The Home improvement industry has seen great success in recent years. Especially during the pandemic, homeowners have spent more time on their homes renovating or remodeling and finding a sense of satisfaction in doing so. Whether you are looking to improve your home for resale or just for yourself, the right projects can increase your happiness as well as your home’s value.
Generally speaking, home improvement refers to any work done on a house that enhances its function or appearance. The work can include painting, decorating, remodeling and repairs. It may also include adding an addition or converting one room into another. The work is often performed by professional contractors and sometimes even DIYers. The Home improvement industry is a large market, and it is estimated to reach high revenue levels in 2023.
Some Home improvements are more costly than others. A master suite addition is a major investment that will likely pay off when it comes time to sell. Other high-end renovations can make your home stand out from the competition, but you should always talk to a real estate agent about what kinds of changes will add value.
A good rule of thumb is to spend no more than 20% of your home’s current value on any improvement project. Otherwise, you will have a hard time making up that difference when it comes to selling. A good way to figure out how much your home is worth is to use the Freddie Mac Home Equity Estimator.
Many people take out a loan or line of credit to fund their home improvement projects. According to the American Housing Survey, cash from savings accounts covered most projects but more expensive ones were funded by cash-out refinancing, home equity loans, contractor arranged financing and credit cards.
If you’re planning to finance your Home improvement projects, it is important to carefully consider the interest rate and monthly payment. It’s also a good idea to speak with a financial planner before beginning any significant projects. If you can afford to wait, it may be better to save money or pay down debt before starting a big remodel.
There are certain things that are a certainty in life: death, taxes and home repair and improvement. These projects are usually unavoidable and will pop up when you least expect them, such as a leaky roof or flooded basement. The key is to plan ahead by creating a budget for each year and staying within it.
You can also stay on top of maintenance tasks by making a schedule for each month and keeping track of bills. Lastly, be sure to research the best home improvements and find the right contractors for your job. A quality pro will be honest, trustworthy and have your best interests at heart. They will be able to provide you with suggestions and ideas that will give your home a fresh new look that will last for years to come.