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Pre-Sale Renovations

Pre-Sale Renovations
Kensington Dexter can renovate your property to help you sell it.

This could include extending, reconfiguring, completely renovating or simply upgrading kitchens and bathrooms.

However big or small, Kensington Dexter will design and create a property that will sell in the current local market.

Everything is managed for you including permissions, licences, design, and construction.

They can even furnish the property and partner with local agents to co-ordinate the sale.

A number of financing options are available, so if you'd like to pay for the renovation only after the property has sold, that can be an option.

Read our guide on "Renovating to Sell in a Tough Market" here.

You can also download our PDF brochure on Pre-Sale Renovations here

What is pre-sale renovation?

Pre-sale renovation is upgrading a property through building works, prior to sale. The aim is to increase sales value by providing a more highly specified home to the buyer.
Renovation can include extensions, reconfiguration, upgrading the living space and higher quality furnishings.

Who should consider a pre-sale renovation?

Renovated properties sell for higher prices than ones that require work.

If you want to sell a property, which requires work, conducting the works prior to sale is an option you should consider. This can be a particularly good option if there is the opportunity to create more (or better) living space.

Can I do it myself?

Yes, you can do it yourself, although renovations can be complicated. Architects, builders, structural engineers, party wall surveyors and many other contracts are often required.

Sourcing of the correct permissions is also important. Commercial knowledge on how to renovate to maximise value is key.

Whilst most property owners know what they like, they rarely have the insight into what is currently selling.

Making the right decisions can be a risky process and managing all the contracts is time consuming, even when the job goes well.

Could I sell to a developer?

This is also an option, but you’ll need to be realistic about the sale price.

When you sell to a developer there are two sales involved. One from the original owner to the developer and one from the developer to the new home owner. This means two sets of transaction costs instead of one. Stamp duty costs alone can run in to hundreds of thousands of pounds and agent fees are in the tens of thousands of pounds.

When the developer calculates the price to pay for a property he takes all of these costs in to account and reduces the price accordingly. In effect, the original property owner is paying the additional transaction cost. The developer also needs to finance the purchase of the property, which creates an additional cost. The developer's required profit is calculated on his entire investment including the purchase cost of the property and the development works.

Like the stamp duty, all of these costs are ultimately paid for by the original seller in the form of a lower sales price.

The result is usually a very disappointing sales price.

How can Kensington Dexter help?

Our design team will decide how to renovate the property to maximise value for the owner.

We manage the whole process end to end including procurement of materials, required permissions and building contracts. This removes the time intensive nature of managing a renovation and eliminates the need for multiple contracts.

Throughout the renovation process, ownership of the property remains with the original owner. This removes the dual transaction costs that are incurred when selling to a developer.

The developers costs of funding a large purchase are removed, and there is no need to make large profits that result from purchasing a property.

All of this means more value is retained by the original property owner, with Kensington Dexter managing the whole process.

Why act now?

There are currently a lot of properties on the market.

The properties that are selling and achieving the best prices are renovated homes, ready to move into. Purchasers don’t need to buy unrenovated properties and developers only buy at low prices. Sales of unrenovated properties are in decline and some have been on the market for years.

A pre-sale renovation with Kensington Dexter can improve your sales prospects and help you achieve a higher price.