What to Know About Home Renovations

from Houzz

So, you have lived in your home for 10 years now. When you bought it the home was in pretty good shape, but truth be told, it could have used a bit of updating even then. Now, ten years later, the carpet is worn, the walls are dirty, and everything just looks tired. It’s time to spruce the place up a little.

I think home’s are a great investment, providing we don’t get in over our heads, and all of our investments should be cared for. Homes are one of the biggest financial investments for many of us, and we should make certain things are kept up. But when it’s time to renovate a home, we have to think with our heads as well as our hearts.

If you live in a neighborhood that is a little run down and tired, if most of the homes in that neighborhood still have inexpensive cabinets and formica countertops, be careful not to do improvements that are not in line with neighborhood values. While it’s become fairly standard for homes these days to upgrade to granite countertops and stainless steel appliances, try not to go overboard, or you will be disappointed when it comes time to sell or refinance your home. Even in the best of times, in the best of areas, you won’t necessarily recoup every dime you put into home improvements, but if you add a large addition, and top of the line everything in a neighborhood which does not have those types of improvements, you will be disappointed

Often each neighborhood has a Realtor or two who work in that area. It never hurts to let them know what you are thinking and ask them to run some numbers for you before you start work with a contractor. And if there are open houses in your area, take the time to look around and see what upgrades are prevalent in your area.

Pete DiSalvo, CPA

Vero Beach, Titusville