As of 2019, remodeling just one room in your home can cost anywhere between $18,462 – $74,811. While costly, making improvements to your home has significant benefits. In addition to creating a space that you enjoy more, you also have the opportunity to increase the value of your property. Whether you are looking to renovate your kitchen, or add another bathroom, there are plenty of ways that you can make your upgrades financially possible. Learn more about three top strategies for getting the funding you need for your next home improvement project.
Use the value of your home
The latest numbers show that Americans have $14.4 trillion of tappable equity in their homes (according to a 2018 report). This figure is said to be higher than ever before. Using the money that has already been invested into your home is a wonderful way to quickly get large sums of cash for your home improvement projects. One option is to obtain a reverse mortgage. These loans allow a borrower to make monthly payments on a home that is already paid off in order to access the equity. This is an excellent funding option for those who want to fix up a home that no longer has mortgage payments. Alternatively, home equity loans allow homeowners who have a balance on their mortgage to access a portion of the equity they have built.
Host a garage sale or sell unused items online
In addition to being an easy way to make money off of what you already own, selling your items at a garage sale or online is practical for another reason. When remodeling, there are often items that you need to get rid of to make room for new items. While purging unused home improvement materials, appliances, furniture, and more for your remodel, it makes sense to generate some kind of cash from those items. Before holding a garage sale, check with your neighborhood or homeowners association regulations to ensure that you are complying with all applicable rules. If you prefer to sell digitally, websites such as eBay make it simple and low-cost to put your items up for sale.
Get a personal loan
If you need an alternative option to the above suggestions, applying for a personal loan is also another exceptional choice. In fact, 27 million Americans were actively using personal loans in 2016. What is great about personal loans is that you can use them to pay for almost anything, they can come with a low interest rate (for those who qualify), they have a fixed repayment period, and you can specify the exact amount of money needed. Before applying, get estimates from your chosen contractors so that you do not request too much or too little. Once you’ve applied and been approved for a personal loan, you are unable to change the amount of the loan.
If you are ready to add value and comfort to your home, completing a remodel of one or more rooms is a great option. Using the above strategies can make it much easier to access the funding needed to complete jobs both small and large.
