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Sunday, February 18, 2007

Best results for home equity upgrades

Three of the most productive, market-tested places to invest when doing a makeover are:

1. The kitchen: Money spent on kitchen upgrades returns a high yield, often more than dollar-for-dollar. If you can't afford, or don't need, a complete overhaul, concentrate on specifics like new appliances, flooring, and attractive, functional lighting.
2. The bathroom: If you can create another bathroom-or half bath-without disrupting the floor plan, this is a solid investment. When Realtors search for homes on behalf of buyers, they limit the search according to the number of bedrooms and bathrooms. By adding a full or half bath, you may automatically double the number of potential buyers.
3. Paint and trim: A relatively inexpensive approach for a home makeover is to concentrate on freshening it up with a good paint job in neutral colors that have wide aesthetic appeal. Not only does this make the house look better while protecting it from the elements, it also expresses a sense that you take pride in home ownership. Buyers and their building inspectors feel more confident about homes that are well maintained, and a freshly painted home conveys that attitude.

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