will addind a bedroom in an exsisting area(loft) add value?

Asked by Paulanto81, Tinley Park, IL Mon Jun 27, 2011

i have a 2 bed 1.5 bath condo style townhouse(att. garage, private front door,deck) we are a little upsidedown ($6,000) trying to sell now ,we want to turn the useless loft into a third bedroom, our agent says this will not add value? i've read that it could add 3 to 5% if your coverting existing space and 10 to 11% if you build an addition. We ae in Tinley park south of chicago and our subdivison has model without lofts and a few converted to 3 beds, yet none of the 3 beds have sold yet for comps

Help the community by answering this question:

+ web reference
Web reference:

Answers

3
Bill Eckler, Agent, Venice, FL
Tue Jun 28, 2011
Paulanto,

Whether or not a converted two bedroom to a three bedroom will increase the home value depends on the local market and demands placed on it. It would be reasonable to assume that compared to a two BR home that a three BR would have greater demand and value. Unfortunately, if there are 3 bedrooms available in the current inventory that have not sold, we should be asking the question, Why haven't they sold?

Good luck,

Bill
0 votes
Dan Tabit, Agent, Issaquah, WA
Mon Jun 27, 2011
Paula,
What you are describing isn't really an addition, it's a conversion. Your total square footage will be the same, but your rooms will change description. Chances are this won't effect value the way you describe.
The question I would ask is are 3 bedrooms in higher demand than 2 in your complex? If so, are they selling for more?
It may really come down to what the buyer will prefer and what the cost to convert the space will be. Framing up some walls isn't that expensive, but if the loft is preferable to the closed in bedroom it may not be worth the trouble.
0 votes
Christopher…, Agent, Methuen, MA
Mon Jun 27, 2011
It sounds like from your question that some similar homes are for sale currently. I would look at those homes closely to see what they are asking and how long they have been on the market. If they have been on the market for a long time that is something to consider as they may be over priced.

An extra finished bedroom should add some value, but it really depends on the factors at play in your exact market including consideration of the health of your HOA. Also, are there any special assessments on the horizon that may lower demand for your condo community?

If you can make the upgrades cheaply then you may want to consider it, but if it will cost you a considerable amount you may want to think twice as there is no guarantee that you will get your money back. That is a tough call.

I would go with the advice of your local agent if you trust them and if they know your local market well. It wouldn't hurt to get some other professional opinions from additional local agents as well.
0 votes
Search Advice
Search
Ask our community a question
Home Selling in Tinley Park Zip Codes

Email me when…

Learn more