Owning a home is undoubtedly a great asset. You can simply lean back and watch it appreciate without much effort.
But it can be difficult to pinpoint the exact rate it will collect equity at.
Factors such as which neighborhood you live in and the state of the housing market will affect your home’s appreciation rate. Your definition of what’s valuable could also be more abstract to define. You might be more concerned with how to create an efficient, pleasant space to live in or, perhaps, saving on your monthly bills.
If you want to take matters into your own hands, here are 7 ways you can increase your house's value both monetarily and as a place you can enjoy each and every day.
Probably not what you were expecting, right?
Your HVAC system goes through a lot while regulating the temperature of your home from season to season. With so many components at play, all that wear and tear will manifest somewhere eventually. Whether you’re thinking of selling your house or you just want to get ahead of costly repairs, it’s important to keep up with HVAC maintenance. You should have your system inspected once or twice a year. You should also change out your air filters at least every three months. Staying on top of small repairs will save you money down the line and will prevent any unpleasant surprise when it comes time for a potential buyer to have your home inspected.
Faded, peeling paint isn’t going to do you any favors when looking to get the most value out of your home. If you’re on the hunt for a relatively inexpensive way to improve your home that you can even DIY, consider painting your interior and exterior.
A fresh coat of paint can revitalize your home. Not to mention, fresh paint will help protect your house from the elements. It will act as a moisture barrier to prevent wood rot and water damage. Choose the right colors for your house’s paint project. If you choose crazy colors throughout your home, you could find yourself losing value.
A home remodel can add value to your house in a few different ways. Of course, it will help you get the most out of the space you live in. It can provide more square footage or get you closer to your desired home aesthetic. But it can also help add monetary value too.
Kitchen and bathroom remodels tend to reap the best ROIs and make the strongest impression on a potential home buyer. That might be because appliances and finishes tend to become outdated faster. If you do choose to remodel, just be mindful that you might not always get your money back when you invest in a renovation project.
There’s a ceiling in your neighborhood that you don’t want to surpass. If your home is the most expensive on the block thanks to the remodel, this could be a bad thing. Why is your house worth $200,000 more than your neighbor’s? Is it because you remodeled a bit over the current market price in your neighborhood? Some additional investments make you take a loss. That’s why it’s always best to consult a local home remodeling expert to understand what additions/remodels are appropriate.
Be sure you know what buyers in your area are looking for. While improvements like added square footage can be helpful in urban areas with limited space, houses in suburban areas won’t increase in value as much.
Another way to increase the value of your home is to improve its energy efficiency. Not only can this be great for the environment, but it can also help you save money on your monthly energy bills. Some upgrades you can consider are solar panels, energy-efficient lighting, and a smart thermostat. You can also update windows, doors, and siding installation for more efficient heating and cooling.
While incorporating eco-friendly features be sure to match style with efficiency to achieve the best value. Just remember, if you’re looking to sell your house, be sure you’re thinking of who you’re marketing to. Not all potential home buyers will find value in energy-efficient home additions.
Curb appeal is king when it comes to home value. The exterior of your house is the first thing a person will take in when visiting or touring your home. We already discussed the importance of painting the exterior of your home when the time comes. But another contributing factor to your curb appeal is the state of your landscaping.
Add value to your home by improving the look of your landscaping. Keep up with trimming the lawn, replace old mulch when the time comes, and plant some perennials. You can easily DIY your way to beautiful landscaping if you do it right.
Planning on listing your house on the market soon? Before you hit go, ensure that your home’s highest potential shines through. You’re selling an aspiration when you sell your home.
As a person peruses your listing photos or tours your home, they’re imagining how they can improve their day-to-day life in that space. Perhaps they’re dreaming of an organized, Pinterest-perfect abode.
Cultivate a space that makes it easy to dream with quality home staging. Surveys show that 22% of sellers’ agents say staging a home increased the dollar value offered by buyers by 1-5%. But don’t be too heavy-handed! Reel back your unique stylistic preferences and opt for a more neutral, simple staging that potential buyers can project their dreams on.
It seems there’s a new-fangled piece of smart technology rolled out every few months these days. The home and sphere have seen a number of innovative technologies step onto the scene and quickly rise in popularity.
For instance, Ring doorbells were brand new at the beginning of the 2010s and now they're a gold standard for home security. Now there’s even more smart home technology on the market: smart lighting, smart locks, smart fire detectors, etc, etc.
While smart tech may add value to your life, keep in mind it might not necessarily sway all potential buyers to offer more if you sell your home. The values might simply be for your own ease and enjoyment.
