Maintenance Expenses Budget for Austin Homes:

Austin Texas real estate experts generally agree that you can plan on annually spend 1 percent of the purchase price of your new home on repairing gutters, caulking windows, sealing your driveway and the myriad other maintenance chores that come with the privilege of home ownership. Newer homes will generally cost less to maintain than older homes. It also depends on how well that home has been maintained over the years.

Resources for Information on Improving Austin Homes:

If you're getting ready to embark on an improvement project involving contracting help, "Ready, Set, Build: A Consumer's Guide to Home Improvement Planning Contracts" lays out a road map for selecting the right contractor, obtaining competitive bids up to what to include in a contract for your project. There also is information on consumer rights, liens and financing.

The book is available for $9.95 through Consumer Press and Women's Publications, Inc., Dept. SR01, 13326 Southwest 28th St., Fort Lauderdale, FL 33330-1102; (954) 370-9153.

Pros and Cons of Adding On or Buying  A New Home:

Before making a choice between adding on to your existing home or buying a larger one, consider these questions:

• How much money is available, either from cash reserves or through a home improvement loan, to remodel your current house?
• How much additional space is required? Would the foundation support a second floor or does the lot have room to expand on the ground level?
• What do zoning and building ordinances permit?
• How much equity already exists in your property?
• Are there affordable homes for sale that would satisfy your changing housing needs?

Ultimately, the decision should be based on individual needs, the extent of work involved and what will add the most value.

For more information, check out "The Do-able Renewable Home," a free booklet available from the American Association of Retired Persons, Fulfillment Department, 601 E St., N.W., Washington, DC 20049; (202) 434-2277.

Resources:

• Profiting From Real Estate Rehab, Sandra M. Brassfield, John Wiley & Sons Inc., New York; 1992.
• Remodeling magazine's annual "Cost vs. Value Report", available for a nominal fee from the magazine; call (202) 736-3447 to order a copy.