Home improvement is the term used to describe any renovations or repairs done on a home. These may include everything from installing a new kitchen to repairing the roof to adding an extra bedroom or bathroom. Home improvements aren’t only a way to add value to your home, but can also make it more comfortable and functional for you and your family. The home improvement industry is large and varied, with companies specializing in every facet of home renovations. The best home improvement companies will have a good reputation in the industry and be licensed and insured. It is important to find a home improvement company that you trust, and who can do the job at a fair price.
There are few things more certain in life than death and taxes. But for homeowners, there is also the certainty of having to undertake occasional home improvement projects. Whether it’s fixing a leaky roof or installing a new floor, these projects can get costly quickly. If you are planning on renovating your house, it is vital to have a plan in place to ensure the project doesn’t exceed your budget and lead to debt or other financial troubles.
While it’s true that home renovations can increase your property’s value, the truth is that not all projects will give you a return on your investment. In fact, most homeowners do not recoup the full cost of their home improvements when it comes time to sell.
Despite the uncertainty surrounding the coronavirus pandemic, many homeowners have taken advantage of the opportunity to take on home repair and improvement projects, with nearly 3 in 5 doing so in the first three months of this year. According to a recent NerdWallet survey, people spent an average of $6,438, on home projects during this period. Some of the most popular projects included modernizing the kitchen, replacing the roof, finishing the basement, and making the home more energy-efficient.
The NerdWallet survey found that those who completed these projects were more likely to have money set aside specifically for this purpose. And, three-fourths of those who worked on home projects during the month of September said they were easily able to pay for most or all of their renovation without tapping into savings or going into debt.
A good rule of thumb is to plan for about 10 percent of your total home renovation costs. This will allow you to avoid overspending and still have enough left over for unexpected expenses, such as an emergency room visit or a sudden appliance breakdown.
Homeowners are also more willing to work with contractors during the pandemic, with more than half saying they would be more cautious about letting home repair and improvement professionals into their homes than in normal times. This could be due to a combination of factors, including rock-bottom interest rates and a growing population of older homeowners who are financially equipped to afford home improvement projects. The categories of home improvements that are surging the most right now, however, are largely focused on outdoor projects, such as building decks and fences, installing pavers and landscaping, and constructing garden sheds.