Are you Investing in your Biggest Asset?

Have you been taken care of your biggest asset? For most people, their home tends to be their largest asset. During tax return season, people usually use their returns to pay off their debt, buy that one thing they always wanted, or take a vacation. Although using your money towards those different options sound great, why not use some of that money towards investing in your home. It will not only allow you to enjoy your home even more, but it will also increase the value if you are looking to sell in the near/distant future. Now, I’m not saying to invest all of your refund into your home, but I believe a portion would be awesome. According to Forbes, “In 2012, the average IRS tax refund was about $3,000.” If you took 1/3 of that refund ($1,000) to invest in your home, it can go a long way. For example, let’s start with something that everyone sees, even if they don’t enter your home – your front door.

Installing a new front door may sound expensive, but trust me, it isn’t as much as you think. Your front door may just need a fresh coat of paint, with the average can of paint being $30. For those of you who would prefer a high gloss paint from a top brand, you’re still spending less than $200. Now for those of you who say your door needs an exorcism, a plain front door cost between $50-$250 (depending on size and materials). For all my high class folks, decorative and durable mid-range front doors can cost $200-$2,000. I can hear you all saying, “I don’t know how to install a door. What about the cost to install it?”  Don’t worry, it doesn’t cost as much as you think. The average cost to install a door (depending on size and materials) can cost $100-$800.

"According to Remodeling magazine’s Remodeling 2012-13 Cost vs. Value Report, a $1,137 steel entry door replacement project returns 85.6 percent of your investment. Fiberglass doors are generally more expensive, but they’re still a smart investment. According to the same report, a $2,753 fiberglass entry door project will yield a return of 65.9 percent. " - Forbes

For those of you who enjoy an energy efficient home, according to Forbes "certain energy-efficient exterior doors are eligible for federal tax credits of up to $500, excluding installation costs." So the next time you come home, take a look at your front door to see what type of improvement you need to make to create a more curb appeal for your home.