The Home improvement industry has had excellent growth results in recent years, and is expected to continue its positive trend. This industry includes sales of building materials and equipment, as well as services provided by contractors and other workers. It also includes the sale of decor and design ideas, and it consists of DIY projects as well as professional work.
The popularity of reality television shows like Fixer Upper and This Old House has many homeowners thinking about renovating their homes. But a full-scale renovation can be expensive. It is important to understand how much your upgrades will add to the value of your home before you take out a loan or break open the piggy bank.
Fortunately, there are some home improvements that can be done for relatively little money and still improve your home’s value. Painting, re-grouting tile, and power washing your home are all good examples of low cost, high value projects. However, before you start tearing down walls, be sure to speak with a real estate agent about which renovations will actually increase your home’s value.
In New York state any project that is considered a capital improvement will be exempt from labor tax if you file for it as such with the department of taxation and finance. The definition of a capital improvement will vary by state so be sure to consult with your CPA or tax attorney before you begin any project. Additionally, all contracts for home improvement must contain a description of the work to be performed and the materials to be used. It must also include approximate dates when the performance of the work will begin and be substantially completed.