Renovations are a great way to add value to your home or investment property. Plan your renovation carefully so you don’t waste time or money. It’s a good idea to keep a scrapbook of ideas, gathered from magazines, books and the internet, to firm up the look and feel you want in your home.
You might have heard of ‘overcapitalisation’ – when the money or time you’re spending is greater than the return you’re likely to receive. It’s important to find a balance between the work you’re doing and the increase in value to avoid overcapitalising.
But remember to always keep the market in mind – think about what a potential buyer might be looking for in your area and price bracket. The perceived value of the improvements you make, if done well, will exceed the actual cost of making them.
Read the rest of the article, and expanded explanations on the rest of the tips, on Loanmarket.com.au.