THE DELEON INSIGHT
HIGH-END APPLIANCES AND RESALE VALUE OF HOMES By Stephanie Sham, DeLeon Realty Interior Designer
The resale value of a home is influenced by a number of factors, including location, square footage, and the condition of the property, just to name a few. Another important factor that can have a noticeable impact on resale value is the perceived quality of the home’s construction. Given that many of the very successful buyers in Silicon Valley did not grow up in particularly opulent surroundings, they may not be familiar with each and every facet of quality construction. Nevertheless, most of these buyers are familiar with luxury appliances. Therefore, many buyers, and even some real estate agents, look at the quality of the appliances and then assume that the entire home is built to this standard. This is particularly true with new construction. When it comes to appliances, the extent to which the high-end brands can increase a home’s value depends on a buyer’s expectations of whether a home in a particular neighborhood and price range
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“should” have high-end appliances. For example, it would not be unusual for buyers in the market for luxury homes in Atherton, Menlo Park, or Los Altos Hills to expect to see high-end appliances in a home, whereas a buyer in the market for a starter home in a less upscale neighborhood may be perfectly satisfied with something mid-range. In that case, any high-end appliances would simply be a bonus, but it may go unnoticed by buyers unfamiliar with the brand. In other words, there are times when the right appliances can make or break a deal. However, appliances can be quite expensive so the seller should make sure that they will make a difference. For example, if all the comparable homes have highend appliances and yours does not, your home may be in a disadvantageous position, and upgrading your appliances could result in a nice return on investment.
