If you’re planning on selling your house in the near future or just want to take advantage of low-rate home equity loans, consider these home improvements to get the most bang for your buck:
1. Boost Curb Appeal – During our home refinancing seminar earlier this year, we learned the importance of a well-kept lawn to the appraisal process. Investing in an attractive and functional landscape can increase your home’s value up to 20%! This could be as easy as creative use of plants in the entryway to more extensive projects like an extended porch or patio area.
2. Energy Efficient Upgrades – Before you consider more cosmetic improvements, maybe do some research into cost-effective energy projects like Energy-Star appliances, double-paned tinted windows, or a skylight. These investments will save money on utilities in the long run and some may include a year-end tax credit.
3. Finish the Basement – Adding square footage to your home is the best way to increase your home’s value. Try converting an unfinished basement into a usable living space. Adding extra rooms such as bedrooms and bathrooms in the basement will especially look attractive to potential buyers.
There is a disclaimer to this, however, as basements without a walkout aren’t considered for the extra square footage. So before you invest in the undertaking, talk to an expert and find out if your home would qualify.
4. Add an Additional Bathroom – In 2012, bathrooms were reported to be more important to home buyers than kitchens, tacking on an additional 20% of the home’s value (even just a half bath adds 11.5%).
If you’re on a tight budget or don’t have the room, consider refurbishing the existing bathrooms with newer fixtures and flooring. Even a fresh coat of paint has the potential to make your home show better.
5. Backyard Renovations – Creating a live-worthy space in the backyard has grown to be an important factor for buyers with families. Functional projects to consider: decks, patios, cooking spaces, fences and complementary landscaping can enhance the overall beauty and investment of your home.
6. Remodel the Kitchen – Thought to be the heart of a family home, any improvement to the kitchen is sure to add value. Whether you are considering an entire overhaul or a slight update, make sure you have a plan in place as this undertaking has the potential to become your biggest expense. Best updates for your buck: laminate flooring, new cabinetry, updated sink fixtures and lighting.
Now that you’re versed in what increases your home’s value, have you considered how to finance that cost? Check out the low rates on Home Equity Products.
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