We all want a nicer home. However, says Kuala Lumpur-based real estate firm Zerin Properties Sdn Bhd’s chief executive officer Previndran Singhe, “while some home renovations may enhance our lives, they do not necessarily increase the value of the property”.

Though it may not mean much when the renovations are done, you could be wishing that you had modernised the kitchen rather than add a fully fitted bar in the living room when it comes time to sell the house, he said in an interview.

Previndran was giving PropertyTimes a sneak into his talk at a seminar organised by the Malaysian chapter of the International Real Estate Federation (Fiabci), themed Smart Property Investment - Building Personal Wealth.

The seminar, being held in Kuala Lumpur today, aims to give members of the public an understanding of the fundamentals of property investment to enable them to make wise, sound and profitable decisions when buying a house to live in or for investment.

Among the other speakers at the seminar are Henry Butcher Lim & Long Sdn Bhd’s director of research and consultancy Fahariah Abdul Wahab, Pricewater House Cooper executive director Jennifer Chang and senior general manager of the Members Services Department at the Employees Provident Fund, Kamaliah Abd Kadir.

According to Previndran, the first step before undertaking any renovation is to decide whether it makes sense.

“You should ask yourself how long you plan to stay in the house. If it is for less than three years, an expensive renovation may not make sense because chances are you won’t be able to recover the money you put into it by way of fetching a higher selling price,” he said.

The more expensive your house and neighborhood, the greater the chance of renovations paying off. That’s because houses in fancier areas tend to enjoy better gains, and buyers tend to appreciate the extras put in, as well as be willing to pay for it.

Generally, said Previndran, the five areas that add value to a property are:

The kitchen

The kitchen has been an important deciding factor in numerous houses sold by Zerin Properties. Modernising a kitchen to be efficient and effective adds value to the house and makes it more saleable.

Built-in cabinets, fitted appliances and designated areas for a fridge, microwave, oven and perhaps a dishwasher make a big difference. Finishes for the flooring, walls and work areas that are practical to clean and durable are preferred. Big does not necessarily mean better, for what is important is functionality.

Master bedroom

Improving the master bedroom is also a sure way to add value to a property. The main add-ons a buyer looks at are built-in cupboards, walk-in wardrobes, a “suite” area for a sofa or reading corner and quality floor and wall finishes.

If the master bedroom does not have an en-suite, then it’s advisable to add it, as this is a pre-requisite nowadays. Built-in cupboards in the other rooms would also be a good idea.

Bathrooms

Being an essential part of any home, the bathroom is a very important area. General modernisation and upgrading should include the water closets, floor finishes and quality fittings.

Electrical wiring and plumbing

Older houses in established locations have houses that are at least 15 to 20 years old, where the electrical wiring and plumbing systems would be in need of overhaul. Because these systems are very important, questions on their condition are often asked by buyers of secondary market properties.

Electrical rewiring and remapping is essential to prevent short-circuits that could cause fires, while replumbing is vital as sedimentation and rust could have settled into the pipes, which is bad for health.

Overall painting

This is the immediate “value-adder”, as it is very visible. Ensure the paint job is done well, for poor workmanship is worse than a bad-hair day. Properties that are nice but have a poor paint job send a message that the seller is trying to hide something.

It is just like selling your used car. If you put it up with scratches, dents and bald tyres, you’re not going get top dollar for it.