Home Remodeling Costs May Be Recouped By Homeowner Tax Credits

Energy Star has announced home remodeling projects details to help homeowners preparing their tax filings; encouraging homeowners to improve their home's value. Destiny Homes, a Wayzata luxury home remodeler comments on the list of remodeling projects and how homeowners can improve their quality of home life and take advantage of the homeowner tax credits.

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Home Remodeling And Tax Credit - New Doors And Windows

Home Remodeling And Tax Credit - New Doors And Windows

"Through the first three quarters of 2012, residential sector investment was responsible for one out of every six dollars added to our GDP. Moving forward, home improvement spending is expected to make an even larger contribution." ~ Eric Belsky

Wayzata,, Minnesota (PRWEB) February 11, 2013

EnergyStar.gov has announced home remodeling projects details to help homeowners preparing their tax filings. Homeowners may recover some costs for home remodeling by homeowner tax credits.

For example, Wayzata home renovations can help homeowners quickly recoup home remodeling costs, lower utility bills and increase a home's market value. They can be expensive. For instance, according to Remodeling Magazine, a major kitchen remodel in the Minneapolis - Wayzata area could cost up to $$53,666 and a roof replacement around $18,323, and an insulated attic addition near 47,702.

REMODELING PROJECTS DESTINY HOMES SUGGESTS FOR A HOMEOWNERS TAX CREDIT OR REBATE

1) Qualified Furnaces, Boilers, Heat Pumps and Air-Conditioners - Homeowners can declare the cost of buying and installing certain energy-efficient heating, ventilating and air-conditioning units. Eligible units include air source heat pumps, central air-conditioning, gas and oil hot water boilers, and natural gas or propane furnaces.

2) Replacing And Adding New Doors And Windows - Home improvement projects that include replacing a home's old windows and leaky doors with new ones that comply with current energy-efficient standards can save homeowners immediate money on seasonal utility bills. To qualify for a tax break, new windows must have a solar heat gain coefficient of 0.30 or less. Doors and windows must have a U-factor, which is an insulation rating that measures a door or window's efficiency at preventing heat from escaping the home. To qualify, that score must be 0.30 or less. The tax credit amount is 10% of the cost, up to $500; however windows are capped at $200.

3) Upgrading Home Insulation - Insulation is one of the most cost efficient remodeling projects to improve a home's energy efficiency. The improvements start saving money on utility bills immediately. Homeowners can apply for 30 percent of home insulation costs, up to $1,500. Homeowners can only deduct the cost of materials, not installation costs.

4) Kitchen Remodels: Faucets, Sinks, And Biomass Stoves- Luxury high-neck faucets can cost upwards of $1,000, however they are in high demand by homebuyers as many are seeking a luxury kitchen. Carefully chosen kitchen remodeling investments will likely pay off when you go to sell. Kitchens have become the focal point of many home renovations. Often older home have kitchens and dining areas that homeowners want completely re-worked, incorporating bar seating, and an open area to the family room.

5) Renewable Energy Lighting - Using the right light fixtures and light bulbs or creating daylight-filled rooms that concentrate on renewable energy sourcing help homeowners take advantage of green remodeling incentives and gain homeowner tax breaks. Using the right materials can protect the health and comfort of a residential family home by eliminating many common toxins. Materials with no- or low-volatile organic compounds (VOCs) can be obtained by your home interior designer. Products and materials with no off-gassing give your home a highly desirable and easy to measure eco-conscious benefit - especially important for children or seniors with respiratory sensitivities.

6) Using Tankless Water Heaters - Excel Energy 2013 offers a water heater rebate program meant to offset homeowners initial costs. Basement home remodels including an efficient tankless water heaters can offer savings throughout the life of the equipment on top of the initial rebate.

7) New Roof For Residential Homes - Metal roofs with appropriate pigmented coatings and asphalt roofs with appropriate cooling granules that also meet ENERGY STAR requirements qualify. The remodeling tax payer credit amount is 10% of material costs up to $500. Again, no installation costs are included in the tax credit.

Future homeowner tax credit changes will impact home remodeling, predicts Sprenger. Congress is facing three more "Fiscal Cliff" type deadlines: sequester (March 1), the debt ceiling (May 19), and extending a continuing resolution (March 28): all of them will impact housing.

Housing advocates are working with congress on modifications to these entities or to tax incentives for home ownership are designed, and it’s on that point that Realtors and home builders have been acknowledged for having day-to-day insights on the impact different proposals may have on housing. "The worst thing that can happen is for lawmakers to make changes without understanding the impact of what they decide," said Rep Chris Van Hollen.

Over the lifetime of products used in home renovations, upkeep and replacement costs can double, but low maintenance materials can really help keep costs and maintenance time down. Destiny Homes interior designs are a perfect blend of homeowner wishes, combining the practicalities of improving the quality of the daily lives of those who live in the home, and maintenance demands. Call Destiny Homes at 953-934-5706