Your home as an Investment

Your home as an Investment

Your home is your castle, but most likely it’s also your biggest investment aside from your portfolio. Whether you’re a new homeowner or nearing retirement with your mortgage paid off there are certain things you should do to maintain the value of your home. Here are some tips to get you started:

Keep your home well maintained, both inside and out. Small repairs tend to grow if their neglected and often cost much more than if they were tended to at the onset. A good example is a minor roof leak: something that could easily be sealed or repaired the first time, yet if you ignore it a leaking rook can ruin walls, floors, and furniture in a very short period.

Know your coverage. Your insurance doesn’t necessarily cover everything you own; often there are limitations on items such as electronics and jewelry. You should take photos or a video of everything you own, note the value, and then go over the list with your agent to be sure you have the proper coverage in case of disaster.

Know your values before you renovate. Some updates will pay for themselves and others won’t. If your heart is set on an in ground pool, check the resale projections for return on investment. Most likely you won’t get your money back from a pool when you sell your house, so you should be sure you’ll live there long enough to justify the cost in enjoyment hours alone.

Spiff it up. If you’re planning to sell within a few years you should be looking at landscaping that will fill in quickly and add to the curb appeal. If you don’t enjoy gardening and yard work you should choose low maintenance plants that require little or no trimming. Keep the outside of the house clean, and if there’s chipped or peeling paint make arrangements to have to repaired.

Downsize before you sell. Once you’ve decided to move clear out any and all furniture and other belongings you don’t use all the time. Less possessions will make your house look bigger and will help it sell much faster.

Categories: Investment

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