Magic Kitchen Logic

Dear Pat,
After months on the market last year we finally gave up. We lowered the price three times, we painted just about every room, we did everything we could but got no offers. Feedback from the agents who showed the house was pretty positive and sensible except for two things that kept coming up: our busy street and our poor kitchen. Of course we can’t change the street, and of course we can’t wave a magic wand and give them a dream kitchen. Duh. That’s why we want to sell! Any practical ideas that we CAN do?
---Stuck Here

Dear Stuck,
Your handle fits nicely, because while you see yourself stuck on your busy street with your poor kitchen, I see you stuck in the passive mind-set that keeps you from your goals. First, let me say that good houses sell on busy streets all the time, and at fair prices, as long as they appeal to the right buyers. Let’s not dwell on why people are content to buy on busy streets (although price plays a big part in this), just be assured they do. Let’s move on to the thing you actually CAN change: the kitchen.

Since we moved to a buyer’s market a few years ago, sellers have had to adjust to buyers’ wishes in ways we never imagined. Now sellers (especially ones on busy streets, or with other conditions that can’t be changed) often need to add value before they sell, in addition to making needed repairs. These days that added value often comes in the form of a new kitchen—for me as a listing agent, it’s the single biggest factor in predicting success on the market. Example: last year I had clients take their house off the market after four months of price reductions and frustration. Determined to sell, they completely remodeled their kitchen with new IKEA cabinets, new counters and lovely ceramic tile backsplash. Plumbing changes and electrical changes were minimal, but new fixtures were added. The new cabinet configuration added utility and spaciousness. Total cost of the remodel? $4000 and one week’s time off work. We put the house back on at a higher price and received an offer within 3 days, netting more than the cost of remodeling.

Less-handy sellers may still have to find a contractor to do the work; but a careful use of referral resources amongst friends and family can often find (especially these days) someone with the skills to provide and competently install new kitchen cabinets, fixtures and appliances for $7,000 to $10,000. Remember, a $200,000 Longfellow bungalow doesn’t need a Plekkenpol kitchen. Keep the changes simple but effective, so you may be sure of recovering most, if not all, of your cost. To wave this magic wand you may need to borrow from an equity line or other sources for the short term, but that money returns to you on closing day—which comes a whole lot sooner if you face the market with a spiffy new kitchen.

Although I’ve addressed this article mainly to sellers, I think it’s worth mentioning to any potential buyer that the real bargains in the traditional market can be found among the many otherwise-worthy houses with poor kitchens. Buyers with moxie (does anyone ever say that anymore?) can build equity right away. Meanwhile, Stuck Here, I hope all this magic kitchen logic hasn’t been lost on you. Good luck!