The home improvement industry is booming, stronger than it has been in ten years. It includes the sale of building materials, appliances, decor, and services provided by contractors and tradespeople. This industry accounts for a significant portion of the global economy. Its popularity stems in part from our culture’s preference for functional and attractive homes.
The process of improving your home can be as simple as purchasing new furniture or repainting the walls. New furniture can enhance the appearance of your home and make it more inviting. Purchasing new furniture is a great way to add value to your home. However, it does not count if you only replace outdated furniture.
In addition to adding value, home improvements can also extend the life of your home. You can even claim the cost of some improvements as a tax deduction. However, make sure you keep good records of the expenses for your projects. While routine maintenance and repairs are not tax-deductible, a home improvement that enhances the energy efficiency of your home could be worth more in the end.
If you want to finance the cost of a home improvement project, consider applying for a home equity loan. These loans are usually secured by your home and allow you to borrow up to 85% of the value of your home. The amount you borrow should be in proportion to the overall cost of the renovation. However, home equity loans can come with additional costs, such as origination and closing costs.