Yes

by Ace D'Wurd

Created on: February 09, 2008   Last Updated: March 06, 2012

Using your tax return on home repair makes good sense because you are reinvesting your hard-earned money in your biggest investment. Think about it, for a moment, if you will. For most Americans, a real estate purchase is the largest purchase in the average American's portfolio. As such, the home should be treated as the most liquid, dynamic investment with the capability of ensuring one's financial well-being. In my opinion, the importance of home repair is comparable in importance of preventive medicine. Take care of the home or the body and they in turn will take care of you, both now and in the long run.

The opportunity to turn money around on a sure thing does not present often. This is one case where the investment, if done correctly, can in fact yield more than its cost. How many of us have watched television programming such as that offered by HGTV or another outlet that demonstrates what is commonly referred to in the housing industry as "flips?" Flips, in this sense means, buying low and selling high, an age old monetary commandment. The reason folks are able to buy low and sell high is homeowners have not done their "homework" in taking care of needed repairs. "Oh", they say, "that repair can wait. It isn't that big of a deal." They put off for tomorrow what can be handled today.

Often times, that tomorrow never comes because as they waited, the hole in the roof got bigger and bigger and...suddenly, they're wondering if it's raining. Or, there are other things that command their limited finances. After a period of time, that minor leak can become a major expense. That minor leak can become an insurmountable obstacle. And bright-eyed home-lusters can become house-poor seemingly overnight.This tragic turn could have been avoided if the homeowner, now weary and teary eyed would have taken care of business at the onset of the problem.

In other words, that hundred dollar repair morphs into a thousands of dollars problem because the homeowner was lax in home repair.

As a matter of fact,some books on home budgeting recommend factoring in the cost of home repair when calculating home expenses. This is the responsible home owner's approach to homeownership.

Also, back to the investment, made at the settlement closing table, where the paperwork is done moving one from home buyer to homeowner. No one signs on to homeownership without certain guarantees or concessions made to receive the home in its finest condition. Lenders make sure the investment you are making is worth the money they lend and for that they count on appraisals. An appraisal is simply the home's value professionally calculated through system testing and visual inspection by an appraiser. When the appraiser indicates the value of the home as per his quasi scientific examination, it is the homeowners duty to self to maintain or improve the value throughout the home ownership period.

One of the easiest ways to maintain the homes' value or to increase it is to continue to invest in the investment by keeping it structurally sound. Another reason to maintain the home's value is the resale factor. Oh, you never know when you might just decide to relocate. If you have maintained your home's value, you can expect to smile when you're ready to sell because someone else might want to make the same investment in the same property you once invested in - if you have maintained or increased its value.

It can be taxing to budget expensive home repairs into the budget; however, if that "windfall", commonly referred to as the tax refund, where Uncle Sam returns some of your money to you, ("hmmm, thanks Unk,") is used wisely, it can be in your pocket again, if you practice prudent, intelligent homeownership practices and fix that ____ (fill in the blank, I've got my own problems.)

Yes, home repair is a wise investment and why not make those repairs when the money is available? As the groom said to the June bride, "I do."

Learn more about this author, Ace D'Wurd.
Click here to send this author comments or questions.