Using rebate cash for home improvements can pay off down the road

As everyone knows by now, in an effort to jump-start the economy, the federal government has approved an economic stimulus package and is sending checks to qualifying taxpayers. Homeowners can use this refund to invest in home improvements that add value in a difficult housing market.

Qualifying individual taxpayers are receiving up to $600 in rebates, working couples $1,200 and those with children an additional $300 per child. Add that to the average refund some taxpayers can expect after filing their taxes ($2,548 in 2007, according to CNNMoney.com) and that's about $3,800 in total refunds from the federal government this year.

Investing these dollars in home improvements, such as replacing leaky windows with newer, energy-efficient ones, can offer homeowners a significant return on investment. Some experts believe that replacement windows are one of the best residential improvement investments a homeowner can make.

Remodeling magazine's 2007 Cost vs. Value Report estimates that a homeowner may recoup at resale 81 percent of the cost of installing low-maintenance replacement windows. That means that on an $8,000 window replacement project, homeowners may recoup $6,480 at the time of sale.

In addition, new energy-efficient windows can lower heating and cooling bills, improve a home's comfort and aesthetics, and add long-lasting value.

There are some important things to keep in mind when choosing new energy-efficient windows. Craig Evanich, president of Renewal by Andersen, suggests homeowners look for the Energy Star label to ensure they are energy efficient. According to the U.S. Department of Energy, replacing inefficient single-pane windows with Energy Star-qualified windows could save up to 15 percent on energy bills.

Evanich adds that Renewal by Andersen energy-efficient windows are designed to perform at even higher standards. They come standard with high-performance low-E4 glass, which is more than 14 percent more energy efficient than Energy Star requirements.

With a substantial savings in energy costs along with a solid return on investment from home improvement projects, buying energy-efficient windows can be seen as a wise use of rebate dollars. When a homeowner decides to sell, energy-efficient windows can provide an edge over other sellers in a competitive housing market.

For more information on energy-efficient windows, visit renewalbyandersen.com or call 800-630-5838.