Home improvement is a popular pastime and a great way to add value to your property. It’s also a good way to customize your living space and make your house feel like it was built just for you and your family. However, you need to be careful not to overspend and make changes that could hurt your resale value. If you are planning to sell your home within the next few years, it’s a good idea to talk to a real estate professional to find out which renovations will bring in the most return.
A homeowner who plans to do a home improvement project should look for professionals with a solid track record and reputable references. He or she should also check a contractor’s license and insurance to ensure that they are properly qualified to work on your home. Homeowners can find contractors through referrals from friends and family members, local real estate offices, or online aggregators of service providers. It is important to compare pricing and terms before choosing a contractor. Homeowners should also be aware that if they choose to finance their projects through a loan, the interest on those loans can add up quickly.
While the home improvement boom is waning, Americans are still eager to remodel their properties. This is reflected in booming sales at home improvement stores such as Home Depot. According to Anderson, some of the categories that are surging include deck construction and putting in fences. He cites rock-bottom interest rates as one of the factors driving this trend.
It is also worth mentioning that some home improvements have little to no return on investment (ROI). Some common examples of these types of upgrades include installing new flooring, upgrading the kitchen or bathroom, and adding a swimming pool. The ROI of these upgrades is very low compared to other investments that can be made with the same amount of money, such as stocks and mutual funds.
Some homeowners may need to make home improvements for safety reasons, such as repairing electrical problems or fixing a leaky roof. These types of repairs can’t be put off and are crucial for the safety and well-being of your family.
Overall, the vast majority of homeowners are prepared to pay for their home improvement projects without tapping into savings or going into debt. According to NerdWallet’s September survey, 80% of respondents say they stick to the budgets they set for these types of projects, and 75% have money set aside specifically for these kinds of expenses.
Before you start any home improvement project, it is a good idea to speak with an expert to get some advice and tips. This will help you avoid costly mistakes that can be extremely detrimental to your home’s resale value. In addition, it’s important to update your home insurance as you make renovations. A home insurance pro can ensure that you have the right coverage in place so that your newly improved property is covered.
