Renovating a property in order to sell it can be quite the investment. Here are some things to keep in mind to get the best return on your investment.
First make sure that the renovations are what people really want, as you're not doing this for yourself. While it's true that kitchens and bathrooms are the most expensive to renovate, they are also often the ones that will increase your home's value the most, and are likely to pay themselves.
Next, you need to make sure to stay classic. Aim for neutral cabinets, keep the same ceiling height, and make that all windows and moldings have the same style. Exotic interiors don't go down well with most buyers, so you want to stick with cream, pale colors and keep everything as minimalist as possible. Light colors also have the added benefit of making your home look more spacious, which is always a plus. Unless you plan on living a very long amount of time in the house, classic is the way to go.
Your neighborhood will also affect the type of renovation necessary. For example, if the average house price on a neighborhood is $200,000 and you house is worth $150,000, spending $100,000 to renovate and increasing your home price to $350,000 will not be a wise investment. It is very hard to sell a house that's not inline with the neighborhood property values, so make sure you are aware how much your renovations will increase your property's value.
Finally, you need to take into account hidden costs. The renovation may take longer than anticipated, inspector fees for asbestos testing and heat loss calculation may be necessary, and a whole host of other issues may increase costs. Before making this type of decision, make sure to talk with a real estate agent to see if renovation is a worthy investment.