According to Zillow, 76% of Americans are choosing to renovate their home rather sell it.
The percentage rises to a whopping 87% for folks 55 years or older.
Given the current housing market environment, this is understandable.
Rising mortgages rates and home prices are impacting homeowners’ decisions.
The report also shows that 83% of homeowners love their homes.
Why leave what you love and can afford?
The Importance of Homeownership
Homeownership is a key way to build financial security for you and your family for years to come.
I have seen the financial benefits of homeownership by observing the business decisions of my family members.
Particularly my great-grandparents, grandmother and my mother.
In the 1950s, my great-grandparents had great foresight. They not only purchased a primary home for their family, but over the subsequent years they bought several multifamily homes.
These homes became rental properties.
Upon their passing, they bequeathed these properties to their sons and daughters-in-law. And later to their grandchildren.
My grandmother and mother learned the importance of homeownership from my great-grandparents.
As a result, they did the same with their own real estate purchases over the last four decades.
All three generations of my family took personal stakes in homeownership, which benefited their loved ones.
Now, owning and maintaining properties over the long term can be challenging.
But as long as the property is in good standing and in a thriving neighborhood, it will likely retain its value and build equity over time.
Smart Home Improvements That Build Equity
If you’re one of the people choosing to stay and renovate your current home, here’s a list of smart home improvements for building home equity.
Smart exterior home improvements:
- Curb appeal.
- New mailbox with visible house numbers.
- Pressure-cleaned sidewalks and home exterior.
- An inviting front door.
- An attractive perimeter fence.
- A new or painted garage door.
- New energy-efficient windows.
- Painted exterior walls/siding.
- A clean, good roof.
- Well-maintained gutters.
Smart interior home improvements:
- Painted neutral interior walls.
- Insulated doors and windows.
- Updated kitchen appliances.
- New or refurbished cabinet doors, knobs and hardware.
- New or well-maintained flooring.
- Updated bathroom fixtures.
- Clean grout or fresh caulk.
- New energy-efficient, low-flush toilets with quiet-close seats.
To estimate the cost of these home improvements in your area, please visit HomeAdvisor’s True Cost guide.
Homeowners who implement any of these smart home improvements will build value over the long term. Plus they’ll have a great-looking house.
This will contribute to their wealth preservation.
Until next time,
Senior Research Manager, Banyan Hill Publishing