There’s Money in Your Home’s Walls

A “new-again” trend is resurfacing within the real estate market. People are staying in their homes and remodeling. Sagging real estate values and lack of equity has ushered in the thought of “sweat equity*” and an extended time in a home as major factors to increasing a home’s value. The US Census Bureau states that over the last year remodeling projects has replaced new construction in over 20% of all new business. In addition, spending on remodeling has experienced nearly a 9% increase since this time last year. The $1500 federal tax credit for installing/upgrading energy efficiency systems into homes has lead the charge on many of the remodeling projects across the nation. The tax credit could actually offset the remodeling project costs and lower your energy financial obligation. *Sweat Equity – is the idea that physical work on a project will heighten the value of the item on which the work is being performed.

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