How to Prep for Kitchen Renovation

Remodeling is a good way to raise the property value on a house and also to make any space more livable and unique. You’ll want to forge a solid strategy, however, before you go knocking down any walls. Here are a few things that you should consider before getting started.

Budget, for the sake of your wallet, you’ll want to keep your vision loose in the beginning. What you think looks good and what you can afford might not match perfectly, so don’t hammer anything in stone. If you keep the concept rough, it’ll be easier to make compromises as you go. Kitchen renovation costs can range between $10k to as much as $80k, not including labor. It may be a good idea to break the whole project down into manageable portions and tackle things a bit at a time over an extended period. Prioritize what you can afford at the outset and work from there, (do you need to add space? Is the counter big enough? Do you require additional lights?) figure out what needs remodeling right away, and go from there. Don’t make the mistake of thinking you need to do the whole kitchen at once.

Once you’ve got a rough idea of the budget figured out, start gathering up inspiration for what the new kitchen will look like, you can do this any number of ways. Pinterest, for instance, is an excellent way to flesh out ideas, and it doesn’t entail creating a physical, tangible collection of photos, fabrics, and textures. Alternatively, you can hunt down images of kitchens online that inspire you and compile them into a folder on your device.

Find out if the renovation requires a permit. Some improvements will need permission from the city depending on the size and scope of the changes. If you are doing major electrical work, knocking down walls, or changing the floor plans of the house in any major way, you’ll need to get permission to do so from the city first. If you hire a licensed contractor to help tackle your project, he or she should let you know if they think you need one.

Speaking of contractors, get a contractor! If this is your first time remodeling, you probably don’t want to try to DIY this. Too often we make plans and realize too late that we simply don’t have time, or are suddenly inundated with other obligations, if that happens during a renovation, you will end up with sections of your kitchen being rendered useless for weeks or months at a time. Hiring qualified professionals to do the job for you cuts-down on the risk of you getting sidetracked by life. If you are only remodeling cabinets, you’ll probably be okay handling things on your own, but if it’s something more complex involves plumbing, gas, electricity, or knocking down walls, it’s a good idea to hire a licensed contractor. Get estimates from them for labor costs (labor costs are usually less than the overall price of parts and materials,) and ideas on how best to utilize the kitchen space. Remember, these people do this for a living, so if there is a flaw in your initial layout/vision, they will spot it and help fix it before it becomes a problem.

Lastly, make sure you have the following things figured out before the project begins.

  • Your time management. What hours will the project be taking place in, sometimes things run over, will your job interfere with the project, will you be home to let the contractors in, will you have to cancel certain days because of work?
  • Be prepared for the unexpected. Halfway into the project, it might turn out that you need some part or other and will have to factor it into the budget, that’s okay, that’s why we kept our original vision flexible, to compensate for incidentals.
  • Making compromises. The bigger a renovation is, the more likely it is that you will have to make some compromises to your initial design for one reason or another. Approach this logically and listen to what the professionals tell you. If they think that it’s best to avoid doing something, or that something simply isn’t possible, then take their advice and prevent a headache down the road.
  • Don’t stress over the mess. If you are living in the house while the renovations are happening, it might seem stressful to see your kitchen in a prolonged state of remodeling, but keep in mind that it is only temporary and that when the renovation is over, it will look better than ever.

For further details on your investment, don’t hesitate to reach out to ConBro Buyers Brokerage, we’re here to assist you: info@conbrobrokerage.com

Rising Property Taxes – Will Homeowners Be Driven Out Of Their Own Homes?

Rising Property Taxes - Will Homeowners Be Driven Out Of Their Own Homes?Throughout the US, homeowners are fighting property taxes, which are on the rise. If you think a slip in home prices ought to reduce property taxes too, you are wrong. There are many factors at work to impact property taxes. For one thing, the tax rate is determined in the budget policy. Ohio residents were on an outbreak for a last minute increase in property tax rate. Other than that fact, let’s consider what causes property taxes to rise?

Home Improvements and Rise in Area Value

A significant factor that causes property taxes to rise is home improvements. Any improvement like adding a garage or home office raises its value in the next tax assessment. A higher value is proportional to a higher property tax. However, you can control this factor by filing an appeal and requesting a lower assessment amount.
A general rise in property value also increases property taxes. This increase in value can be attributed to an influx of residents or nearby luxury home constructions which drives the value of your neighborhood higher.

Government Need or School Funding
Local governments use property tax to raise quick funds. However, to ensure checks and balances, some states have placed limits on the maximum amount of property taxes. Local governments use the money generated from property taxes to fund many of their operations. If a school in a district requires financial assistance, the local government may raise the property taxes in that area to get the extra funds.

What to Do About It?
Nationally, property tax collections rose to $182.8 billion during the last three months of the year 2013. This tax collection topped the previous peak, which was four years earlier. Some homeowners have also complained of an overvalued real estate assessment raising their property taxes. The government is gritting their teeth and passing on the burden to taxpayers to fill the budget gap but the question is, will homeowners be able to bear the burden in this state of economy? However, they can file for an appeal with their local tax assessor’s office and get the property re-valued for a fair estimate and lower property tax.

Retiring With Investment Property – How It Is A Good Choice!

iStock_000014064608_SmallWith the volatility of the stock market and other saving avenues requiring you to become a complete miser – both before and after retirement – what other option do you have left to plan an early retirement? It is both understandable and important that you should consider your finances and sit with your financial investor when planning your retirement. However, consider investment property as a means for early retirement!

How Is Investment Property A Good Option To Retire On?

Consider investing in the stock market. If you are good to go with $40,000 as your retirement salary, that would mean having saved $1 million and investing it appropriately. However, that would only work when you find the stock market appreciating at an average of 8%. That does not seem so likely. In a matter of years, the market is seen rising and falling at 50%.

Owning property allows you to profit up to $250,000 from it upon selling, provided you have lived in the house for two of past five years. That means you will pay 0% tax on capital gains. Investing in real estate allows you to nest a constant income stream for yourself in the later years. Not only can you own a property, which can sell at a profit, but you can also rent it and enjoy a monthly income stream from it.

How Can You Buy A Second Home?

HELOC

If you own a property, you can buy another easily through a home equity line of credit. It is a second loan after your mortgage, which you can take out. This second loan, which you take out, can be used as you please. This loan has a fixed interest rate and time period. You can withdraw loan money as you please through a debit or credit card.

401(k)

You can also withdraw money from your 401(k) to purchase a second home. You can borrow up to half of the accounts vested balance or $50,000 – whichever is less to make the down payment on the property you are planning to purchase. Generally, a 401(k) loan has no credit checks and usually features low interest rates.

 

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