Since the economy has slowed down, people are afraid to spend their savings or income because banks are making it more difficult to get loans. People think that holding on to their money in case times get worst is the best way to go. However, most people don't know the smart ways to invest in their own home, by remodeling. Remodeling is an investment that can help you in the long run. A few consumer facts for you to consider, and that you might not be aware of are:

Construction cost increase on a yearly basis about 10%, however in 2009 prices went down about 10-15%. The main reason behind this is due to material prices going down. Construction companies have been contacting their vendors for better pricing and have been able to pass it on to homeowners.

Remodeling now is significantly better than waiting for "the economy to get better," consider these facts: mortgage rates are lower than most of us can remember and waiting for the economy to get better will also mean that interest rates will increase.

Real estate proves itself to be of value as a good hedge against inflation. Obviously real estate prices went down, but remember it is always good to "buy low and sell high." In order to sell high, investing in remodeling is one of your few options in this economy. While remodeling using low prices, you will see this was an investment when you are able to sell your home at a higher price than you purchased.

Besides the low prices on materials, government funding has also made it easier to remodel and upgrade on energy efficient products for your home. The government is providing incentives so that you see an economic benefit in the short and long run, while also increasing the quality of you and your family's lifestyle.

A few examples of remodeling projects that increase in value can be; Kitchen remodeling return on investment from 92 – 100%, bathroom remodeling increases in value of remodel on an average of 85%, window replacements on an average of 84.7%, and room additions to increase value 100% and more. For example, a room addition that costs $100,000, will regain in value around $200,000 at the time of selling your house. Take into consideration that in some geographic areas, the increase in value is significantly higher.

In conclusion, remodeling should not be considered as an unnecessary expense in this economy, but an investment for the future. Low prices in materials means a higher return on investment and a better quality of life in the environment you and your children live. Don't delay or reject the investment of remodeling your home right now – Let's make 2010 better for all of us!