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Tuesday, October 5, 2010

Improvement or Headache?


That great swimming pool is bound to add value to your home, right? Wrong...





With any pricey home improvement, we'd like to think we're increasing the value of our home, but that's not always the case. Here are a few that can backfire:

Swimming pools. A lot of potential homeowners consider them expensive to maintain, and dangerous, especially if they have young children. Some people won't even look at a house with an in ground pool, or require the seller to dismantle an above ground model.

High end additions. It is possible to make your house TOO nice. In general, home buyers don't want to pay $250,000 for a house in a $150,000 neighborhood.

Landscaping. Of course it can add curb appeal, but it probably won't add value. Beautiful gardens or perfect grass won't maintain themselves, and the potential buyer knows that.

High end upgrades. Top of the line appliances, fixtures or flooring are expected in high end homes, but don't really add much to the value in mid range houses. Upgrades need to be consistent with the rest of the house, and the neighborhood.

Invisible Improvements. New plumbing or heating might be necessary, but don't expect to recover the cost in the sale. You're better off considering those regular maintenance itmes instead of investments.

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