With tax day behind us now, you have probably had already received your refund (hopefully more than you expected) and now comes the hard part of deciding what to do with it. Vacation, a new car or even a shopping spree sound like fun ways to spend that money but if you are a homeowner, there are several smarter ways to use that money that can really benefit you in the long run.
Investing your tax refund back into your home is something you want to be done properly, so before that money burns a hole in your pocket, check out some of the ways to invest your tax refund:
This is a project that is often put off because it is a pricey endeavor but when done, a fresh new color can really add to your home. Curb appeal can add a tremendous amount of value to your home and gives you a newfound sense of pride. While some paint jobs can last up to 10 years, here in Phoenix it might not last as long but if you get even half the years, that can be considered money well spent.
New front door
Your front door is the gateway into your home and it often doesn’t get the respect that it should. While your front door can be a statement piece to your home’s design, it is also a point of entry that needs to be secure. There are several options from fiberglass to stainless steel. Homeowners can often recoup more than 100% of their investment on a new door from added-value and energy efficiency.
Besides cold northern states, there is no other place in the country that energy-efficient windows are more important. When the temperatures reach triple digits for nearly five months out of the year, you can waste a lot of money trying to cool your home if your windows can’t keep up. Homeowners can see savings of more than $500 dollars per year in heating and cooling costs. If you’re thinking about selling in the future, buyers are willing to pay more for energy-efficient homes.
Ovens, stoves and refrigerators can be extremely inefficient when it comes to using energy and your tax refund can be put to good use replacing outdated appliances. Cutting down on your energy usage can save you money year after year.
When it comes to adding value to your home and investing your tax refund smartly, insulating your home is one of the best choices you can make. As mentioned above, cutting down on your heating and cooling bills can save you a few hundred dollars a year or more.
A new air conditioning unit
Phoenix has an extremely harsh climate and the summer temperatures are some of the hottest in the country. Keeping your home cool and comfortable during the summer months really takes a toll on your old air conditioner. Upgrade your unit that works more efficiently for your home and your wallet.
Pay down your mortgage
Last but certainly not least, putting your tax refund towards your mortgage may be the best investment. Depending on your interest rates, paying off your mortgage sooner can save you large amounts of money.
Whatever you decide to do with your tax refund this year, investing it back into your home is a great opportunity to increase the value and save yourself money year after year. The time when that added value really comes into place is when you decide to sell your home. When that time comes and you’re looking to sell your home and search for a new one, Jeff Barchi can help. With nearly 20 years of experience in the Valley, Jeff has established himself as one of the most trusted names in the Phoenix real estate market. If you’re interested in starting the process today, contact our real estate agent in Scottsdale.