first house was a similar position - you really need to treat these things as investments.

One line of thought is asking your self if you save/make a proportion of the investment back? If you spend £8k now - if it adds £4k to your house value in 5 years time - is it worth £800 per year for a nice bathroom or kitchen?

Also - what are the reasons behind wanting to replace? can you DIY - save money - make it look nicer? Replace doors and work tops in kitchen?

Do you need to make any safety improvements - electrics, plumbing that may be more attractive to a smart buyer anyway? (I would prefer a house with a run-down kitchen but modern safe electrics and a new efficient boiler - than a lovely shiny kitchen that isn't in my colour and needs ripping out to replace the lead pipes, coal fire and 1920s wiring (I exaggerate - but you get my point!)

In your position - I would focus on (1) repairs (2) minor improvements to make your time in the house nicer and (3) decorate/carpets.

We took a similar approach - asking if we would get money back, if we would like another house if it was done in that style

It saved us a load of money and gave us asking price from the 3rd viewer.

Good luck - and most of all - enjoy living where you live!