Home improvement is a broad term that includes any work you do to improve your home. It can include fixing a leaky faucet or installing new flooring, but it also could mean adding an extra bedroom or building a deck. Whatever you do, it’s important to make sure that you’re investing in projects that will actually boost your home’s value. Otherwise, you could wind up overspending or even going into debt.
The most popular types of home improvement involve improving the interior of a house, including kitchen and bathroom remodeling. Other home improvements include putting in a pool, landscaping, or finishing the basement.
A home improvement can be a big financial undertaking, but it can also be very rewarding. When it’s done right, it can increase the overall value of a home and create a space that is comfortable and welcoming. However, many homeowners get carried away with the ideas and end up overspending or even going into debt to complete a project. That’s why it is so important to understand the different types of home improvement and what projects are likely to return the best ROI.
During the pandemic, Americans have spent more time at home than usual, and that has translated into more home improvement projects. In fact, about 3 in 5 homeowners have taken on some form of home improvement since March, according to a NerdWallet survey. Anderson says some of the categories that are surging the most are deck construction, hiring landscapers and putting up fences. He estimates those kinds of projects have increased by more than threefold.
One big reason that home improvement has become a major industry is the proliferation of television shows like Trading Spaces and Bob Vila’s This Old House. These shows show homeowners step-by-step how to renovate an older home and add modern amenities. These shows have helped blur the distinction between the traditionally male-dominated realm of carpentry and the largely female sphere of decorating and design.
Stylistic depreciation can also work against home owners trying to get a good return on their renovation investments. For example, a kitchen renovation featuring trendy green tile might not appeal to buyers a few years down the road.
If you’re thinking of selling your home in the near future, talk to a real estate agent about what projects will provide the best return on investment. Avoid lux upgrades that will only appeal to a small portion of the market, and don’t outpace the rest of the neighborhood in terms of your home’s features. That may make it difficult to sell your home when the time comes. If you’re not planning to sell anytime soon, enjoy your home and the benefits of the projects you’ve completed. But remember that your home is your most valuable asset, so treat it with care. By taking a few smart steps, you can keep your home in tip-top shape for years to come.