Planning a home renovation? You can model the full financial impact—cost, equity gained, and how it affects your plan. Learn more below.
Create two assets instead of one
When you know a home improvement is coming, you want your plan to reflect both what you'll spend and what you'll gain in home equity. The cleanest way to do this is to leave your existing property entry unchanged and add a second real estate item just to represent the improvement.
This approach has the advantage of keeping your existing home's data accurate so nothing else in your plan gets distorted while the project is in progress.
Step-by-step setup
1. Leave your existing home entry as-is. Don't adjust the current value of your primary home. That entry stays exactly where it is.
2. Add a new "Other owned real estate" item for the improvement. Go to My Plan > Home and Real estate and add a new asset. Name it something clear, like "Kitchen remodel" or "Addition project."
Purchase price: Enter the total out-of-pocket cost of the improvement. This is what you'll actually spend.
Market value: Enter the amount of equity you expect to add to your home as a result. This may be less than—or equal to—the purchase price.
3. Select the funding account. When you set up the asset, Boldin will ask how it's being funded. Choose the account you plan to draw from. The purchase price will be paid out from that account automatically—so do not add a separate expense item for this project. That would double-count the cost.
4. Match the sale date to your main home. If you have a planned sale date set on your primary home, set the same sale date on this improvement asset. That way, both assets resolve together when you model the home sale.
When the project is complete
Once the work is done and paid for in real life, do a quick cleanup in your plan:
Update your home entry in Current finances > Real estate with the new cost basis and current market value, reflecting the completed improvement.
Delete the improvement asset you created. It's done its job.
That's it. Your plan will now reflect the real, post-renovation state of your home.
A note on timing
This approach is designed for future-dated improvements—projects you're planning but haven't started or paid for yet. If you've already completed and paid for a renovation, skip the two-asset method entirely and simply update your home's current value and cost basis directly.