| Hi Taylor
- Are there any home improvement projects that actually "pay for themselves"?
I never believe contractors when I hear that pitch, and yet I keep
on hearing it so I'm wondering if it's true in some cases. Can I break
even with new windows or a better HVAC?
Hi Jeremiah - Can't blame you for not taking every contractor
at their word. However, I will side with some of them on this issue;
if you buy the right product at the right time, you stand to get your
money back over the course of a few years.
There are a lot of different variables, but you should start by considering
savings. Naturally, whether or not an upgrade pays for itself
will depend on the type of upgrade. If you install solar panels,
you will save money on your electricity bill. Assuming you have
a medium or large home and use a fair amount of electrical appliances,
it's not uncommon to save upwards of $200 a month. That means
you'll save around $10,000 in just four years and that's not including
the tax rebate you might be entitled to. You mentioned new windows,
and the math can be broken down in a similar way. If you get quality,
energy-efficient frames, most experts say you can reduce your
utility bill by about 30%. If you live somewhere with extreme
weather, cutting your utility bills by ? makes a big difference
and adds up over the course of a year.
2. Resale value. It can be misleading to hear that something
"pays for itself." That phrasing makes a lot of people think the
upgrade will be free and that's definitely not true. However,
a new HVAC unit, a remodeled kitchen, a renovated bathroom and
any other home improvement projects should be viewed as investments.
Once your house is paid off, it's an asset, and the better it
looks and functions as a living space, the more it's worth. As
long as you're not getting swindled or paying for bad work, renovations
can retain their value.
3. Maintenance Reduction. An ounce of prevention is worth
a pound of cure, right? Paying for metal roofing that won't need
repairs after each storm doesn't exactly pay for itself, but it
could save you from countless repair payments that cost a fortune
over time. The value of an upgrade often depends on what's being
replaced; don't lose sight of that as a contractor or salesperson
pitches some fancy, expensive renovation.
| You aren't
being lied to every time someone says a renovation will save you money
in the long run. Sometimes it's not the case, but you shouldn't dismiss
the notion right away. It just depends on what you need fixed. Hope
© Taylor Kovar
July 27, 2020
More "Go Far With Kovar"
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