How Maintenance Impacts Property Values
No matter how well a building is built, it begins to degrade before it is even completed. Ongoing repairs and maintenance are unavoidable if the building is to remain in good condition.
You've probably heard it said that in real estate it's all about location, location, location. This is certainly true, but there are other factors that also have a significant impact on a home's value - and whether it appreciates or depreciates over time. Two of these other factors are build quality and maintenance.
As home inspectors, we are not concerned with the location of a property, but we are very much involved with inspecting the condition of a property - which is directly affected by how well it was built originally and how well it has been maintained. In this article we will focus on the maintenance aspect.
Regardless of how well a building is constructed, it begins to degrade and wear before it is even completed and occupied. As the years pass, additional wear and damage will become evident. Ongoing repairs and maintenance are unavoidable if the building is to remain in good condition.
Many times maintenance is deferred or ignored altogether. This may be due to a lack of knowledge or awareness on the part of the property owner or manager, or it may be intentional in a short-term effort to save money. No matter the reason, neglected maintenance leads to an ever increasing list of maintenance or repair projects that need to be completed. Worse, neglected maintenance often leads to worsening conditions and increased repair costs.
Up to a point, it may be possible to delay these costs. When it comes time to sell the property, however, it is likely that a home or commercial building inspector will identify many of these neglected items as well as others that may not have even been known about. As the list of defects grows in an inspection report, so too may the hesitation of a prospective buyer.
Neglected maintenance may lead to a prospective buyer withdrawing from a real estate transaction as they learn that the property needs far more work than anticipated - and thus is not as valuable as they initially thought. In the event that the buyer does not withdraw, it is likely that they will insist on repairs before closing or on a reduced sale price.
The bottom line is that neglected maintenance or repairs on your property will almost certainly result in a decrease in the value of the property. As home and commercial inspectors, we see this over and over again. There are many properties that look good from the curb or in photos, but a closer examination reveals many hidden defects that impact the value of the property.
“ For nothing is hidden that will not be revealed, nor anything secret that will not be known and come to light.”
Luke 8:17 (WEB)
One essential aspect of protecting your real estate investment is staying on top of any maintenance or repairs. Keeping your property in good condition does cost money, but it is also an investment that pays off when it is time to sell the property.
Do you have questions about the true condition of your property? A pre-sale or routine maintenance inspection is the best way to know for sure what your home or commercial building needs now and is likely to need in the near future.
Let's Connect
Thank you for considering Frontier Inspections, LLC as your Wyoming home and commercial property inspector! Please reach out to us if you have any questions.
We are available by email at frontierinspectionsllc@gmail.com or by text/phone at 307-670-3706.
