Home Improvement Adds Home Value
Home improvement is any repair, remodeling, alteration, improvement, addition, modernization, or modification of the interior or exterior of a residential building. This includes kitchens, bathrooms, basements, garages, attics, or any other room or space inside a dwelling. It also includes the painting, coating, or sealing of any surface within a residential building. However, it does not include the construction of a new building or the installation of nonpermanent structures such as fences, patios, decks, driveways, sidewalks, swimming pools, nonpermanent landscaping, and air conditioning or heating units.
In recent years, the popularity of home improvement has grown. Homeowners want to upgrade their living spaces to better suit their family’s needs and to increase their homes’ value. However, homeowners should be aware that not all renovations will add significant value to their properties. A good rule of thumb is to choose projects that will appeal to the majority of potential buyers. This will ensure that the project will be easy to maintain and won’t detract from the overall home value when it’s time to sell.
Popular home improvement and remodeling projects include sparkling bathroom overhauls, which offer the best return on investment (ROI). Other popular house improvements that add value include adding a master suite to the main floor of a residence, a finished basement, or installing new appliances and fixtures. To make the most of your home improvement dollar, be sure to use energy efficient appliances and fixtures and avoid opting for luxury options that will only limit your resale value.
Many people turn to home equity loans for financing their home improvements. These loans are essentially second mortgages, and they allow homeowners to borrow against the equity they’ve built up in their houses. Home equity loans are typically repaid over five to 30 year terms via fixed monthly payments, and they can be used for anything from home improvements to debt consolidation or long-term medical care.
It is important to understand that the value of a property is based primarily on the number of livable square feet it contains. Therefore, the more livable square footage, the higher the home value. Therefore, when considering a home improvement project, it is a good idea to speak with a real estate agent about which upgrades are most likely to add value.
Although the COVID-19 pandemic has slowed down professional home renovations, DIYers have been taking advantage of the opportunity to improve their living spaces. As a result, do-it-yourself remodeling projects saw a boom during the pandemic, and many homeowners are planning to continue renovating in the future. With the rise in home prices and limited supply of new homes for sale, it is no surprise that home improvement is on the minds of many homeowners. It’s important to prioritize your home improvement budget wisely and choose the projects that will have a high ROI when it’s time to sell. Fortunately, there are plenty of great home improvement ideas that can fit any budget.