Your HGTV addiction has finally convinced you – it’s time to renovate! But wait – hold up! Before you grab that paintbrush or rip out those outdated bathroom tiles, there are a few things you really should consider. Here’s the lowdown on what you need to know before you decide to renovate your home:
Make your home fit you
Renovating your home is the ideal way to make your living space fit the needs of you and your family, without having to move. A small kitchen can be transformed into the perfect place to make a big meal with the removal of a wall or an island that isn’t functional. Basements also provide a great opportunity to transform a previously empty and unused space into something functional. The important part is that it works for you.
Can add value to your home
In addition to creating the perfect living space for you and your family, most renovations help increase the value of your home. For this reason, many people opt to renovate before putting their home up for sale in order to get the best price possible. Fixtures, flooring, kitchens, bathrooms and the addition of an in-law suite are all renovations that will not only improve your space, they also will likely improve your home’s value too.
…If you renovate the right space
It’s important to exercise caution when it comes to renovations, however, particularly if your main priority is upping the value of your home. Not all renovations will help to increase the value of your home, so choose wisely before you start. Although the addition of a swimming pool, solar panels, wall-to-wall carpet and fancy lighting may improve your space, it may not impress some potential buyers. This means that you have to make sure it’s a renovation that’s important to you, as it may not increase how much your home is worth after you’ve spent the money.
You can use the equity in your home
Renovations are important for the enjoyment of your home as well as the resale value, but they can be costly. Luckily, you can use the equity you’ve built up in your home to pay for the improvements you make to it. This can be accomplished through using an equity take out. An equity take-out is a sum of money that you access from your home’s value. If you have a mortgage, this means that the principle of your mortgage loan will increase. If you don’t currently have a mortgage, it means that you will borrow against the value of your property.
A home equity take-out is a considerable decision to make. For this reason, it’s essential to ensure that you are financially able to handle the costs involved, as well as the short-term and long-term changes that will occur as a result before you commit to going ahead.
If you’re considering an equity take-out to help pay for your renovations, connect with me. As a qualified and experienced mortgage broker in Barrie, I can help you determine whether an equity takeout is your best plan of action based on your goals and needs – and can help you through the process in order to make your renovation dreams come true. Contact me today at (705) 315-0516 to learn more about the many ways I can help.