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[B614]Best Way To Win Money

by Sally R Johnson, Sal

Been addicted to TV makeover shows and fancy a change to your home? Worked out your budget and aim to borrow around £20,000 – and can't wait to start splashing the cash. Before you spend half of it on the latest designer carpets and curtains, that aren't to everyone's taste, think carefully, as this amount of money could actually increase the value of your home by up to 20%.

The key to adding value to your house is in increasing its size or space, taking it to the next level in the property market, rather than cosmetic makeovers. So – grab a paper and pencil and get scribbling some ideas – as converting cellars or lofts, doing an extension or developing your garden are the ways you can increase the value of your property. Here are our suggestions:

Bedroom
Adding a bedroom to your house may actually mean you don't have to move to get more space – and can add an average of 11% to the value of the house. This far outways the cost of having to move up the property ladder, by buying a house with an extra bedroom, both in terms of the money you'd pay for the larger property, plus moving costs, including stamp duty.

Kitchen
Kitchen diners are now one of the most important deciding factors for people when buying a house – especially families. So if you have the space to convert your kitchen and dining space into one larger room (perhaps by knocking through a wall), contact building regulations and go for it.

Updating your kitchen fittings also make a huge difference to the re-sale of a property. There are so many cheap deals available that you can create a designer look, with contemporary cupboards and built in appliances, without the designer price-tag.

Bathroom
Like kitchens, a modern, neutral bathroom can make a huge difference to a house sale, enabling you to ask a higher price. Bathrooms are now seen as luxury spaces, where people want to spend time. 10% of new properties are being built with three or more bathrooms, so perhaps you could find space to add another, or at least an en-suite to your property. This is estimated to increase the value of your home by 10%. However, any such improvements should be appropriate for your house. For example, adding a fourth bathroom to a three-bedroom house is unlikely to significantly increase the price.

Central heating
The average price of installing a new boiler and central heating system is around £5,000. Yet this is likely to boost the value of your home by up to 15%. This is equal to £15,000 on an averagely priced house.

Garage
Adding a garage or dedicated parking space, especially in urban areas, with parking restrictions, can add from 8 to 20% to the value of your property.

Loft conversion
Converting your loft into another bedroom, or two, plus bathroom will far outweigh the price you pay. And unlike extending, the planning regulations are much more straightforward.

Garden
With the rediscovered craze for being garden-proud, making the most of your outside space will seriously enhance the value of your home. If you have the space, try creating zones – such as a grassy area, a patio – and even a vegetable patch.

Maintenance
It's no good spending a lump sum of money extending or updating the house, if basic maintenance is ignored. This can include pointing of brickwork, repairing the roof, putting in a damp-course or replacing rotten window frames.

Storage
Ample storage space vastly enhances the look and feel of your home. No one (especially a potential buyer, if you do come to sell) likes to see boxes piled up in corners of rooms. So invest in some built in cupboard space, install a ladder into the loft, for easy access to storage space – and get de-cluttering.

How to use your money to the best advantage

• Get several quotations from local builders – and don't be afraid to ask for references before making your decision.

• Ask your builder to buy materials at trade prices, which are often up to 17.5% cheaper, due to them being VAT registered.

• Buy kitchen and bathroom fittings in the sales, or use ex-demonstration or end of line ones.

• Do as much of the work yourself as possible. Not everyone can fit a kitchen or do tiling, but most people can paint walls – a job that could eat into your budget otherwise.

How to pay for the work
Adding the £20,000 onto your mortgage is by far the effective way to raise the finances for such work. The interest rates on such “secured” loans, tend to be much better value for money than “unsecured” loans.

Most mortgage companies are more than happy to lend money for home improvements, as the investment is usually worth more to the value of the property than the amount spent. In other words, by doing work to your house – you're increasing the value, which is a good investment for your mortgage company!

Nowadays, it seems that there are an increasing number of things for our teenagers to spend money on every day. There are expensive clothes, video games, designer sports shoes, mp3 players and much more. If, like most people, you have not been blessed with wealth, then it is obviously hard to give your teenagers everything that they want and, for this reason, it is very important for us to help them understand the value of money.

It is vitally important to begin teaching your kids about money from an early age. Beginning at around age 10 you should give them a few dollars every week that they can spend in whatever way they want. This weekly allowance should not 'free' but must be dependent on their completing some household chores. You need however to work with your children and let them decide what chores they want to do rather than assigning them particular jobs. Additionally, it is important that you do not set limits on what they can spend their money on and also that, once they are getting an, you do not then simply go on buying them things they want. They must, and soon will, find out that if they spend all their money the moment they get it they will not be able to get some of the more expensive items they want.

Additionally, it is very important for you children to learn the principles of budgeting at an early age and discover exactly how much things cost. Take them to the shops when you go shopping, have them help you with the household budget and let them watch you when it comes to paying the bills. It will not take them very long to get a feel for just how expensive everyday living can be.

As your kids get older, and certainly by the time they get to the age of about 13 or 14, gradually raise both their level of responsibility and their weekly allowance. For example, add their lunch money to their weekly allowance and make them responsible for buying their own lunch. As they learn to accept greater responsible, show them how to create a budget for bigger items such as clothes or an mp3 player, and then force them to stick to that budget. Again, you will find that they will rapidly learn that if they want to purchase expensive items, then they have to make sacrifices.

Remember also that you can backtrack. If you find that your kids are not learning how to to use money sensibly and for its intended purpose, then do not be afraid to step in and take back control of that money until you are satisfied that they can handle it.

A some stage, your teenager will decide to get a job and this is a very good point at which to introduce them to the concept of saving. Teach them to put some of their wages into a savings account which they should come to see as a resource for funding major projects, such as their college education or another significant pursuit. Additionally, get them to put a small proportion of their wages on one side to pay for less important, but nonetheless expensive, items such as a video game system or computer. After they have made these provisions, you can then allow them to spend the rest of their money in whatever 'crazy' way they choose and, if you are concerned about where they are spending their money, then open up a checking account for them that you can monitor.

Teaching your kids the value of money can be a long and slow process that takes a number of small steps and will not be without its difficulties. Your children, and particularly your teenagers, will mess up but remember that we learn some of our most valuable lessons as a result of the mistakes that we make.

Article Source : Pg. 9

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Both Sally R Johnson & Donald Saunders are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.

Sally R Johnson has sinced written about articles on various topics from Finances, Home Improvement How to and Home Improvement. Sally Johnson is an expert on money management. She often reviews for the website. Sally R Johnson's top article generates over 2400 views. to your Favourites.

Donald Saunders has sinced written about articles on various topics from Health Insurance, Forex Training and Diabetes Treatment. Parenting4Dummies.com provides a wide range of and looks in some detail at the problems of. Donald Saunders's top article generates over 165000 views. to your Favourites.