The economy is still down. The nationwide unemployment rate is just below 10%. Surely this is a sign to hold off on that new kitchen or bathroom you’ve been wanting, right? Not necessarily. Obviously, you manage your own finances and ultimately know what is best for you, but don’t rule out remodeling just yet.
2010 is a year of opportunity. Take a look at why remodeling just might make sense.
Investment: Real estate will always be a good investment. We have seen a decline in the appraised value of homes, but judging from the past, it will bounce back. If you are currently looking to sell your house, you have noticed that it isn’t worth what it was. Buyers are comparing remodeled homes to un-remodeled homes, and as they negotiate price, they pick the remodeled home to purchase. So, in order to sell your house now, you’ll have to take a loss. Unless, that is, you remodel, hold onto it for a couple more years and sell when the market has picked back up. You might as well enjoy your home while you are in it!
Green building: Are you aware of the tax credits available for you to make your home more energy efficient? This includes upgrading your appliances, windows, and insulation. Plus, you’ll save more money on your power bill.
Phase Remodeling: You may still have some hesitation about taking on all that you want to do. Throughout the second half of 2009, more homeowners chose to break up their large renovations into phases. This allowed them to make adjustments if there were any changes in cash flow, as well as reduced the stress of having so much going on at one time.
As you evaluate your own situation, you may find more questions than answers. That’s ok. At least you have a start. Set goals and realistic budgets. Then, speak to your contractor candidly about both. Ask questions and listen for advice. Your contractor should be able to recommend areas where you can cut some costs without cutting the quality and overall look that you want to achieve.
