Your home has a lot of value to it already, but what if you could include a little more? It would be good for your home as a whole, as well as the market you’d put it on when the time comes to sell up and move on!
But before you even start to think about the endless possibilities you could put your house through when it comes to renovating for cash, or more space, or a bit more family friendliness, let’s talk about budget. After all, we’ve gone through adding more value to your home before, and now it’s time to think about the ramifications these plans could have on your household budget.
Because home reno can be expensive, no matter what room it’s in or how long it’ll last! And we’ve collected together a few things to remember about budgeting for more home value below, so be sure to read through them.
Consider Potential Loan Options
One of the first things to do, before budgeting for a home renovation, would be to consider the loan options, both available to you and within your home area. The most common loan type would be to rely on your own mortgage, if you have one, and think about refinancing.
This means you would be able to finance your interest at a lower rate than the one you’re currently paying, or you would be able to pay it over a longer period of time. This would definitely help to free up a bit of cash in your budget, which you’d be able to put aside for the home reno you want to do.
You could also look for a home equity loan provider; a lot of people think of these as second mortgages, and they’re far more common to take out than you may think. It’ll give you a line of credit you can use all at once, and is great for ensuring you can put some good money in, and get an even better return out of once the work is all done.
Of course, lending has a lot of cons alongside its pros, so make sure you’re aware of these before you visit a lender or your bank.
Contact Local Contractors
One of the best things to do right now, as you’re trying to work out a budget for renovating more value into your home, would be to get in touch with plenty of local contractors. Only get in touch with those who are known for or make a case for free quotes on their websites - you want to gather information here and nothing more!
When you have a collection of estimates for the work you want doing within your home, you can begin to work out an average price, and then save up for that ballpark figure. You can work out how long it’d take for you to get the money together, and you’d also be able to come up with a savings buffer, just in case the work comes in a little over budget.
All in all, you’d have a much better, and clearer, roadmap to follow, and you’d be a lot more realistic in your home value expectations.
Would it Be Cheaper to Move?
It’s a question that’s probably running your head right now, especially if you’re someone who’s looking for a bit more space to work with, most of all. And packing up and moving on can be very beneficial for people who are currently renting, or who have paid off a mortgage and are now looking to diversify their portfolio a little.
After all, trying to budget two or three more rooms onto the plot of land you’re currently living on may be astronomically expensive, or even impossible, and you need something else to work with. It’s why the argument over Renting vs Buying a Home comes up so often - what’s cheapest, in the long term, and would return the most value to you at the end?
So think about moving to a different place, if you’re planning to add more home value into your life. You never know what’s out there unless you’re looking, and you could get so much more for less if there’s some prime real estate going right now.
Budgeting for more home value may be easier than you first thought! After all, the more you can put into your home, the more you can get out of it, and that mostly involves rearranging your current budget!