How Home Equity Can Improve Your Life4 min read
The term home improvement may seem vague and mysterious. However, it is a complex and intricate topic that encompass many different activities, budgets and techniques. The process of home improvement, home reconstruction, or simply remodeling is simply the act of making changes to one’s home or modifying an existing home structure. Home improvement includes projects that upgrade an existing home exterior, interior or any other modifications to the house. Some homeowners spend heavily on home improvement projects such as adding home gyms and pools, while others prefer to live life a little more simple by fixing up a bit of worn out furniture or revamping the inside of their home. Regardless of the preference or style, home improvement projects are a popular pursuit among countless homeowners throughout the world.
One of the most popular forms of home improvement is home remodeling. Remodeling, as the name suggests, is the act of completely renovating one’s house by replacing any outdated or worn out components. However, it also entails a great deal of planning, financial resources and patience. Home remodeling projects can include everything from completely replacing worn out wooden flooring to installing a state-of-the-art, fully-equipped kitchen.
In addition, there are numerous types of home renovations available these days from total renovations to partial renovations. There are countless ways in which home improvement can help a home’s value skyrocket. A prime example of this is by improving an outdated bathroom, adding new tile floors to bathrooms and other rooms to bring them up to current standards. Such improvements help older homes maintain their resale value and increase their marketability. Thus, home improvement is a key strategy when selling a home.
Yet, while home improvements have proven to be effective at increasing a home’s marketability, not all homeowners are keen on spending the necessary money and time for home improvement. Others may think home improvement is simply unnecessary expense. However, with a little ambition and drive, home improvements can be made to bring your home up to date at affordable prices. In fact, there are plenty of inexpensive methods to spruce up your home without breaking the bank. This article discusses a few different home improvement methods that won’t break the bank, yet will make an incredible difference in terms of overall quality and curb appeal.
Home improvement can be broken down into two categories: total renovation and partial renovation. Total renovation is when a home improvement project covers everything a homeowner needs in order to make their home look and feel brand new. Partial renovations, on the other hand, focus on improving certain parts of a home or enhancing specific areas. For instance, replacing worn carpet may be a part of a total home improvement project, but replacing that same carpet with a stylish, well-lit mirror may be part of a partial renovation project.
With the threat of a home foreclosure on many homeowners’ minds, lenders have become much more strict about what kind of renovations a homeowner can do on their property. However, with the financial benefits many homeowners receive from home improvement loans, lenders have started to loosen their stance on what is considered a renovation. With today’s home improvement market, it’s not difficult for a homeowner to acquire a home improvement loan that allows for substantial remodeling projects. While most homeowners would prefer to pay for all necessary expenses out-of-pocket, obtaining a home improvement loan with a large enough loan amount usually allows for more inexpensive and less- intrusive remodeling projects.
Home equity can also be used for any number of other home improvement projects, regardless of its purpose. Equity ensures a homeowner can afford major and necessary repairs, renovations, and improvements on their home. Most homeowners carry around a portion of home equity, which is considered their “rainy day.” In the event of a major home improvement project that doesn’t have to be paid for out-of-pocket, this “rainy day” equity is there to cover it. Therefore, homeowners should not hesitate to use their home improvement cash to make necessary repairs or improvements on their home, as long as it makes economic sense to do so.
When it comes to adding luxury and charm to their homes, homeowners often turn to home improvement grants and loans that do not require a down payment. For many people, adding a roof, adding a pool, or adding appliances such as a washer and dryer can make a huge difference in the value of their home and increase the resale value significantly. In order to take full advantage of home improvement grants and loans for home improvements, applicants should always check to see if they are eligible. Applying early can help avoid the competitive process that can make financing for major projects more competitive, which in turn can help save applicants hundreds of dollars.