15 Smart Ways to Increase Your Home’s Value and Unlock Equity for Investment
If you’re dreaming of buying an investment property, one of your most powerful tools could be right under your feet—your own home.
Many Kiwi property investors use the equity in their family home as a deposit for a rental. And the more your home is worth, the more usable equity you have to leverage.
But increasing your home’s value doesn’t always mean a massive renovation. In fact, there are plenty of simple, cost-effective upgrades that can give your property a value boost—without blowing your budget.
Here’s how to make your home work harder, so you can take the next step in your property investment journey.
1. Paint to Add Instant Value
A fresh coat of paint is one of the easiest ways to lift your home’s appearance—and its value. Neutral tones make spaces feel brighter, cleaner and more spacious, which can help increase your home’s market valuation.
Repainting the front door in a smart, modern colour is another cost-effective win. It enhances street appeal and gives valuers and potential buyers a strong first impression.
2. Deep Clean the Exterior
You’d be surprised how much dirt and grime builds up on your cladding. A soft wash or hose-based cleaner like Wet & Forget can make a big difference. Don’t forget the gutters—clean, working gutters not only look better but protect your home from water damage, a key concern for valuers.
A well-maintained exterior signals to a valuer that the property has been looked after, which can lead to a more favourable equity assessment.
3. Declutter and Clean Interior Spaces
It might not feel like a renovation, but decluttering is one of the fastest ways to improve how a home presents. Clear bench tops, tidy wardrobes, and minimalist shelves all make your home feel bigger and more appealing.
A clean, organised home tells valuers and lenders that you take pride in the property—subtly influencing how your home is perceived in terms of value.
4. Modernise with Lighting
Outdated light fittings can drag down a room. Switching to sleek, energy-efficient LED lights not only makes your home feel more modern but adds a tick in the “eco-friendly” box—something buyers and valuers increasingly notice.
5. Replace Cabinet Handles and Tapware
Kitchens and bathrooms sell houses—and even small changes can have a big impact. Swapping outdated cupboard handles, tapware or towel rails with modern alternatives can lift the whole room for a relatively minor outlay.
If your cabinetry is in decent shape, a fresh coat of paint in a neutral or on-trend shade can completely transform the space.
6. Freshen Up the Flooring
Old or stained carpet is a red flag to buyers and valuers alike. If you’re lucky, you might find hardwood flooring underneath that you can polish up.
Otherwise, replacing tired carpet with laminate or vinyl plank flooring is a great value-for-money upgrade. It’s clean, modern, and easy to DIY—ideal for high-traffic areas or investment properties later on.
7. Add Low-Cost Wall Features
Peel-and-stick tiles or removable wallpaper are a brilliant way to add visual interest without long-term commitment or high cost. A splashback in the kitchen or a feature wall in the living room can lift the whole vibe of a space.
Better presentation = better valuation = more usable equity.
8. Clean and Update Windows and Window Coverings
Old curtains or broken blinds don’t do your home any favours. Refresh your windows with modern, ready-made blinds or curtains. Choose light-filtering or neutral-coloured fabrics to make your rooms feel larger and more open.
Natural light enhances the feel and value of any home.
9. Spruce Up the Bathroom
A full bathroom renovation might be overkill, but small tweaks can make a big difference. Update tapware, install a new mirror, swap out dated showerheads, or add frosted glass cabinet doors.
Your goal is to give the room a cohesive, clean, and cared-for look—helping the valuer feel confident in the home’s overall quality.
10. Create Functional Outdoor Spaces
You don’t need a massive garden to create impact. Buyers (and valuers) are drawn to usable outdoor areas—even small patios or decks with seating can go a long way.
Add outdoor lighting or define a seating area with paving or outdoor rugs. It’s about showing how the space can be used, not just how big it is.
11. Clean Up the Landscaping
Tidy lawns, pruned hedges, and weed-free paths can drastically improve street appeal. Lay some mulch, repaint the fence or mailbox, and add a pop of colour with potted plants by the front door.
These small touches show care and polish—important when you’re trying to impress a valuer or lender.
12. Address Pet or Smoke Odours
Bad smells linger—and they can affect how a home is valued. Regularly clean soft furnishings, keep litter boxes fresh, and open windows for ventilation.
You don’t need to douse your home in synthetic fragrances, but neutralising odours is a must before any formal valuation.
13. Highlight Energy Efficiency
Little eco upgrades like LED lighting or good-quality insulation don’t just save money—they can improve your property’s perceived value.
When applying for lending using equity, your mortgage adviser can help highlight these improvements in your application to show your home has lasting appeal.
14. Add a Touch of Style with Art and Accessories
Strategically placed artwork and modern décor can bring your rooms to life—just don’t go overboard. Stick to a cohesive theme, neutral tones, and clean lines to help buyers or valuers see your home’s potential (not your personality).
15. Keep Records of Work Done
If you’re aiming to use equity to buy an investment property, it’s helpful to keep a list of improvements, receipts, and before-and-after photos. These can be useful for your mortgage adviser or valuer when assessing your application.
Unlocking Equity to Grow Your Property Portfolio
Every dollar you add to your home’s value boosts your usable equity—and that equity can be your stepping stone to purchasing an investment property.
For example, let’s say your home is worth $800,000 and you owe $500,000 on the mortgage. Your available equity (at 80%) is $140,000. Increase the property’s value to $850,000 with strategic upgrades, and suddenly your available equity rises to $180,000.
That extra $40,000 could be the difference between watching the market and being in it.
Talk to your mortgage adviser about how your home’s value is assessed and what changes could help boost your borrowing power. You don’t need a full renovation—just some well-chosen improvements and a smart strategy.
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