The money from a loan can be used for a great range of things from buying a boat to planning a wedding to home improvement.
Create Curb Appeal With a Home Improvement Loan
Are you thinking about selling your home? Is your home outdated and in need of a few upgrades? A home improvement loan could be the perfect solution to solve these problems. The value of the home often increases with upgrades and curb appeal improvements that will create equity of equal or greater value in the property.
This means a home improvement loan can actually pay for itself over time.
Consider these upgrades to create curb appeal with a home improvement loan.
#1. Improve the landscaping. Curb appeal starts with the first impressions that people receive of a home. A solid landscaping plan that involves a lot of color, some mature items, and some bed sculpting can create a strong visual first impression that will make others want to live there. As an added benefit, improved landscaping also boosts values throughout the neighborhood and when one home starts improvements, more are sure to follow.
#2. Update the fixtures of the home. Carpet from the 1980s has to disappear. The ovens from the 1970s might still be functional, but kitchen retro isn’t a good thing to have for value. Update the appliances, fixtures, and other components of the home so that they are reflective of modern times to improve the ongoing value of the home.
#3. Consider adding a porch or a deck. If you’ve already got a porch or a deck on a home, there are ways to add value by incorporating a second porch or deck or expanding the current structures. For a multi-story home, consider adding a deck to the floor that doesn’t have one. Expand concrete porches by pouring another pad to expand the space. Even enclosing an outdoor porch to make it more of a sun room can add equity through a home improvement loan.
#4. Expand the home. You don’t have to put on an addition to a home in order for there to be more usable space. If there’s a basement for the home, consider having it finished. Attics can be finished as well for additional space if there’s enough room. If the home improvement loan is large enough, building can go upward as well by adding another floor. More space almost always equates to more equity.
#5. Put in long-term maintenance improvements. Home improvement loans can also be used to update or replace needed items for the home so that the value of a home can be maintained. Roofing and siding are the two most common uses for a home improvement loan, but new windows, new doors, or even new paint for the interior are all options as well.
A home improvement loan can unlock the potential of any house and is an alternative to a mortgage.
Why You Need a Home Improvement Loan
A house needs regular maintenance in order for it to be a home. Appliances may need to be fixed, a wall repaired, or lawn equipment may need to be purchased.
If your actions will add to the value of your home, then a home improvement loan with a competitive interest rate could be the best financial solution for you.
Why choose a home improvement loan?
- You earn equity in your property immediately while making low monthly payments.
- Fixed interest rates mean you always know what you’ll be paying.
- You are not limited to where you make purchases for your home.
Sometimes a home improvement can’t wait, but you don’t have the cash on hand to fix the problem. A water heater might go out, the septic tank might get backed up, or the furnace might stop working on a cold night. A home improvement loan can get homeowners the cash they need quickly so that the problem can be solved as quickly as possible.
A home improvement loan may even pay for itself. When upgrades to a home are made, it naturally increases the value of that home. Increases in value create equity. The value of that equity can offset the interest payments that are made on the loan.
If you’ve been thinking about an upgrade to the home, then the time to act is now. Interest rates are expected to rise in the near future. In return, you’ll receive benefits that can continue paying you in equity dividends over the long run.
Christopher has an MBA from a top Canadian University and a decade of Big 5 banking experience plus another decade of marketing knowledge. She has a passion for writing about financial topics and has founded and developed the brand of Underbanked®.