5 Strategies to Market a House with a Dated Kitchen

October 15, 2024

RemodelingKitchen & BathDesign & ArchitectureWorking With BuyersWorking With SellersMarketing

By: Barbara Ballinger

ShareRemodeled kitchens help sell houses faster and for higher prices, but what can be done when the kitchen, the heart of the house, shows its age?

Dated looking kitchen

© Willie B. Thomas / DigitalVision / Getty Images

Key Takeaways:

To compensate for a dated kitchen, there are different strategies you can take:

  • Adjust the price downward to reflect work that needs to be undertaken
  • Have sellers make cosmetic changes to help it look fresher 
  • Compete with up-to-date kitchens by helping buyers envision a major overhaul

Updated, functional kitchens that mirror the best on reality TV shows and hip Instagram posts help listings sell. They’re also among the top interior projects to recover cost at resale, according to the 2022 Remodeling Impact Report by the National Association of REALTORS®. (Download the full reportpdf; a new version is expected next year.)

With competition for listings coming from new construction in many areas, sellers who don’t heed this lesson run the risk of seeing their listing sidelined, says Compass salesperson Jessica Licona. principal and founder of the Licona Team in Austin, Texas.

It’s easy to see why buyers favor houses with spiffy kitchens. Some dread taking on work because of the difficulty of hiring vendors. Increasing costs and possible overruns are another factor as averages climb to almost $80,000 for a mid-range remodel and $159,000 for a high-end change, according to Remodeling magazine’s latest Cost vs. Value report. Chicago-based broker Jennifer Ames, Engel & Volkers, has heard another reason: “Many buyers realized after [COVID-19] that their time is finite, and they don’t want to waste it doing big projects,” she says.

Is the absence of a smashing kitchen a death knell for a sale? No, but your sellers need a smart marketing strategy to compensate. Each of these strategies offers risks and rewards that depend in part on a home’s price point, the sellers’ budget and their interest in making changes. Help your clients decide which is most palatable to close a transaction at the highest price and in the shortest number of days on market.

1. Adjust the price downward.

A lower price will make the sellers’ home more attractive compared to other homes that also aren’t fully updated. Buyers get the benefit of paying less, and then, when they have the funds, they can undertake a kitchen overhaul that reflects their taste. Broker Claire Higgins with Engel & Volkers’ Vero Beach, Fla., office has found that buyers who are most willing now to tackle work are those in their late 20s and early 30s. Many feel lucky to own a home, given still high sales prices, but may be cash strapped to hire help.

Risk. The price may be lowered but still may not be low enough to entice buyers, given concerns about escalating kitchen remodeling costs and anecdotal tales about time overruns and hassles.

Reward. Going lower offers sellers the possibility of a quicker sale and less need to invest more in a home they plan to leave.

2. Provide a floor plan to help buyers visualize changes.

A floor plan gives buyers a realistic vision of how the kitchen could look with updates. Ames says upper-bracket sellers might hire a kitchen designer or architect to measure and draw a new layout, suggest materials and equipment and estimate costs.

Risk. Plans may run several thousand dollars based on design complexity, and some buyers may feel overwhelmed by what’s suggested, spurring them to find a home with a remodeled kitchen.

Reward. Seeing a blueprint helps buyers think outside the box and imagine the kitchen transformed, from lemons to lemonade.

3. Consider the power of staging.

A professional with a keen eye can do wonders, removing furnishings and objects that are too personal, create clutter or make the whole house feel old and tired. Stagers typically try to neutralize rooms, to “remove or camouflage what’s dated and make the best of what sellers have,” says salesperson Jac Smith with Jac Smith Group, Keller Williams Realty St. Petersburg, Fla.

Timing is critical: Staging should be done before a house is photographed. “The first open house is what’s seen online so it should look as perfect as possible when it goes live,” Higgins says.

Who pays varies: Whether it’s the listing agent or the seller, staging is done with the hope the property will be sold for a better price and faster. Many buyers’ agents say staging does have an impact on price. According to National Association of REALTORS® Profile of Home Staging.

  • 20% of buyers’ agents put the price increase at 1%–5%
  • 14% put it at 6%–10%
  • 8% said staging increased the price by 11% or more

In the survey, 34% of buyers’ agents said staging has no impact on price, and 23% said they weren’t sure. (Download the full reportpdf.)

Risk. Staged rooms may become too bland if all color and personalization is removed. It resembles a stage set minus people.

Reward. With colorful flowers, plump cushions, cozy runners, appealing scents, the rooms and house may appeal so much that buyers end up wanting not just the house but the contents.

4. Make cosmetic changes that remove eyesores.

Sellers may not have the dollars needed to remodel a kitchen, but they may be able to afford small changes, says broker Tia Hunnicutt, ABR, SRES, of San Francisco Bay–area Proxima Realty. Tweaks can help transform a space visually and functionally, especially for buyers who aren’t looking at homes at the high end.

It’s key to know what buyers find most appealing in their price range, says Boston North Shore broker Jean-Marie Minton, SRES, Minton Regan Homes with Keller Williams. Ames says sellers can never go wrong with an all-white kitchen. Lighter painted or wood cabinetry trumps dark wood, agrees broker Stafford Manion of St. Louis-based Gladys Manion Real Estate.

Other quick, affordable fixes are newer pulls and handles that turn easily, at least one new appliance with stainless-steel front, new backsplashes or countertops, and coordinated finishes for hardware, lighting and appliances.

The easiest fix is a professional deep cleaning, says Hunnicutt. “Nobody wants to move into someone else’s mess,” she says.

How much to spend should reflect the price of the home and others in the neighborhood, Ames says. “For a $300,000 condo, I would recommend spending $15,000 or 5%,” she says. Another reason to do some work is that many buyers overestimate the cost, she says. “For every project that might cost $1,000, buyers may deduct upwards of $4,000 from their offer price.” 

Risk. Today’s buyers are savvy and know certain tweaks make a room look better but won’t overcome all problems. A new counter won’t compensate for the absence of an island. Some changes may even create new problems. Replacing cabinets may damage flooring; same goes for switching out a counter, which may require a new sink, Ames says. And tweaks won’t overcome an awkward layout, she says.

Reward. Freshly painted walls and new lighting won’t make up for dated appliances but will send a message that the sellers are putting their best foot forward.

5. Go for gold with a full remodel.

This approach works best with higher-end homes since it requires bigger bucks and attention to what’s trending. In Hunnicutt’s area, buyers typically expect fully tiled walls, marble countertops or some comparable material and top appliances. Higgins adds the importance of top cabinetry in a lighter tone and a lighter or white paint palette. In her upscale Austin market, Licona sees more customized kitchens with coffee bars, great hoods, interesting wallpaper in cupboards and on ceilings, undermounted lights in cabinetry and vintage detailing. Expensive transformations take two or more months, depending on the availability of materials and labor and complexity of the job, so planning is critical.

Risk. Anyone who’s undertaken a remodeling project, watched movies such as “The Money Pit” or listened to friends’ stories knows the pitfalls well. Also tastes change and what sellers choose today may not appeal to buyers tomorrow.

Reward. A new, gleaming kitchen that checks homeowners’ most frequent wants—even if not all—will raise the joy factor by giving them a great space for bringing family and friends together.

Accentuate the Positive

At the same time you’re helping sellers overcome an ugly-duckling kitchen, remember that a home’s other features and rooms can play a positive marketing role. Focus on what’s best in the house, says Higgins. It could be a great outdoor space, upgraded primary bathroom or finished basement. Smith stresses the importance of a stellar location, school system and curb appeal. Even ample space or the right number of bedrooms will make a difference for some buyers, Manion says.
 

Barbara Ballinger

Barbara Ballinger

Barbara Ballinger is a freelance writer and the author of several books on real estate, architecture, and remodeling.

Consumer Guide: Buying Your First Home

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NOTE: Consumer guides do not constitute any change in NAR policy. Real estate professionals must ensure they market properties consistent with relevant MLS rules and educate sellers on the choices available.


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Consumer Guide: Buying Your First Homepdf(118.98 KB)


So, you’re ready to find your first home. But where do you begin? And what resources are available to help you? Here’s what you need to know as you embark on your homeownership journey:

Who is considered a first-time homebuyer?

The definition of “first-time homebuyer” might be broader than you think. For example, it can refer to a person who has never owned a home, a person who has not owned a home in the last three years, or a single parent who has only previously owned a home with a spouse. The definition may vary by program, so check here for the Federal Housing Administration’s definition of a first-time homebuyer.

How do I find an agent?

With the cost of housing at an all-time high, agents who are REALTORS® are here to help first-time homebuyers navigate challenges in the market and achieve the dream of homeownership. Agents may offer a wide range of services, such as finding available homes that meet your criteria, accompanying you to showings, negotiating on your behalf, and more. Consider asking prospective agents these ten questions to determine if they are the best fit for your needs.

What is a written buyer agreement?

In many cases the agent you’ve selected will be required to enter into a written buyer agreement with you before you tour a home together. This agreement will outline the services the agent will provide and what they will be paid for those services. These agreements are fully negotiable, and you should feel empowered to advocate for the agreement that meets your needs.

What are my options for securing financing assistance?

First-time homebuyers have multiple options for financing the purchase of their first home. Discuss with your agent the programs that might be available to you, including:

  • Conventional mortgage loans are financed by private lenders, such as banks, credit unions, and mortgage companies. Mortgages typically require a down payment—you can use this tool to find down payment and closing cost assistance programs that you may be eligible for.
  • Federal loan programs are available for eligible buyers through the Federal Housing Administration, Department of Veterans Affairs, and U.S. Department of Agriculture.
  • State-funded grants for first-time homebuyers may be an option depending on your location. Contact your state’s housing financing agency for more information.
  • Local governments or non-profit organizations in your area may have programs available to borrowers that meet specific requirements.

Are there other ways I can lessen my cost burden?

Some sellers may offer to pay certain costs associated with purchasing a home for you, which are called concessions. You can also ask the seller to pay for your agent’s compensation as part of your purchase offer. Both are options that may reduce out-of-pocket and upfront expenses, helping you stretch your budget further. Your agent can advocate for you during purchase negotiations on these and other terms.

What other resources are available?

Agents who are REALTORS® and your state and local REALTOR® Associations can direct you to many other resources. For example, first-time homebuyers should consider homeownership education and counseling services, which provide tools and information to help resolve financial roadblocks, develop a budget, and work on a plan to meet the financial requirements of homeownership. Your agent can refer you to a HUD certified housing counselor.

How do I know what option is best for me?

When you work with an agent who is a REALTOR®, you are working with a professional guided by ethical duties under the REALTOR® Code of Ethics, including the pledge to protect and promote the interests of their clients. Your agent will work with you to weigh your options, answer questions, and develop a strategy you are confident in. You can read more about REALTORS®’ duty to put client interests above their own herepdf.

Practices may vary based on state and local law. Consult your real estate professional and / or consult an attorney for details about state law where you are purchasing a home. Please visit facts.realtor for more information and resources.