Many of us have come to think of our Las Vegas Luxury Homes in purely financial terms. In the not too distant past, we tracked Home price appreciation almost as intently as day traders followed stock market indices. That appreciation allowed us equity lines of credit to purchase all sorts of things. After the economic reversal that began in 2007-08, declining Home prices have left us uncertain about whether to put more money in our Homes.
- Las Vegas Luxury Homes
To answer the title question fairly, we should step back a bit and recognize that for most of us, our Homes are really a combination of economic and emotional investment. We feel differently about a place we own rather than one we would rent, and this difference is the psychological portion of the return on our investment in our Homes. This return is intangible, but it’s real. We care greatly about our Luxury Homes, our castles. So whether we will get all of our money of a planned Home improvement out upon sale, while a substantial consideration, should probably not be the only measuring stick we use i.e., if we’re not improving simply to increase the value of our Las Vegas Luxury Home for an imminent sale. If we plan to own our Home for a while, our Home’s pure economic return shouldn’t have to match or beat the return on our stock portfolio. Self-evident, you say? Yes, but too often overlooked these days.
Here are a few rules I use for advising people whether to invest in they Las Vegas Luxury Homes now. Perhaps you will find that most of these are self-evident as well, but, I believe, they are often overlooked.
- Needing or Simply Wanting a Home Improvement:If the roof has been leaking, its repair or replacement is in the essential column. Easy thought process, we need to protect our Home and our family; sufficient economic return on that investment is a given. How about an elegant curved staircase compared with a straight one? The curved staircase should be more attractive, but it will cost quite a bit more in terms of money and space. We may never recoup the additional invested funds. However, if we have the right Home and the funds, the psychological return on this investment may legitimately provide a larger portion of the reason to do it. Bottom line: wanting a Brazilian cherry wood floor may be reason enough to install it if it provides us with a long term emotional lift and we can afford the additional cost. Of course the exotic wood will also likely raise the value of the right home as well.
- The Compatibility Factor: The improvement should fit in reasonably well with our property as a whole. If it doesn’t, even the hoped-for long term psychological return will prove elusive. The improvements should also should fit with Luxury Homes in your community. It is not advisable for your Home to be "overdressed" or "underdressed" compare to other neighborhood Homes.
- Available Funds: Am I planning to sell my Las Vegas Luxury Home shortly or do I intend to live in it for a good length of time? If I am improving the Home to market it soon, the decision is more about whether I will likely get the invested money out on sale; this should be a purely economic equation. If I am intending to live in my home for quite some time, the discussion turns on other criteria as well.
Click here to speak to one of Las Vegas Luxury Homes Specialists or call 702-588-5858.
las vegas luxury homes, luxury homes las vegas, las vegas homes, homes las vegas
No comments:
Post a Comment