Home improvements that can pay you back

There's a certain pride that comes with homeownership. The feeling of accomplishment and in many cases the fulfillment of a dream. The place we call home comes in all shapes and sizes, and reflects our own special uniqueness. What may be just a house on moving-in day, becomes a home, your home, as soon as the boxes are unpacked. Like most people, you probably have a few ideas of things you'd like to do to improve your home. It can be as simple as painting, or as involved as an addition.

There are generally two reasons why homeowners choose to improve their home. First, is to preserve and enhance the home's value, which can be a benefit later if and when the homeowner decides to sell. Second, is to make the home more attractive, comfortable and efficient - enhancing the homeowner's enjoyment. While many improvements made will improve the value of the home, it's good to have an idea of which ones may have the biggest impact on future resale value. In considering resale value, there are several factors to keep in mind, including:

Like other investments, you want your home to increase in value. If improving the resale value of the home is a major reason for the remodeling project, it's a good idea to check with a local real estate agent regarding neighborhood home prices. You don't want to over-improve a house and end up not recouping your investment down the road. According to a 2006 report, the top remodeling or improvement projects that offer a return on investment are:

• Vinyl siding replacement
• Wood replacement windows
• Kitchen remodel - minor
• Bathroom remodel
• Vinyl replacement windows
• Kitchen remodel - major
• Attic bedroom
• Basement

Once you've decided to remodel your home and you've figured out the budget for your project, you may want to consider your options for financing the improvements. Using a home equity loan or line of credit is a way to get the funds you need to get your project off the ground. I'd be happy to discuss the variety of home financing programs available from GMAC Mortgage and answer any questions about possibly using the current equity in your home to finance your home improvement plans. Please give me a call.

 Office: 540-433-2143