M Street Home - Question about attic insulation (sales, rental)

[katefrisco]

My question is somewhat random so bare with me please. My mother is about to put her rental home on the market. It is in the MStreet area. Home was built in the 20's. The kitchen and the one bathroom were updated. Problem is that there is no insulation in the attic.NONE. I've gotten a bid for about $500.00 to have insulation blown in the attic. I think it is worth it. My mother is of the mindset that she doesn't want to spend another dime. Problem is that if someone were to put an offer on it, the inspector is going to see no insulation. That might cause buyer to ask for even more money off price of the house. In other words, I am thinking it would be far cheaper to just do it, then risk buyer wanting more than $500 off price of house.
Your thoughts? Thanks.

[FalconheadWest]

Do it. $500 is cheap in what the buyer will ask as they see their electric bills being sky high in the summer and winter without that being done.

[TheOverdog]

I'd add it if I were you, for exactly the reasons you state. Also, if they see big problems like no insulation, they will also be more likely to look for little problems too. Spend the money now or prepare to be nickel and dimed.

[BigDGeek]

Exactly. I bought 3.5 years ago and am thinking about dipping a toe in the market again, and no insulation would be a big deal. I'd punish you via a lower offer or by asking for concessions.

[ChristieP]

On a house that old, there will be other problems. Your mom needs to face the fact that selling a house "as-is" will result in a lower sales price. If she would spend a little money on the front end, she will get it all back when she gets a good sales price.

[pharpe]

Look at it this way. As a buyer I would love to see no insulation in your attic because I know two things:

1. Turn key buys will pass on it giving me less market completion and therefor higher negotiating power
2. It gives me a bargaining chip. ei "I like the house but it needs work. No insulation, <insert any other minor issues>, bla bla... Can you come down on the price?

All this knowing full well that I can pay a few hundred bucks to have it done or knock it out myself in a afternoon.

[Lakewooder]

I would do it, $500 is nothing. The only reason not to do it is if the buyer wants to add a second story on the back.

[Komeht]

coin flip - it'll come up on an inspection report - but that's not a deal killer because it's very cheap to blow in some insulation.

1920s home though - stuff WILL come up on the inspection report. Hopefully the buyer is the kind of buyer who isn't expecting a new home and new home condition. You'll end up dickering over an amount to fix the various stuff that needs fixin' and this would just be another item.

OTOH, there's really no reason not to do it and take one item off the inspection report.

[Lakewooder]

Is this in the M-Streets Conservation District? If so, it may lessen the chances that the house will be sold as a teardown. If it isn't in that one, Vickery Place, or another, then maybe that's the way it may go...

[jsafstrom]

A house built in the '20's will have an inspection report full of deficiencies if it hasn't been totally remodeled. Anyone buying a home that old should understand that. Without knowing more about the house it's hard to guess if it's worth it or not. If there is still old wiring in the attic it shouldn't be covered up with new insulation so the buyer will have an idea what is there.

I would recommend advertising $500 off the purchase price to cover insulation (which sounds low by the way). That way she doesn't have to write the check and the buyer knows up front and can put in whatever type and how much they want (R-value)