When Remodeling No Longer Adds Up; Reinvesting Equity in a Home Eventually Reaches the Point of No Return
Over the past 20 years, they've redone a lot -- windows, floors and added a master suite -- in their Greenfield, Wis., house.</br></br>Each project has brought their once-tired house in line with its prettier neighbors. Larry Nowakowski figures that he and his wife, Nina, will get back every dollar of what they've spent, some of it from home equity loans, thanks to rapidly rising house prices.</br></br>They've hit the payback ceiling. If they change the layout of the house to create the open, flowing family room they want, they probably won't get that outlay back on resale.</br></br>House appreciation "has peaked," Larry Nowakowski said. "It won't happen any more. Now we're cashing in our investment."</br></br>The couple expects to soon put their house on the market for about $250,000. They want to buy a condo to get the floor plan they want and get rid of the burdensome yard work they don't.