Simple Ways to Raise Your Home Equity Value

Raising the home equity value of your house is most likely an important priority for you. As a homeowner, your house is most likely the most valuable asset that you have. Therefore, you undoubtedly want the value of the house to continue to rise. While a lot of the value of your house depends upon the market, there are certain things that you can do to help your individual situation. Here are a few things that you should do to raise your home equity value. 

Add On 

Adding on some space to your house is one of the best ways to add to the overall value of your home. With more space, you get to add more square footage into the figures for your house. This means that you will automatically have a higher value to your home as everything is figured off of the total square footage. In addition to adding value to your home, you will also get to enjoy your home more. 

Update Your House

One important thing that you need to do is update your house as you go. You need to keep up with the rest of the neighborhood as best you can. This might mean repainting the house, upgrading the flooring, or doing a number of other things. One great way that you can add value is to focus on the kitchen. Whenever you are thinking about making some updates, the kitchen should be the first place that you focus. You could potentially change the cabinets, the counter tops, and the appliances. Updating the flooring should also be a big consideration for you. Putting natural stone tile or porcelain in is a great way to add value to your home as it is considered a permanent type of flooring. Regardless of where you put your money, make sure that you will be adding home equity value to your home. 

Make Extra Payments

Another way to increase your home equity value is to pay down the balance on the loan faster. You can do this in a number of different ways. You could simply add a little bit to each monthly payment. If you put an extra $50 or $100 on each and every payment, your equity would grow faster than you think. 

Another popular method to pay down the balance is to make an extra payment once every year and apply it to principal. This will result in you paying off your mortgage years faster and creating more equity value along the way if you need to borrow against it.

The bi-weekly mortgage is another popular way to build equity faster. With this payment plan, you make half of a mortgage payment every two weeks instead of once a month. This results in you making one extra payment per year. You just spread it out over the course of the year and make it automatic instead of making yourself make one extra payment on your own. Regardless of how you do it, paying more money towards the principal will have the effect of creating more equity for you.