Research has found that the number of individuals who are renovating has increased. In 2009 about $116 billion was spent, this year an estimated $128 billion is expected. Why are so many individuals updating?
To sell
Improvements made to the home can help sell the property much faster. When buyers walk into a home and they see an updated kitchen versus a kitchen that is completely outdated, this will be a determining factor for most. A home with a pool might add up to 11% on the property value in the southwest and about 6% in the Midwest. When considering a pool one should always keep in mind the costs of maintaining the pool throughout the year. Homeowners who have a pool say they spend more time maintaining it then enjoying it.
Look at your surroundings
If your house is the only mansion on the block, this is not going to be appealing to the average buyer. Not only is it not going to be appealing, the value of the home will dramatically drop. When your home is the only home with a pool on the block, chances are a pool is not desirable for individuals looking in that area.
Saving money on energy and maintenance expenses
Saving money anywhere consumers can, they have adapted to energy efficient appliances and upgrades. Insulating walls can cost around $700 nationally, saving $45 to 210 a year in energy cost and a geothermal heat pump costs $7,500, which can help save an average of $200 to $400 a year. Both of these upgrades qualify for federal tax credits. Many of the projects completed last year and this year were eligible for a federal tax credit of 30% for costs up to $1,500. There is an exception for some geothermal, wind and solar projects that also received 30% federal tax credit.
Energy efficient windows, roofing and doors receive 100% of the average cost back to the seller. This type of maintenance not only makes a great first impression, but you get your money back when you sell and save money while living there. Informing insurers of the upgrades can help save about 10% to 15% annually on premiums as well.
Contributor, designer & admin for JohnHart Gazette.
