Firstly, buying a home can be one of the best assets you can acquire in your lifetime.  When the home you are living in is yours, (well -and the banks) the return can give emotional and financial security beyond anything else. 

Of course, the work you put into it, is also profitable - as it adds cash to your equity by increasing the value of the home.  Anything you do to your home will come back financially – sometimes doubling, even tripling its value.  That is, in a stable economy.  But the one thing you can count on, at least what history has proven is that owning real estate can be the most advantageous investment above all else.

Plus, you have complete control over your surroundings – you can pretty much do whatever you want to your home to increase its value.  You certainly can’t do much to enhance your living environment without landlord approval, in a rental home.

So, how do you care for your biggest investment, in the least amount of dollars? 

Maintenance –is the single most important effort on your part that will save you money down the line.  People do not tend to fix or repair things until they have broken.  That is when it will cost the most because it is generally in an emergency situation.  You maintain your vehicles, yes?  Then by all means, keep your home maintained.   It costs a heck of a lot less to have a plumber check your pipes than to hire one to fix them after one has burst. 

First, learn how to do things yourself.  Hiring a contractor should be the last resort.  Not that a contractor isn’t great– most of them are – but their labor costs can eat up the cash planned for a specific improvement.   It is advisable if you do hire a contractor, to check the basic prices of home repairs and improvements with a home repair guide before you even get started.  Know what the costs should be, and this guide even lists common material costs.

Every Home Depot or other major hardware center has training classes every weekend, especially in the spring.  They teach you everything from special painting techniques, to repairing your roof.  Of course the latter, I wouldn’t advise. 

Taking the time to do home repairs can save a bundle in cash, and with the right person, it can be rewarding and fun. 

I have friends who are always doing repairs around their home.  They love it.  Last month, they replaced all of their carpeting with natural wood flooring.  They installed it, sanded, stained and did everything themselves – and the floors look amazing.  They have also re-tiled both bathrooms.  They’ve become quite the experts at home improvement, and they say, there is nothing like admiring your own work.  The feeling of gratification, plus the savings is fantastic. 

Another important thing to remember when trying to keep costs down is energy.  Do your doors have jams that warm air can escape through? Are there cracks around windows?  Is your home sufficiently insulated?

This is where 10-20% of your heating costs could go, and with the rising costs of gas, yes, even natural gas, this could get costly.  This is definitely something you can do yourself.  Check all of these sources and more, and make a day before the cold weather comes, to be certain all of these things are weatherproofed. 

If you use a wood stove, make sure that stove is maintained and cleaned yearly.  Sometimes stovepipes can crack from heat and cold, and cause you to lose heat.  Also, make sure that the stack is properly clean, and free of debris, every single year.

Are you using energy efficient light bulbs?  They can save up to ½ of your lighting costs.  Fluorescent light bulbs may cost a bit more, but they last three times as long, plus they cut back on your energy consumption. 

Programming your thermostat also helps, so that when you are sleeping, or not home you aren’t heating your home unnecessarily.  You can purchase a new thermostat that is programmable for around forty dollars.  And, it will save you money. 

They now have new energy efficient water heaters, toilets, washing machines, dishwashers and even showerheads and faucets.  Investing in these things will not only get you a tax credit, but will save on your water bills tremendously.  They are well worth the initial investment and have been known to save approximately 70% on your annual water bill. 

Finding ways to cut expenses and install energy efficient appliances can be more lucrative later when you decide to sell.  Advertising an energy-efficient home is a huge selling point. 

The best part, in my opinion of home ownership is the deductions on your tax returns.  The mortgage interest - along with all of your home improvements are tax deductible, which make home ownership even more desirable when tax time comes.

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