Home Improvement – How to Maximize Your Return on Investment

Home improvement

Home improvement, also known as home renovation or remodeling, is the process of upgrading an existing home interior and/or exterior. These improvements can be made for a variety of reasons, including: increasing the home’s market value, improving living conditions, and making it more functional. Home improvements can be expensive, but they can also offer a great return on investment.

In fact, homeowners have become so eager to make upgrades that the industry is experiencing record-breaking growth. According to Anderson, the categories of home improvement surging the most are those related to work outside the house: deck construction is up 275%, hiring landscapers is up 238% and fence construction is up 147%.

However, it is important to note that the vast majority of home improvements don’t target potential buyers. In fact, just 20% of those planning projects in the near future say they’re doing so to make their home more attractive to potential buyers. Instead, most are looking to improve their home’s comfort and livability.

When it comes to making upgrades, one of the most common is updating bathroom fixtures. This can be as simple as refreshing the shower area with new tile or as elaborate as fitting a brand-new vanity. Regardless of the size or scope of your project, always aim to use durable materials that will hold up over time and that you can easily clean.

Another top project is adding an extra bedroom and/or bathroom to your home, which can significantly increase the value of the property. These are great additions to any home, especially for growing families or those who find themselves in need of more space. However, before you embark on a major home improvement project, be sure to consult with a real estate professional. They can give you a better sense of how much an additional bedroom and/or bathroom will add to your home’s market value.

Another way to maximize the value of your home improvement is by using energy-efficient appliances and materials. This can help save money on your monthly utility bills, which is a significant financial benefit in the long run. Moreover, it is recommended that you pay cash for your projects whenever possible, as this will allow you to avoid taking on debt. If you do need to finance your project, seek out a lender that offers good terms and a low interest rate.