Real Estate remains an excellent investment most of the time. If you can afford to purchase home, you may want to purchase a home. Check if you can afford a home every now and then. Land values appreciate over a period of time. Thus, the land values do not appreciate all the time. In an economic downturn, the land values depreciate. Luckily, there are things that you can do to appreciate your real estate property regardless of economic situation.
First, figure out your priority and budget. List the project in priority sequence. Second, watch out on overspending. Look at the market value around your neighborhood. Suppose the market value around your neighborhood comes to $300,000 and the market value of you home comes to $200,000, try not to spend over the potential capital gains ($300,000 - $200,000). In worst case, the seller gets back 40% to 90% on how much you spend to improve the value of the house. Otherwise, you get the maximum capital gains ($300,000 - $200,000). Third, spend on what gives an excellent first impression. This pertains to what you can see as oppose to hidden things. Finally, improve to increase the potential income. Appraiser analyses if the addition would increase income. For example, you added a carport. A carport increase rental income at least $100 per month.
1. Tidy up the property
When the potential buyer drives past your home and your home looks like a garbage dump, the potential buyer just drives past your home without bothering to check the home. So, rake the leaves, clean up the garbage, and take off the weeds.
2. Neat Landscape
A manicured lawn, trees, and flowers bring peace and relaxation effect to the buyer. A great landscape adds $7,000 to the price of home value.
3. Paint the interior and exterior
New paint draws potential buyers and improves curb appeal. Use a different color on windows and doors to provide contrast. And, new paint seems to increase the size of the interior.
4. Tile around fire place or add a fireplace
Build character to your place by tiling around the fireplace. If you are going to add a fireplace, try to use non-gas fake fireplace. Since oil and gas prices increase all the time, buyer stays away from gas fireplace.
5. Hard-wood floors and wood paneling
Wood panel adds warmth for $500 to you kitchen, while Hard-wood floors adds elegance for $1000 to room.
6. Power-wash and refinish wood deck
Power-wash removes dirt, algae, mold, mildew, and stains on the wood deck. Vibrant wood color comes alive when you refinish the coatings.
7. New Carport
It pays to erect a new carport. It only takes four poles and roof. With an erected carport, you can easily convert to a garage by enclosing the carport and adding a gate.