Home improvement is a common, but sometimes costly, project that improves the value and function of a residence. Generally, a home improvement project is performed by an experienced and licensed contractor to achieve specific goals. It can be performed for a variety of reasons, from improving energy efficiency to increasing space for family or entertaining. However, before hiring a contractor to perform a home improvement project, the homeowner should always compare prices and make sure to verify a license and insurance and check customer references before hiring.
According to the 2021 American Housing Survey, about 3 in 5 homeowners have completed home improvement projects over the past two years. The median cost of these projects was $4,838. The most popular types of home improvements were kitchen remodels and adding a security system. Homeowners report that these projects gave them the most satisfaction after completion.
Some home improvement projects are more expensive than others, and 20% of those who took on these projects in the past two years had to sacrifice other spending or sell items to pay for them. Another 12% had to tap into or exhaust emergency savings and 8% used credit card debt to finance their home improvement projects. While the majority of those who have undertaken these projects say they were easily able to pay for them without tapping into savings or going into debt, many consumers don’t have a deep well of money from which to draw.
If you’re thinking about taking on a home improvement project, it may be beneficial to calculate your return on investment (ROI) before committing any funds. This calculation can help you determine how much of the project’s costs will be recouped when you sell your home. It’s also important to keep in mind that the ROI for some home improvements is less than others, with more upscale and extensive renovations delivering a lower return on investment than smaller, simpler projects.
The eight-season run of the popular television show Home Improvement earned several awards and nominations, including Golden Globe Awards, Primetime Emmy Awards and Kids’ Choice Awards. The cast reunited for a television special in 2003, Tim Allen Presents: A User’s Guide to Home Improvement, which featured highlights from the series as well as behind-the-scenes footage and blooper scenes.
If you are unable to pay for your home improvement project in cash, you can use a secured loan. These loans are backed by the equity in your house and typically carry a lower interest rate than unsecured personal loans. Other options include a home equity line of credit (HELOC) and a second mortgage. Both of these loans are available from banks, credit unions and other lenders. When choosing a lender, you’ll want to find one that offers competitive rates, has a strong reputation in the industry and offers flexible terms. In addition, you’ll want to make sure the lender can accommodate your unique needs as a homeowner. Lastly, you’ll want to find a lender that has a low default rate and a short prepayment period.