When you are selling your home it is almost always a good idea to make the updates. The level of updating depends on your neighborhood and what is most common but generally speaking, the less buyers have to do to a home, the better. That said, there are some home buyers out there who are looking for a fixer-upper, but that is a small percentage of the buyer pool.
Most buyers are looking for a property that is turnkey. When they walk in to a home they like to see an updated kitchen and baths, fresh paint and carpet, flooring that is in good condition, replacement windows and a newer roof and HVAC systems.
It is important to understand the psychology of a homebuyer. When they tour a house that needs updating or repair, they automatically begin tallying up the expenses and they deduct it from the offer price. More often than not, their perception of the cost of an improvement is much higher than the actual cost. Therefore it behooves the seller financially to go ahead and make the updates before listing.
When it is not possible to make updates – Sometimes due to financial or other constraints it is not feasible for the seller to make updates before listing the property. This is okay as long as you have realistic expectations. When you are competing against properties that are turnkey, and your house is not, you must be priced aggressively.