What To Do With Your Income Tax Refund
This entry was posted on 5/17/2007 9:05 AM and is filed under Building Equity,Education,Wealh Building.
Often we forestall making improvements around the house, thinking it may be expensive. Let's say, however,
you are getting back $1200 from your income tax. You could actually make a difference around the house with
that.
As you will hear me say often, every house is different, and I wouldn't dare to tell you what do yours exactly,
without looking at it specifically. I will give some general ideas of what $1200 could do.
How does the outside of your house look? By sprucing up the area around the front of your home, you could actually add appeal, which may add value. Could you even use a new front door? You can get new front doors
which appear to have leaded glass designs in them for as little as $200 at your nearest home improvement store. By planting perennials properly, including using landscape cloth and mulch, you could have a very long
lasting enhancement which would add color and interest nearby. Does the front of your house appear maintained? If not, as long as you're looking around out there... this would be a good time to look and see what needs done to maintain it's value and it's appeal.
What about the back? Do you have a patio or deck? If not, perhaps a trip to the home improvement store could show you what you could get for that type money. Typically, with $1200 you could put in a very small deck or a larger block patio w/landscaping around it. I always suggest perennials as you only have the expense and work once. The home improvement stores offer classes on how to lay the block patio and how to construct a deck if those are things you would like to consider learning how to do. That would save money and allow a more grand end result.
Let's go inside. How's your kitchen? Are you happy with it, or do you think it could need a pick me up? Many times, if you have dated cabinets, you can make them look new again with paint. Are you scared yet? If so, check out some remodeling magazines or kitchen ideas books. It's not as scary as it sounds. You can't do it easily if your cabinets are formica. But if your cabinets are made of wood it is very easy. You have to pretreat the area to be painted with liquid sandpaper to dull the finish, then prime, then paint. I like to add a protective finish, too, like polyurethane. Don't forget to replace the knobs and hinges with more modern ones. You'll be surprised at how far that can go in modernizing your kitchen.
How about the floor coverings in the main areas of your home? Are they worn? Are they dated? A trip to your home improvement center will show you how far your money can go. Obviously there are a lot of factors here and it is impossible for me to say what that will buy. It will depend on the size of your rooms, the product you purchase, if it's a product - such as laminate- that you may be able to install yourself, etc..
When's the last time you painted? Are your walls plain, dated or worn? Paint is fairly cheap and easy to do. Color is in. If this scares you, check out the decorating magazines. A lot of times you can add interest with just one accent wall painted boldly.
Do you still have flush (plain) interior doors? How about upgrading to the hollow core panel doors? Replace the hardware if it's dated, too.
Are your light fixtures dated? That's a fairly inexpensive fix if you can install them yourself. If you have no experience in this, there is electricity involved and you should either take a class or hire it out. Believe me,
electricity is dangerous if you don't know what you're doing.
Bathroom counter and vanity dated? You may be able to update these within the $1200 budget, too. And if you can do the work yourself, you could even be able to spring for new flooring.
That is just a few ideas of where $1200 could go to benefit you. Maintaining and updating your home is always a good investment, if done correctly.
Remember, every house is different and many things need to be considered when making improvements, in order to insure you are making improvements appropriate to the house and neighborhood. I would be happy to come out and take a look at your home and make specific recommendations as to where to put your money to gain the most equity. Just give me a call.