Are you wondering where you can get the best return for your home improvement dollars? Whether you are getting ready to sell or just want to make your home more comfortable, here are five fixes that can provide you with immediate results.

Improvements You’ll Want to Make Sooner Rather Than Later

1. Add attic insulation. Improving your attic’s insulation to an R-30 value can literally pay for itself in terms of reduced heating and cooling expenses for years to come. According to the Remodeling 2017 Cost vs. Value Report, adding insulation typically costs around $1,350, but returns an estimated 108 percent when selling your home.

2. Install smart thermostats and lighting. Aside from improving your home’s comfort level, and how you function in it, both smart thermostats and smart lighting reduce your energy expense. Smart lights in particular offer added convenience. They may be controlled from anywhere whether you are at home or not, freeing you from the wall light switch.

3. Invest in a security system. Peace of mind is the main benefit that arises from installing these systems, along with a sense of control over your home in your absence. While the installation price is fairly minimal and likely to be recouped at sale, there is a monthly cost to ongoing monitoring. This is partially offset each year by reduced home insurance premiums.

4. Convert the fireplace to gas. Aside from a cleaner burning way to improve a room’s ambiance, and a safer one, a conversion can also substantially raise the heating efficiency of the fireplace.

5. Caulk windows. Drafty windows and doors do more than let in air, they also provide points of entry for water and pests. Regular caulking can prevent the possibility of damage from either.

If you are able to spend a bit more money, replacing windows and installing solar panels can also drastically reduce energy expenses, though it may take several years to recoup the upfront investment in reduced energy costs. However, both improvements are desirable from a potential buyer’s point of view, further enhancing the eventual market value of your home.

There are a number of reasons for wanting to tap into your home equity. You may want to use some of the money invested in your home to eliminate other debts, like credit card balances or to contribute to your children’s college tuition bills. Perhaps you’re looking to self-finance home improvement expenses or pay medical bills. You may even prefer to use it to fund vacation homes, a rental property, or start a business.

In most cases, accessing home equity offers an option for accomplishing more of your financial goals. Determining whether it makes sense for you involves looking at the alternatives and finding the most cost-effective approach for your situation. For many homeowners, cash-out refinancing ends up being that choice.

Like home equity loans and home equity lines of credit (HELOCs), cash-out refinancing is another way of tapping into the equity you have built up in your home through your monthly payments and as it has increased in value. It involves retiring your current mortgage by taking out a new one, possibly with different terms, and for an amount that is larger than what you currently owe. The excess over your old loan’s outstanding balance and the new one is then paid out to you in cash at closing.

Many homeowners see this type of refinancing as an effective way to secure more favorable terms on their debt while obtaining extra money for large purchases, college expenses, home improvements, or other pressing needs.

A Cash-Out Refinance Could Help You:

• Access a large lump sum of cash
• Pay off high interest credit card debt
• Pay off a car loan
• Pay student loans
• Pay off medical bills
• Finance a wedding
• Take a vacation
• Make home improvements
• Pay for elderly care
• Buy an investment property
• Pay for college
• Pay down debt and improve your debt-to-income ratio
• Boost your credit score
• Get a lower interest rate

Special Benefit for Veterans

Cash-out refinancing can be especially attractive to homeowners who qualify for VA-backed loans. The VA will guarantee these loans up to 100 percent of the home’s value. With the VA standing behind the loan, the lender can typically offer more favorable terms. This type of loan can also be used to refinance a non-VA loan into a VA loan.  Another benefit: VA loans are not subject to down payment limits or private mortgage insurance (PMI). You can check to see if you qualify for a Certificate of Eligibility here.

As always, you’ll want to weigh the impact of your choices on your overall financial circumstances and goals before taking action. However, if you are looking to improve your financial flexibility—and the numbers add up in your favor—a cash-out refinancing could help you pursue long-term financial goals that take you beyond homeownership.

In recent decades, owning real estate has provided millions of people with an opportunity to create and retain personal wealth. For most, their home is their largest asset. That’s why considering homeownership as part of a long-term financial plan—and treating a home as an investment—may make sense.

Here are some key considerations to factor into buying a home and seeing it as an investment.

Rate of Return

In recent years, borrowers have been able to secure home loans at relatively low interest rates, making homeownership more affordable. As the price of their home has risen, many have experienced a positive rate of return.

Mandatory Savings

Since most homes are bought with borrowed money—a mortgage—they represent an automatic savings program of sorts. Each monthly payment adds to the home’s equity- the difference between the mortgage balance owed and what the home is worth. Generally more interest is paid at the beginning of the loan and later, more of each payment goes toward the principal. That means, without any increase in out of pocket expense, more is being contributed to the equity/savings as time goes on.

Ownership Equity vs. Rental Expense

For renters, housing is just another monthly expense. There are no savings unless the rent payment is less than a mortgage payment would be —and you put the difference away. While renting may be appropriate early in your adult life, once you settle into a place, owning typically offers the better long-term financial benefits. Housing expenses are usually predictable with a mortgage, as with a Fixed Rate loan, whereas living in rental property is unstable due to unexpected increases. With a mortgage, you are in control of your expenses – not your landlord.

Tax Advantages

Homeowners with mortgages are typically able to deduct all or most of the interest portion of their monthly payments at tax time. This can trim thousands of dollars from their tax bills over the life of the loan. Depending on local tax laws, any property tax that is paid may also be deductible, while certain home improvements may earn tax credits, further reducing tax bills.

Also, under current tax laws, a home’s appreciation in value is tax deferred. For many homeowners, even after they sell, that gain may be realized without tax consequences.*

Wealth Building

Homeownership has historically provided an accessible steppingstone to personal wealth. Borrowers at various income levels can purchase a sensible home for their situation and generally, over time, the home’s value appreciates and provides the homeowner with equity. As the years go by, this equity builds and can become a substantial portion of a homeowner’s net worth. 

Invest in You

Homeownership provides you more control over your space, allowing for more creative expression and personalization over the place where you reside. Compared to renters, homeowners are happier, healthier and have better self-esteem.

Invest in Your Family

When you buy a home, you have more control of your family’s environment. Not just inside the home, but you can research to find the best schools in the safest areas and then buy in that area. The most desirable areas frequently offer fewer rental living options.

Invest in the Community

Buying a home generally leads to pride in homeownership, allowing a buyer to settle into a community and establish long-term ties in their area. Stronger ties typically mean more interest in the community, more civic involvement and better neighborhoods overall.

With the multitude of benefits to owning a home, it makes sense to look at it and treat it as both a financial and personal well-being investment.

* Borrowers should always discuss any potential deductions with a licensed a tax professional.

If 2017 is the year you plan to make your big move—whether it’s into your first home, trading up to your dream home, adding a vacation home, or starting to accumulate an investment property portfolio—here are 10 resolutions that can help you get that much closer to achieving your goal over the next 12 months.

Making Yourself at Home in 2017

1. Review your credit scores and history, improve their accuracy by addressing any errors, and then look for ways to improve your score. If you find any errors, you’ll need to dispute each one directly with the credit bureaus: Experian, Equifax, and TransUnion.
2. Take a hard look at your spending habits. See what you can do to siphon off more savings toward a down payment, like cutting out daily trips to the coffee house? Saving $3 a day for a year is over $1,000!
3. Resolved to save more? Try apps that make budgeting and saving into more of a game.
4. Start planning for home-related spending by revisiting your monthly budget to accommodate any potential changes in your expenses.
5. Invest in your home—learn more about when to attempt do-it-yourself repairs or when to look for financial options for bigger projects.
6. When you borrow, do so wisely by working with a Loan Officer to determine the best loan structure for your situation.
7. Repair, pare down, and prep your current home for sale or, if it’s a rental, to ensure you’ll receive your security deposit back.
8. Consider putting your tax refund into a savings account and mark it “off limits”, or put it back into your home to offset repairs and refinements or to reduce the amount remaining on your mortgage.
9. Build an emergency reserve so that when things happen—from refrigerator repairs to patching the roof—your biggest concern is who to call, not how you’ll pay for it.
10. Look to the future—as you plan ahead, think about how your home equity may figure into it.

Whatever your plans for the coming year, stay resolved. Know there are resources, including real estate and mortgage specialists out there to help.Wishing you a happy and prosperous new year!

As soon as that last piece of turkey is safely tucked away in the fridge, it feels like a bell goes off, giving you permission to spend. Let’s be honest—during the holidays you are going to spend on things like gifts, party giving, and party going. It’s the most magical time of the year and the one month you are certain to go off budget.

Spreading Joy the Smart Way

That said, the holidays don’t have to break your budget. Here are five tips to help you continue saving, even when you are spending.

Tip #1 Be Rewarded for Browsing

Like many retailing and digital coupon apps, ShopKick alerts you to stores with promotions. However, not all these promotions require you to spend money. ShopKick will award you points just for walking in the door at some stores. You can earn more by scanning specified product bar codes, and even more points are awarded if you buy those products. Accumulate enough points, and you can redeem them for gift cards. The retailers participating in ShopKick include Macy’s, Best Buy, CVS, and Target, among others.

Tip #2 Get Out More

Apps like Groupon and LivingSocial leverage the power of group buying to get things cheaper. They are especially useful in lowering the cost of taking your family to holiday happenings—from performances to sporting events—and you can save quite a bit on entertainment expenses.

Tip #3 Save on Gas and Parking

Although gas prices have come down this year, GasBuddy is still useful for finding the best gas prices nearby, whether you are traveling near home and work or out of town. Similarly, using parking apps like BestParking, SpotHero, and ParkWhiz to alert you to the cheapest spots near your destination can be especially useful in cities like Chicago and New York, where parking can top $35 just for a dinner out. 

Tip #4 Online or in Line, Take Time to Compare

Whether you are online at home or in line at the register, stop and compare prices and last-minute offers before you pay. Check the store itself for discounts available to rewards members and sign up while you are in line if you need to. A 20 percent discount will make it worthwhile! While there are many coupon sites, a good, speedy, all-around go-to app for finding current promo codes is RetailMeNot.com.

Tip #5 Know When You Are Done

It’s best to try to have a list before you leave home so you can focus on sticking to it. Whether it’s for your party or for the gifts under the tree, have a dollar limit for each item. When you do buy gifts, bite the bullet and wrap them yourself instead of paying for the service. Although, you may want to put off wrapping as long as possible. Wrapping paper and ribbons often go on sale closer to the holidays.

Keep Track

Make saving a game of sorts by keeping a running tally of what you would have spent and what you did spend on each item you purchase. Then, reward yourself by adding that amount to your savings account in January.

Members of the Baby Boomer generation are turning 65 at a rate of approximately 10,000 people per day. This trend is expected to continue for the next 15 years, and as more and more retire, they are looking at making a move.

While some are downsizing and shifting toward multifamily residences, others are still looking to trade up to their dream homes. The common goal for most is to find a home where they will also be able to age in place. For Real Estate Agents, this creates a unique opportunity to help clients—and former clients—transition into the next phase of their lives and potentially earn commissions on two transactions, especially when a Reverse Purchase strategy is involved.

The Reverse Purchase

Created in 2008, the Reverse Purchase enables homeowners who are at least 62 years old to buy a new principal residence without incurring a monthly mortgage payment, though they will still need to pay taxes, insurance, and monthly HOA if applicable. Since it requires less upfront investment than an all-cash purchase and no monthly mortgage payments, a Reverse Purchase can help preserve your client’s retirement savings while improving their monthly cash flow. The lender is repaid from the eventual sale of the property, not from income, so your client may be able to afford a home that would otherwise be beyond their financial reach.

While a client may opt to sell their current home and buy a home better suited to aging in place, they also have the opportunity to keep their original home. Assuming they have sufficient cash balances available for a down payment, they can choose to rent out their old home and buy a new home with a Reverse Purchase.

Low Barrier to Financing

Qualifying for a Reverse Purchase is rather straightforward since the lender isn’t looking to your client’s income or credit standing for repayment. There are no income or FICO qualifications, nor a debt-to-income ratio that needs to be met. A previous bankruptcy, foreclosure, or the presence of medical bills is also not a barrier to approval. 

Transitioning Clients to a Better Retirement

Whether your client is looking to relocate to a different climate, wants to be closer to family, or would like to try a new lifestyle, Reverse Purchase enables you to help them achieve the type of retirement housing they aspire to while building your business in a sustainable way.

The U.S. Census Bureau estimates the number of Americans 65 and older will reach 73 million by 2030. Given this trend, finding housing for older clients that is more suitable to their retirement needs—and facilitating these dual transactions through Reverse Purchase—can produce commission opportunities for years to come.