How to Add Value to Your Home

With all the various home improvement programs on TV, home owners may be overwhelmed by which projects might be best for them. If the goal is to add value to the house there are some projects that are better than others. Home remodeling can be an expensive venture, so planning on how to pay for them should also be considered.

Paying for home improvements

The best way to pay for remodeling projects is with cash if that is possible. Have a plan in mind and when deals come up on materials that will be needed go ahead and buy them, especially if there is a place to store them. When money is tight, however, paying with cash may not be an option. Fortunately, there are some other ways.

*Credit cards – Rather than use a bank issued credit card, apply for one from one or more of the large home improvement box stores. Many times they will offer a discount on items purchased if a certain dollar amount is exceeded. They may also offer special notifications of upcoming sales.

*Home equity – Taking out a home equity line of credit provides a type of loan based on the value built up in the house. The bank providing the credit also supplies checks which can be used to charge items to the credit account. The interest from the loan can be deducted from taxes. As the loan is paid off, more can be charged to it if needed. Using a home equity loans calculator is a good way to find out how much you could affordably borrow.

Pick the projects

While most home owners may have a list of dream projects they would like to accomplish only some of them have a high return on the investment. Tastes and styles may come and go, but there are certain some improvements that are timeless and sure to add value to a home.

*Outside – Much has been made the last several years about curb appeal and there’s certainly something to it, but it may not require complicated landscaping. Painting the house and having a well maintained lawn will go a long way.

*Deck – Building a deck can be an easy way to add square footage to the house, which is always desirable.

*Kitchen – Often the place where the most entertaining is done, updating the kitchen can be simple or extravagant, but either way it usually provides the most return value. Old cabinets can be re-stained and hardware replaced rather than buying all new units. Painting and re-flooring also increase value without as much work as some other projects.

*Bathrooms – Another room where maximum effect can be had with even the simplest projects. It also provides a chance to “go green” by installing low-flow toilets. These not only add value to the home but will also help reduce water bills.

The amount of time and expense that goes into a home remodeling project is up to the owner, but there’s no sense sinking money into a project that won’t add value to the residence. Picking the right projects will help reduce frustrations.

Katherine Watkins writes for a website that compares home equity lenders and offers advice on refinancing to pay for home improvements. Katherine believes it’s essential to choose home improvement projects that will actually add value and will appeal to potential buyers.