How you use a spare bedroom will not add value to the home

Converting an unused bedroom into a den or weight room rarely adds to or reduces the value of a property.

Q. Our son recently moved out of our home, so now we have an extra bedroom. My husband watches television news in the morning before he goes to work, so he wants to move the TV into my son's old room and use it as a den. But I exercise in the morning, so I would like to move my weights and treadmill there so I can use it as an exercise room. Which type of room adds more value to a house, a den or an exercise room?A. You probably won't add to or reduce the value of your home by converting your son's old bedroom into either a den or an exercise room. Since you probably won't be making any permanent changes to the room and will take your TV or weights with you when you eventually sell, the people who buy your house will be able to use the room however they wish. More than likely, they probably will just put another bed in there and convert it back to a bedroom.By the way, most of the respective morning routines conducted by both you and your spouse are fairly common. According to "The Unofficial U.S. Census," an offbeat book by part-time demographer Tom Heymann, about 55 million people start their day by watching TV in their home while another 50 million include exercise as part of their morning rituals (count me among the former).More than 100 million listen to the radio while they're getting ready for work, and 97 million drink some coffee and make their bed.Roughly 89 million kiss their sweetheart before leaving the house, while 64 million read a newspaper. And when you're madly rushing to get ready for work on Monday, pause for a moment to think of this: Somewhere out there, 13 million Americans will be starting their week by "makin' whoopee" instead.Q. We live in a condominium complex. One of the directors of our homeowners association recently resigned because she is moving, so the board appointed a new director without even calling a special election. Doesn't the board have to call for a vote of all owners before it can replace a director who quits?A. Probably not. While virtually all states require associations to have regularly scheduled elections, directors usually have the power to fill a slot on the board that suddenly becomes vacant without calling for a vote of all homeowners. After all, organizing a full-blown election each time a board member quits or moves could be a time-consuming task for the remaining directors and a costly undertaking for the association itself.The procedure that the board must follow to replace a director at your development should be spelled out in the restrictions or bylaws that guide each person's conduct at the complex. If you can't find the information in those documents, or if your review indicates that the board broke its own rules, file a complaint with the association's directors or contact your state's department of real estate or real estate commission for help.Q. We live in a semirural area that was served by a dirt road until last year, when the county finally paved it and then charged each owner whose home faces the road a special tax assessment of $2,300 to help pay for the work. Can we deduct this amount on our federal tax return?A. Sorry, but the answer is no.According to Internal Revenue Service Publication No. 530, Tax Information for Homeowners, property owners such as you "cannot deduct amounts you pay for local benefits that tend to increase the value of your property. Local benefits include the construction of streets, sidewalks or water and sewer systems."In other words, the IRS figures the special assessment the county charged to build the new road is not tax-deductible because it will raise the value of your property. Most buyers are willing to pay more for a home that's accessible by a paved street rather than a house that can be reached only if, say, the dirt road isn't flooded or covered by snow.Though you cannot deduct the $2,300 assessment on your upcoming tax return, you can add the amount to the cost basis of your home and thus reduce the taxes on any profit when you eventually sell.bull; For a copy of the new booklet "Using Your House as Shelter from the IRS," explaining how homeowners and investors can maximize their real estate tax breaks under the new federal tax rules, send $4 and a self-addressed, stamped envelope to David Myers/TAX, P.O. Box 2960, Culver City, CA 90231-2960.#169; 2010, Cowles Syndicate Inc.