If you decorate, can you be sure you will accumulate?

The Daily Mail Ideal Home Show was launched in 1908 and gave an early indication of the changing mindset that saw homemaking become a leisure activity rather than a chore. So it's hardly surprising that some of the talking points over the years have been labour-saving devices, such as the vacuum cleaner, first shown in 1920 and the automatic dishwasher (1959). This year some half a million people are expected to attend the show, which runs at Earls Court, London until 8 April and boasts an 18-metre lighthouse as its centrepiece.

Research conducted by Mintel/NOP for the show underpins the role of the home as an external indica tor of social status; accordingly, our decorating priorities lie with the room that is seen the most. Some 66 per cent of respondents said it was important for the living room to be redecorated regularly, with the kitchen coming second at 16 per cent.

Ideally, home improvements should be driven by our desire or need for them rather than just financial gain. It can make financial sense to carry out certain repairs and renovations before you sell your home, but this often has to do with saleability rather than price. A critical thing to remember is whether the level of improvement planned is right for the house.

'You can actually over-improve a house,' said Mark Hemingway at the Halifax. 'An end-of-terrace house will only ever be an end-of-terrace house. Putting in a Jacuzzi might actually make it less marketable.'

The Halifax says most improvements will add some value to a property, but this may only be a percentage of the actual cost: central heating or a garage add immediate value equal or more than equal to the cost. But a fitted kitchen, additional bedrooms, period restoration, additional bathroom/WC may only add value at a percentage of the actual cost.

Double glazing/replacement windows, a conservatory, house extension or loft conversion add value at a percentage of the cost as well as extra saleability, while garden landscaping adds saleability.

When considering home improvements, remember the following: more value is added where properties are in need of repair; space-increasing improvements tend to add the most value; properties in high-priced areas can benefit more significantly in terms of value from well-planned increases in floor space; and the value added also relates to the quality and aptness of the improvement.

According to the Halifax Home Improvements Sur vey, adding value is increasingly given as the main motivation, quoted by 40 per cent of respondents last year, against 28 per cent in 1996. Just over half used personal savings, an option preferred more by women (62 per cent) than men (46 per cent). The number of people taking out secured personal loans to fund improvements doubled between 1998 and last year. A secured personal loan was third on the list.

According to Mark Hemingway at the Halifax, the lender grants about 350,000 further mortgage advances to fund home improvements each year.

'This can cover everything from a new roof down to redecoration,' he says.

With interest rates so low, many people may well dip into their savings to finance their home improvements.

But if you shop around, and particularly if you check out internet accounts, it is possible to find homes for your savings that are paying a higher rate of interest than would be charged on a further mortgage advance.

Five points to remember...

• If you do use your savings, make sure you keep some cash for emergencies.

• A personal loan may seem more flexible but the interest will normally be higher than that on a further mortgage advance.

• Mortgages are more flexible these days; for example, a further mortgage advance could run for a shorter period than the main mortgage.

• You may think of remortgaging at the same time, but always check the terms and conditions on your loan.

• If your mortgage was taken out before 1995, you enjoy increased mortgage protection under Income Support should you need to claim.