Planning & Financing Home Improvements
By Carole Stewart
(HIT) – What would be your first purchase if you suddenly discovered a forgotten bank account containing several thousands of dollars?
A breakfast room? A new roof by McKinney roofers? Central air conditioning? A swimming pool?
Or what about remodeling that warm but worn kitchen, or finishing off the basement or attic area to create more living space?
If you’re a homeowner, chances are that you do have a hidden savings account with more than enough to cover most any home improvement program you might want to undertake.
That “unseen” account is the increased equity in your home which has been created by a combination of inflation and the easing nation-wide demand for housing which is beginning to boost prices.
And while it is just waiting to be tapped—putting you and your new improvements into the category of helping to continue the economic uptrend. There are some important considerations to make certain that your home improvements become a win, win, proposition.
While home equity loans currently are one of the most popular ways to raise cash for home improvement projects or other expenses, planning is everything. Here are some essential do’s and don’ts to make yours a home improvement to be proud of:
- Don’t overlook the possibility of emergencies like fire, flood, and sickness.
- If your plan demonstrates the ability to handle one or two ordinary emergencies, then you are likely ready to decide which renovation to tackle first.
- Like all good plans a project that matches the season and the seasonal discounts makes good dollars and cents. Weather plays a role in most outside operations and makes many indoor operations go more quickly.
- Do you have a mandatory timetable, as a party room that must be finished in time for a family reunion?
- Is there a ticking time bomb in your kitchen or bathroom that may result in burst water pipes or an electrical fire if you fail to get the job done soon enough?
- Does the planned upgrade include the entire electrical and plumbing code requirement?
- Will you need a permit from you Local Township or county?
- Do you have the necessary expertise if you plan to do-it-yourself and/or do you have a professional backup if you happen to get in literally or figuratively over your head?
With the extra time it takes to plan ahead, comes the extra assurance that the job will go smoothly and before you know it you will be tackling the next really important home maintenance or remodeling task on your list and perhaps even giving advice to friends and relatives!