Category — Home Improvement

Repairs and renovations can add substantial value to any home that you purchase. Adding another bedroom, expanding the bathroom, building on an enclosed porch or remodeling the kitchen can add thousands or tens of thousands of dollars to your home’s value. However, when you’re planning to make repairs or do remodeling, it’s important to get an accurate idea of the costs. That bargain home that you think you can buy cheap and double the value by making a few renovations could actually cost you more than an expensive home that doesn’t require any work.

Think that comparable sales tell you everything you need to know about the current real estate market? Think again. Economic factors aside, real estate markets tend to operate in boom-bust cycles. If you buy at the end of the boom, you’ll be faced with a long period of softening real estate market and potentially falling home prices. The key to making a good investment in real estate is to predict where market values are heading – not just where they currently stand. To do that, take a look at how much it costs to build your home.  

Remodeling can be a great way to improve your property’s value and make a quick buck when you sell your home. Buying a “fixer upper” home is one of the classic home buying techniques for first time buyers who may not have a lot of cash and resources up front, but hope to build resources through homeownership to move up to a better home. Before you put in an offer on that home you plan to remodel, though, do your homework. Over- or under-improving your home can have the opposite effect and lose you money in the deal.  

With our society becoming increasingly focused on environmental impact, there’s a growing segment in the real estate housing market – green real estate. “Green” real estate is property that has had modifications or changes to make it more environmentally friendly.  

When you buy a home, the goal is always for the home’s value to appreciate so you make money if you sell it in the future. However, if your home’s value does increase, you’ll have to pay taxes on your capital gains based on the profit you realize from your home sale. If you save receipts for your home improvements, you can deduct those costs from your capital gains and pay less in taxes when you sell your home.  

You can get a great deal on a home even if you pay fair market value: find ways to add value to your property. When you’re shopping for a home, look for a few factors that enable you to make small or inexpensive changes that can make a big difference in your property values. This can be the difference between paying a fair price for a home, and getting the deal of a lifetime.  

When you own a home, a time may come when you decide to make home improvements. You might buy a new home with home improvements in mind for the future, or you may plan home improvements when you have an unexpected windfall or a life change. Regardless of your reason for making home improvements, don’t look at them as a massive expense; home improvements can be a very good thing.