Let’s all put down the calculators, file the receipts, and celebrate the fact that tax season is over!
For many of us, that means a nice refund check has already landed or is on its way. (Fun fact: The IRS issued 237.8 million refunds in 2022.)
If you’re in the refund crowd, you might wonder what to do with that shiny sum. While you could blow it on a bunch of stuff that ends up in next year’s spring-cleaning piles, we’re proposing something a bit more lasting.
We asked designers and real estate agents for advice on the best home improvement projects to tackle with your tax return money. Here are their Top 6 picks for ways to reinvest those funds into your home for a more functional, comfortable, and ready-to-sell space.
1. Upgrade old appliances
Appliances from a few decades ago are unattractive and can actually be the secret energy vampires elevating your monthly bills. (And worn appliances are a massive turnoff for future buyers.)
“Upgrading old appliances is usually something that has to be done with borrowed money, which means that any time you can pay cash, you’re going to be saving,” says Martin Orefice, the CEO of Rent To Own Labs.
Additionally, new appliances are way more efficient at cooking, refrigerating, and cleaning, so you’re looking at a truly valuable improvement project.
2. Update your kitchen
Much like upgrading appliances, updating your out-of-date kitchen can be a surprisingly lucrative investment to make with your tax-return dollars.
And while you could spend thousands changing every part of your kitchen, Megan Nelson, of Nest with the Nelsons, reminds us that you don’t have to go full monty to make a big difference.
“Manageable kitchen updates are a wonderful way to use your tax refund,” says Nelson. “Think smaller improvements like new paint, an updated pantry door, new large-scale lighting over the island, or a dramatic light fixture over your table.”
. Splurge on a new mattress
A brand new, comfy mattress might not add much monetary value to your home, but the personal value of a great rest is priceless.
“A good night’s sleep is essential for overall wellbeing,” says designer and real estate agent Cam Dowski, of We Buy Houses Chicago. “Investing in a high-quality mattress can improve sleep quality, leading to better health and productivity.”
4. Invest in your outdoor space
Whether you need a new grill or want to revamp those worn-down garden beds, investing in your home’s outdoor living space will bring you lots of joy as we head into the warmer months. And it might even boost your home’s overall curb appeal when you’re ready to sell.
“Some outdoor decisions can really customize your space and make it more inviting,” says real estate agent Lauren Byington, of WarrenandLauren. “Adding landscaping, new furniture, and outdoor toys, like hot tubs, can make your space perfect for you and set a relaxing tone.”
Another pro tip? Extend the use of your outdoor area by investing in a fire pit to use in the spring and fall.
5. Make your home smarter
No, we aren’t proposing you send your house to college. But you can make your home smarter by adding in some of the latest gadgets with control capabilities for your abode’s security, heating and cooling, and electric systems.
“Making your home smarter with modernized security and smart devices can help bolster your home’s modernity,” says Byington.
Plus, who doesn’t love shouting grocery-list items to their kitchen smart device while cooking?
6. Modernize the details
If you recently purchased an older home, you might have noticed some of its characteristics haven’t aged well with the times.
A few outdated biggies are texturized, popcorn ceilings and spindly stair rails.
“Old ceilings and dated stair rails are a major turnoff,” says Byington. “Consider having them updated to a more contemporary look. Go for nontextured or wood-clad ceilings and a modern-looking stairway with simple lines.”
Updating small details in your home will not only increase the personal enjoyment and aesthetic of your home, but these upgrades could also entice future, potential buyers.
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If there is a home that you would like more information about, if you are considering selling a property, or if you have questions about the housing market in your neighborhood, please reach out. We’re here to help.
