How To Finance Your Home Renovation – Renovating your home can be an exciting, yet stressful time. On the one hand, you are eager to make improvements to your living space and enjoy the end results. On the other hand, upgrades are costly and it can be tricky when it comes to deciding the right financing option for you. Check out the following financing options with some help from realtor.com to make the right decision for all your needs.
Pay with Cash: Using cash from a savings account or other nest egg is a great option to pay off renovation costs. What’s more, you won’t acquire additional debt! However, it may be best to get an estimate of renovation costs before counting your cash. Renovations can be expensive, and you may not want to deplete your whole savings. Alternatively, you may decide you want to save up your money for a few years before tackling your big renovation project.
Whip out the Credit Card: If you have a credit card with a very low interest rate, or even a 0% interest rate, you can pay for your renovation with that credit card. Be advised that this is a good idea only if you believe you can pay off your credit card debt before the interest rates shoot up, as they often will after a set amount of time.
Personal Loan: Taking out a personal loan is less chancy than a credit card, because interest rates are fixed and require less risk. However interest rates for personal loans tend to be higher than home equity loans, and are not tax deductible, so it is important to shop all your options before deciding on a particular loan.
Consider a Home Equity Loan: Home equity loans can be a good option for large- scale renovations because you can take out more money often for a lower interest rate, and the interest are sometimes even tax deductible. However the amount you borrow is based on collateral in your home, so the financial risk is a bit different than a personal loan, which requires no home equity.
At the end of the day, the right way to pay for your upgrade really depends on two things: the type of project you are focusing on and what is best for you and your family. You may want to meet with your financial adviser before make the most of your money and your renovation, so that you can enjoy the end result to the fullest.
About Deborah Laemmerhirt
Let me assist you in finding everything you need to know about buying or selling a home! As the preeminent real estate professional in my community, I am dedicated to providing the finest service available while breaking new ground.
Because the real estate industry is becoming more sophisticated and challenging every day, you need a professional that understands the industry and is positioned to stay ahead of the game.
I go the extra mile to help you achieve your goals. That’s why I constantly research the home, market and estate values so your home is priced effectively from day one. I also make sure the public knows your home is for sale by using innovative marketing techniques to attract potential buyers.
As an Internet-savvy real estate representative in Connecticut, I’ve had the opportunity to help many home buyers find their ideal homes and many sellers obtain top dollar for their homes. Buying or selling a home is one of the largest financial transactions that most people ever undertake, so I will help you through every step of the process. My goal is to make your home selling or buying experience as easy and enjoyable as possible.
My services include:
Explaining the home selling and buying process thoroughly
Diligently selecting homes that meets your criteria
Pricing your home correctly and implementing a unique yet proven marketing plan
Negotiating on your behalf
Tracking the closing process to ensure a smooth transaction
I welcome the opportunity to address any questions you might have about buying, selling or current market conditions. Please call or e-mail me any time, and I will be happy to discuss your next steps in the buying or selling process.
I specialize in both Residential and Commercial Properties.
I also head a Real Estate Group to provide you with expert service and support.
Areas of Expertise
Making transitions in your life is challenging. You may be moving from out of town, a different state, internationally or just next door! Regardless of the distance I am prepared to respond to your unique needs.If you are a BUYER looking to downsize, up-size, want a new construction, desire a condominium, to invest, even if this is your first home, I will design a unique plan to fulfill your needs in a reasonable time frame, with the best negotiated price and the least amount of inconvenience.For my Home Sellers, I have an innovative marketing plan that will leave nothing to chance. Just call, and I would be happy to share the DIFFERENT and SUCCESSFUL TOOLS I utilize on each of my listings.
I have lived in Connecticut for over 35 years. I practice Real Estate in Fairfield County, New Haven County and Litchfield County. This includes, but is not limited to Bethel, Bridgewater, Brookfield, Danbury, Harwinton, Kent, Litchfield, New Fairfield, New Milford, Newtown, Oxford, Ridgefield, Redding, Roxbury, Sherman, Southbury, Warren, Washington, Westport and Wilton.
