Home improvement is a broad term that includes renovations, repairs and maintenance to a home to improve its functionality or aesthetic appeal. It also refers to the work that contractors or other professionals perform on behalf of homeowners. The industry includes the sale of materials and supplies, as well as the hiring of contractors or tradespeople to carry out the work. The home improvement industry has seen impressive growth in recent years, particularly during the coronavirus pandemic.
Adding value to your home through home improvement projects can help you increase the resale value of your property or simply allow you to enjoy it more while you live there. But it’s important to choose the right remodeling projects and budget wisely. Some home improvements don’t add much resale value and may even detract from the appearance of your home, so think carefully before choosing them.
While it is possible to complete many home improvement projects yourself, working with a professional can make the process easier and more enjoyable. Whether you need to make a minor repair or want to completely remodel your home, it’s important to do your research to find the best contractor for the job. Many factors should be considered when choosing a contractor, including price, experience, reputation, and licensing.
Homeowners are spending more on home improvement this year than ever before, a sign that they’re feeling confident enough to invest in their living spaces during the recovery. However, with so many projects in the pipeline, it can be difficult to manage expectations and keep costs in check.
To maximize the return on their investment, homeowners should choose projects that are both affordable and likely to attract a wide range of buyers, says Roman Smolevskiy, owner of A+ Construction & Remodeling in Sacramento, California. For example, a sparkling bathroom overhaul is more likely to appeal to a wide range of buyers than an over-the-top custom shower.
Some projects simply can’t be put off. For example, an electrical problem or a leaking roof should be addressed immediately to protect your home and avoid costly repairs down the road. And if you’re planning to sell your home in the near future, you may want to consider projects that have a proven track record of increasing resale value, such as an open floor plan and updated kitchen.
The biggest home improvement challenge is staying within your budget, particularly if the project takes longer than expected. Reyes recommends establishing a fixed payment schedule with your contractor and staying on track to ensure that you don’t go over budget. He also cautions against tapping into your emergency fund for home improvement projects, unless it’s absolutely necessary.
For most homeowners, the best option for financing home improvement projects is a home equity line of credit (HELOC). These are revolving lines of credit that use your home’s equity as collateral and typically have lower interest rates than unsecured personal loans. But before you apply, be sure to understand the terms and conditions of the loan agreement and compare your options.