Written By Andrew Jones
Building equity is one of the primary benefits of home ownership. Equity is established when you make a down payment at the time of purchase, and it typically grows as your property value increases and the loan balance is paid off. You can also add equity to your home through the completion of thoughtful projects. These are some of the top options to consider that can add true value to your home.
Repair Known Issues
Before you spend money updating and improving the home, fix the items that you know are in poor condition. For example, if your roof is leaking or your foundation is damaged, repair these items. While they can be costly to complete in some cases, these issues can negatively affect the value of the property if they are not properly tended to.
Focus on Kitchens and Bathrooms
The two primary areas of the home that can show age and wear are the kitchen and bathrooms. Most of the features in these rooms are built-in, so professional renovation is often needed to improve style and function in these spaces. Depending on the extent of your upgrading, you may be able to recoup as much as 80 percent or more of the renovation costs.
Think About Climate Control
When you sell your home, a potential buyer will look for climate control features built into the property. While you may make do with ceiling fans and space heaters for climate control, many buyers want a home with a centralized heating and cooling system. If your home does not have a system installed or if the system is outdated, add a new and energy efficient HVAC unit to your home.
Update Your Lighting
Lighting is a critical design element that is often overlooked. The types of lights, the intensity of the light and even the placement of lights can play a major role in the overall ambiance in your home. Lighting should be functional and practical, but it also must create a suitable ambiance. The fixtures themselves can also affect the style of the home. When you update light fixtures, focus on the look of the lights, energy efficiency, their placement, the benefit of dimmer switches and more.
Make Easy Cosmetic Improvements
Some of these ideas can cost a small fortune to incorporate into your space. What can you do if you only have a limited amount of money to work with? Some cosmetic improvements can yield tremendous results for your home’s appeal and value. For example, replacing broken windows, patching up cracked drywall, updating the wall colors with a fresh coat of neutral paint, fixing cracked tile and more can do wonders for the overall condition and look of your property.
Fund Your Improvements and Renovations
Before you get started on home improvement projects, you need to set a budget for the work and line up the full amount of funds you will need. It is important to have access to all of the funds you need to complete the work before you begin. This is because you do not want to be forced to stop halfway through the project because of a lack of funds. Consider the benefits of a short-term loan, such as a payday loan or a title loan, to get the funds you need.
You may want to add value to your home quickly before listing it for sale. Perhaps you want to make improvements to your home for your own enjoyment. Each of these ideas can improve your home’s value with great results, so analyze the ideas to see which options are more applicable to your home.