Are you one of the lucky ones getting a tax refund this year? If so, CONGRATULATIONS! While you’re waiting for that money to deposit into your bank account, you might be asking yourself “What should I do with my refund”? As real estate experts, we’re here to help guide you in a smart direction when it comes to spending extra funds on your current investment (your home) or your future investment (Your next home, first home, first investment, or any other real estate purchase).
If you already own a home, CONGRATULATIONS! Do you want to spend some of the refund on upgrades to your current home? If you want to keep living in your current home and add extra comfort or appeal for your own enjoyment, spending some of your refund on that sounds like a fabulous idea! Consider a new paint job, new flooring, new window treatments, a sprinkler system, adding A/C or an evaporative cooler. Needing extra comfort while sitting on your throne each morning? (Yes, I’m talking about your toilet!) Go crazy and get a new toilet installed! All of these ideas and upgrades will also be great for resale one day if you decide to sell.
Speaking of selling, perhaps you’re considering selling your home this year and want to spend some of your refund on improvements that will enhance the selling power of your house. First of all, please give us a call and we will be happy to walk through your home and give you tips on what buyers will be looking at in your home and improvements that we see could add value when listing your home. It’s amazing what a new paint job and new floors can do to a home’s appeal to buyers, adding extra value for you as the seller. In general, when looking at making improvements or upgrades to your home, you will see the most bang for your buck in the kitchen and baths. Simply adding new light fixtures, appliances, a new vanity in the bathroom, flooring, and paint can go a very long way!
Maybe you don’t already own a home and are considering buying your first home THIS YEAR! A fantastic way to spend your tax refund could be saving it to use as the down payment on your very first home. Can you finally envision yourself spending your own money each month on your own mortgage and building equity in your very own home, instead of filling someone else’s pockets with your hard earned money?! What an exciting time for you if you can finally do this. It never hurts to talk with a mortgage lender about whether or not you qualify for a mortgage now or you need to keep saving to qualify at a later date. Perhaps the lender will tell you to use that refund to pay off some debt and then you will be in a better position next year to purchase a home. YOU NEVER KNOW UNTIL YOU ASK. It does not cost you any money to talk with a mortgage lender about our qualifications for a home loan to see where you stand. Guess what, it also doesn’t cost you any money to contact US to refer you to one of our preferred lenders! We work with some of the industry’s best and would love to get you in contact with a lender that can answer any questions for you and educate you on the mortgage pre approval process.
Let’s say you’re in a completely different category and are considering using that refund money for a real estate investment opportunity. WOO HOO!!! What a fantastic place to be financially! Investing in real estate (especially in Colorado) is one of the best investments you can make. If you have the funds to buy an investment property and rent it out, or flip it, or whatever you want to do, then by all means save that refund money to help support that dream of yours.
Hopefully you’ve learned something by reading this and we have at least helped you get the wheels spinning about how to spend your tax refund this year. If anything, maybe you’ve decided to forgo everything we’ve said and spend your refund on a vacation or something completely frivolous. By all means, do that if it makes you happy! YOLO! We’re only here to help guide and educate along the way. If you have additional question for us though, please don’t hesitate to reach out. One of us is generally always available to chat or answer questions. If you know us at all, you know we are not heavy handed sales people. We love what we do and we love to help people achieve their real estate goals in life.