Sellers often ask if they can just provide a carpet allowance on a listing in lieu of installing new carpet. In their mind, this is a benefit to the buyer since it allows the buyer to choose their own color and style of carpet. The benefit to the seller is they don’t have to deal with the inconvenience of a carpet installation.
In my experience a seller is much better off to install new carpet themselves BEFORE listing the home – if new carpet is needed of course. Why?
Fresh new carpet makes the home show much better. Buyers often have a hard time picturing new carpet in a home. All they see is the dirty, dingy carpet and often won’t even make an offer. At the end of the day when assessing the many homes they’ve seen in their search all day, the buyer will gravitate to the home that felt most like home and is move-in ready. They may forget that your home had a good layout but will remember the negatives, like bad carpet. Your home has to compete with other homes in the marketplace, and most of these will have fresh carpet. Even if a seller offers a carpet allowance, they often will end up selling the home for substantially less than the cost of installing new carpet in the first place.
What if I can’t afford new carpet?
Some home owners may not have the extra cash to install carpet in advance. In that case a carpet allowance may be their only way to get the home sold. But be prepared to sell the home for substantially less than what you could sell it for with fresh carpet.
If you are unable to afford carpet before listing your home, I may have a solution that helps both the seller and buyer. As an experienced agent, I work with proven, reliable contractors on a regular basis. I can refer you to a carpet company that may be able to install fresh carpet AFTER your home goes under contracted but BEFORE it closes. The carpet company will then get paid at closing.
This allows the buyer to get new carpet prior to moving into the home, yet saves the home seller money in the transaction.
Talk to me about options
The smart financial move is to install new carpet – if needed – BEFORE you list your home so that it looks fresh and inviting. Buyers will be wowed by the new carpet and fresh paint and the stunning look of your home, rather than distracted by the old, worn carpet. But if that is just not financially feasible, I can help you find a way to sell your home for a good price without taking a huge financial hit for having old carpet.