Home improvement is a booming industry that encompasses the sale of building materials, appliances and decor for home renovations. It also includes the hiring of contractors, tradespeople and workers to perform these tasks. The sector has reached excellent growth results in recent years, especially during the COVID-19 pandemic, and is projected to continue expanding in 2023.
A home improvement project can be anything from a minor repair to a major renovation that adds value to your property. It can also be a great way to make your living space more functional and comfortable. Home improvements are also a great way to increase your home’s curb appeal, which can make it easier to sell in the future.
If you’re thinking of making some home improvements, it is important to consider the return on investment and your budget before starting any work. It’s also important to choose a reliable contractor, as a bad job could damage your property and lead to expensive repairs.
The most popular home improvement projects include painting, landscaping and upgrading bathrooms. However, according to the 2023 State of Home Spending report, just over 35% of homeowners indicated that their top reason for working on their homes is to maintain them as they age. Other reasons included reducing energy costs and improving the look of their home.
To maximize your home’s resale value, it’s important to focus on upgrades that are relevant to your neighborhood. For example, a new kitchen may add value to your home but it might not be as appreciated by potential buyers in an area where most homes have similar features. It’s also important to stay on top of basic maintenance, such as replacing worn doorknobs or repairing loose gutters. Neglected maintenance will be discovered quickly by a home inspector and may reduce your resale value.
There are many ways to finance your home improvement projects, including using savings or borrowing money from family and friends. Personal loans are another option for larger projects that require a large amount of funding. It is also important to weigh the pros and cons of each financing method, as some options may offer lower interest rates or a shorter repayment period than others.
Adding an extra bathroom or an updated kitchen can increase your home’s resale and home equity. Other cost-effective upgrades that add value to your property include energy-efficient windows, smart thermostats and tankless water heaters. These upgrades can also save you money on your utility bills and appeal to environmentally-conscious buyers. For smaller projects, you can use credit cards that offer rewards or cash back to offset the costs of materials. Just be sure to pay off the balance each month to avoid accruing interest charges. Ideally, you should aim to save enough funds for your project before taking out any financing. This will help you avoid costly interest fees and make your home improvement project a success.