Whether you plan to live in your home for years, or put it on the market soon, you will need to maintain it to preserve its value. If you plan to stay in your home, you still want to maintain your value. Make sure to keep up with repairs on an ongoing basis, so that you don’t wind up with a major expense later. If you plan to sell your home, you need to focus on repairs that will make your house feel like a home.
Where should you start?
It can be a bit overwhelming to tackle home improvement and maintenance. If you have just purchased your home, you probably got a thorough inspection. The inspection report will give you a good starting point. Ask your inspector for an order of priority to follow. You may need to budget for the high priced items. If the roof is old and showing signs of trouble, you will want to replace that as soon as you can. A faulty roof can cause a lot of other damage, which will cost you more money. Maintaining the plumbing and electrical service also is crucial. Problems with either of those systems can cause tremendous inconvenience. Landscaping shouldn’t necessarily be your highest priority, but it can create goodwill in your neighborhood. You need to inspect all the trees on your property. A dead limb hanging over your new roof can be a disaster ready to happen.
How much will my home’s value improve with a renovation?
If you want to remodel your home, whether you are creating a new addition or renovating an existing area, it will add value, but probably not as much as you think. You will probably recoup about 80% on average for any major renovation. For example, if you spend $100,000 building a second story on your home, you can plan to add about $80,000 to the value of your home. An appraiser can give you an exact value, but that is a rough guide. If it costs $50,000 to remodel your kitchen, it will probably add about $40,000 to the value. Be sure to talk to an appraiser before starting renovations to make sure the job will add value to your home. Some projects can actually harm a home’s value. For instance, one homeowner who planned to convert a freestanding garage into a mother-in-law suite changed her mind after talking to an appraiser before proceeding. The appraiser told her that her home was worth more with a garage than it was with a mother-in-law cottage. She would have lost money in the transaction.
Now that you are a homeowner, you will need to set aside money for routine repairs and maintenance. Tuck away about $500 a month and save up for any big repairs that may come up. Keep on top of the minor repairs and they won’t turn into major problems.
Where should you start?
It can be a bit overwhelming to tackle home improvement and maintenance. If you have just purchased your home, you probably got a thorough inspection. The inspection report will give you a good starting point. Ask your inspector for an order of priority to follow. You may need to budget for the high priced items. If the roof is old and showing signs of trouble, you will want to replace that as soon as you can. A faulty roof can cause a lot of other damage, which will cost you more money. Maintaining the plumbing and electrical service also is crucial. Problems with either of those systems can cause tremendous inconvenience. Landscaping shouldn’t necessarily be your highest priority, but it can create goodwill in your neighborhood. You need to inspect all the trees on your property. A dead limb hanging over your new roof can be a disaster ready to happen.
How much will my home’s value improve with a renovation?
If you want to remodel your home, whether you are creating a new addition or renovating an existing area, it will add value, but probably not as much as you think. You will probably recoup about 80% on average for any major renovation. For example, if you spend $100,000 building a second story on your home, you can plan to add about $80,000 to the value of your home. An appraiser can give you an exact value, but that is a rough guide. If it costs $50,000 to remodel your kitchen, it will probably add about $40,000 to the value. Be sure to talk to an appraiser before starting renovations to make sure the job will add value to your home. Some projects can actually harm a home’s value. For instance, one homeowner who planned to convert a freestanding garage into a mother-in-law suite changed her mind after talking to an appraiser before proceeding. The appraiser told her that her home was worth more with a garage than it was with a mother-in-law cottage. She would have lost money in the transaction.
Now that you are a homeowner, you will need to set aside money for routine repairs and maintenance. Tuck away about $500 a month and save up for any big repairs that may come up. Keep on top of the minor repairs and they won’t turn into major problems.