My Barrington Illinois Home is worth what?
"My House is Worth What" hosted by Kendra Todd is a new show on HGTV and they featured a segment on a Barrington Illinois home in one of their shows. (Kendra Todd was the winner of "The Apprentice" for season 3.)
The Barrington Il home featured was built in 1908, purchased by the current owners in 1997 (several years ago - not sure about the exact purchase time) who had spent over $200,000 in renovations and additions to modernize yet keep the exterior architectural appearance and we give a big thumbs up when home owners help to maintain the charm of the Barrington Village.
We love to see vintage Chicago homes with unique and timeless architecture and to see the interior modernized to today's standards.
Downfalls of the Show
There are some downfalls of the show that should be highlighted to novice real estate investors so they don't run out and automatically think that investing a $100,000 into a renovation qualifies them to instantly see a return on their money.
The show takes in calculations from real estate purchases done years ago and does not calculate the true Return on Investment (ROI) so before you run out and spend $200,000 in upgrades keep that in mind. The appreciation from a Barrington home purchased 10 years ago would have just as high of a return on the money for doing basically nothing. In other words, the money spent on the renovations and additions had little to do with the current pricing except raising the price which could actually be detrimental under certain circumstances.
Savvy real estate investors/renovators know that you make your money when you buy. The show takes into no consideration for this fact focusing on homes that were purchased years ago with little to zero explanation of this and if the purchase was even a good deal to begin with.
Another Real Estate Show that may not be giving the true picture
In my opinion, the show is just another spin off of several other popular real estate shows made popular by people far more experienced in renovations and real estate valuations.
A Suggestion to make the show somewhat more entertaining: Have three real estate buyers agents come in after the "List Price" is announced and give their opinions on what they would recommend for a purchase price.
Overall, we think there are better real estate related shows to watch. If you have limited time for TV such as we do, save your DVR time for "Real Estate Pros" on TLC or "Flipping Out" on Bravo.
You should also always keep in mind that these types of shows are more for entertainment then actual real estate education.
Date: Wednesday, August, 22nd 2007 @ 09:50:17 PMViews: 388
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