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  • Writer's pictureBrady Grewe

The Impact of Water Damage on Home Resale Value

Updated: Jul 7

Beautiful view of the river valley from a house

Water damage can significantly impact the resale value of a home, affecting its marketability and desirability among potential buyers. A potential customer showed me where the toilet in the upstairs bathroom had overflowed causing water damage in that bathroom and the 1 below it. She mentioned that she wants to sell her house soon, so she was hoping to not have to fix the damage. I unsuccessfully explained to her all of the reasons it would be important for her to get the water damaged fixed correctly for the potential sale of her home. It inspired me to deep dive into figuring out the best way to explain to future customers the benefits of getting water damaged cleaned up correctly for selling their home in the future. 

1. Structural Damage and Deterioration:

Water damage can compromise the structural integrity of a home, leading to structural issues such as warped floors, weakened foundations, and deteriorating walls. These structural issues can deter potential buyers and decrease the overall resale value of the property.

2. Mold and Mildew Growth:

Persistent water damage can create the perfect breeding ground for mold and mildew, which not only pose health risks but also detract from the aesthetic appeal of the home. The presence of mold and mildew can raise concerns among buyers and lead to lower offers or extended time on the market. I have personally walked away from buying homes because of mold and mildew issues. 

3. Cosmetic Damage and Stains:

Visible signs of water damage, such as water stains, peeling paint, and discolored walls or ceilings, can make a home appear neglected and poorly maintained. These cosmetic issues can diminish the home's curb appeal and make it less attractive to potential buyers. Having visible water spots on a ceiling makes people wonder how much other damage that is there is hiding. 

4. Odors and Musty Smells:

Water damage often results in lingering odors and musty smells, which can be difficult to eliminate even after the source of the water damage has been addressed. These unpleasant odors can create a negative first impression and deter buyers from considering the property.

5. Disclosure Requirements and Legal Implications:

In many jurisdictions, sellers are required to disclose any known water damage issues to potential buyers. Failure to disclose water damage can lead to legal repercussions and further erode buyer trust. Additionally, lenders may require thorough inspections and repairs before approving financing for a home with water damage, further complicating the sales process.

6. Mitigation and Remediation Strategies:

To minimize the impact of water damage on home resale value, it's essential to address any existing water damage issues promptly and thoroughly. Work with a reputable restoration company like Renew by Grewe Restoration to assess the extent of the damage, implement effective mitigation measures, and restore the home to its pre-damaged condition.

7. Market Conditions and Buyer Perception:

Finally, consider market conditions and buyer perception when pricing and marketing a home with a history of water damage. Highlight the home's strengths and features, and emphasize the steps taken to address and mitigate water damage issues to instill confidence in potential buyers.

Protecting Home Resale Value

Water damage can have a significant impact on home resale value, but proactive mitigation and remediation efforts can help minimize its effects. By addressing water damage issues promptly, documenting restoration efforts, and pricing and marketing the home strategically, sellers can protect their home's resale value and attract buyers in a competitive market.

Warm regards,

Brady Grewe


Renew by Grewe Restoration


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