There are many rewards to homeownership. You have a place to call your own, you can leave a legacy to your family and you have a vehicle for building wealth.
However, you may decide that you don’t want to stay in your current house forever. You may choose to move to a bigger house, you may want to relocate to a different city or state or you may simply want to sell your house for a profit.
If you do decide to sell, you want to get as much money for your house as you can. While you can’t control the real estate market, here are some steps you can take to increase the odds that your house will increase in value over time.
Keep the outside looking good. While you may be focused on your kitchen or your family room, the way your home looks on the outside to those who are passing by can affect your house’s worth. Many people are willing to pay more for a house that is attractive to the eye. That also goes for the houses of your neighbors. Houses in neighborhoods where the grass is cut, bushes are trimmed and yards are neat are likely to command a higher sales price than houses that are unkept and appear to be neglected. By taking the time to beautify your outdoor surroundings, you can increase your home’s overall value.
Get rid of inside clutter. Not only can it help to make the outside look appealing, but it can make a difference in your home’s value if you pay attention to how it looks inside as well. If you’re trying to sell your house, potential buyers could be turned off if they’re walking through and see closets stuffed with bags, clothes and other objects. Some potential buyers may not even realize why they’re turned off; they simply may feel like your house is not the one for them. When your house is free from clutter and your belongings are stored neatly, your home feels more comfortable. For a potential buyer, that extra comfort could be the one thing that drives them toward sealing the deal.
Advocate for stores, restaurants and leisure activities. Homeowners can benefit from Living near a lot of amenities. People like to have things to do. If your neighborhood has restaurants, stores and other places of leisure, you’re likely to attract buyers that would be willing to pay more money for your home. Neighborhoods near transportation hubs are also likely to attract more buyers. If you already own your home, pay attention to efforts to bring new amenities into your community and support them.
Make renovations that make sense. You may be dreaming about renovating your kitchen, but there is another reason to make the effort: Some renovations can increase the value of your house because potential buyers might be willing to pay more because you made those renovations. Some renovations are more valuable than others. For example, credit scoring company Experian points out that renovating the kitchen and adding hardwood floors are among the changes that can make a big difference.
Make your home energy-efficient. One thing that many buyers take into consideration when choosing a house is energy efficiency. If a house uses energy more efficiently that can translate into lower heating, cooling and maintenance costs for the buyer. There are a number of changes you can make to increase your home’s energy efficiency:
- You can upgrade to a smart thermostat that lets you adjust the temperature from anywhere.
- You can replace any windows where you notice drafts of air coming in.
- You can add insulation to your house.
Not only will you enjoy a more comfortable environment by making these changes, you may also be able to get more for your house when it comes time to sell.
Buying your home is only the first part of the journey. You want to make sure your home is kept up so that you can protect your investment and make it grow. If you’re unsure of steps you can take to ensure your house retains and increases value, contact a Homeownership Advisor.
Your home is a key component to your long-term plan for wealth.