Published August 24, 2025

Should you remodel before you sell? What It Could Cost You

Written by Jan Lee

Should you remodel before you sell? What It Could Cost You header image.

One day, I found myself walking into a freshly remodelled kitchen, and my first thoughts were "I wish they knew that the remodel hurt more than it helped."

Regardless of the home’s price, according to the Texas Homeselling Experience Report by Texas REALTORS®, 26% of agents said remodeling actually costs sellers more than it adds in value ("2024 Texas Homeselling Experience Report", 2025).

So before you start tearing down walls or swiping your credit card at Home Depot, let’s break down the hidden costs of remodeling and what you can do instead.

1. Does Your Neighborhood Justify the Remodel?

Your neighborhood sets the standard.

If your home is the only one in a modernized area that is outdated, remodeling might make sense to stay competitive.

But a remodel usually just helps you match other homes. If most homes have similar finishes, buyers may not expect high-end upgrades so that big spending could be wasted.

Ask yourself: Will a $10,000 make sense? Or could I skip the remodel, price my home appropriately, and save time, money, and energy?

2. Budget Overruns & Hidden Costs

Remodeling could cost more than expected.

Permits may take longer. Contractors can raise prices. A plumber finds a problem.

Suddenly, your $20,000 budget is $35,000, not to mention the mortgage payment you pay every month. We highly recommend creating a spreadsheet to account for both projected and actual expenses line by line.

Then ask yourself: Will I actually see that money back at closing?

3. Timing & Market Conditions

Real estate is all about timing.

If your remodel takes months, you could miss the best time to sell. If the market changes while you wait, your remodel may not yield a return on your investment.

I once had a seller who hired a general contractor who did not put him on the priority list. The contractor took 4 weeks to complete the interior painting and flooring.

I’ve seen sellers lose momentum because a project took too long, and by the time they listed, the market had cooled.

4. The Trap of Sunken Costs

Every month your home sits during a remodel, you’re still paying carrying costs.

Mortgage. Taxes. Insurance. Utilities.

If you have a vacant house that has a mortgage of $2,500 and your remodel drags on for two months, that’s $5,000 more in holding costs.

That’s money you’ll never see again.

5. Buyer Preferences vs. Personal Taste

Not every buyer will love your upgrades. What you see as an improvement could easily be the buyer's project.

For example, I once toured a home with a family where the seller had installed five different types of flooring throughout the house! Instead of seeing it as upgrades, my clients immediately started calculating how much time and money it would take to replace it all with something consistent.

So ask yourself: Is this upgrade for my own enjoyment, or am I making choices based on return on my investments?

So What Should You Do Instead?

Instead of pouring money into major remodels, focus on minor, cost-effective updates, such as fresh painting, minor repairs, and updating fixtures. You may even be able to stage your home using your own furniture.

Bottom Line

Remodeling before selling might seem appealing, but it frequently costs more than it returns. ("2024 Cost vs. Value Report", 2024) The best move? Focus on minor, cost-effective improvements that give your home a "move-in ready" feel. Understand the market's timing and price your home strategically to maximize its value. By doing this, you can maximize your return and avoid unnecessary stress and expenses.

At Jan Lee Homes, we'll walk you through your options so that your money and energy have the most significant impact.