Noelle and Larry have decided to perform the landscaping of their new home by themselves.They also plan to take a do-it-yourself class at a local home store so they can replace the tile in the master bathroom without using a contractor.The effect of performing these tasks themselves will result in an increase in their:

Question

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Performing the landscaping and home improvement tasks themselves will result in an increase in their sweat equity, which refers to the increase in value that is gained due to their own labor and efforts. This can be beneficial if they plan to sell the property in the future, as it can increase the overall value and potential profit. The other options, such as principal (the amount of money borrowed for a mortgage), contingencies (potential unexpected expenses), escrow account (an account for holding funds for property taxes and insurance), and buy-down (reducing the interest rate on a mortgage by paying extra points or fees upfront) are not relevant in this context.

Noelle and Larry Have Decided to Perform the Landscaping of Their