HOME IMPROVEMENTS YOU CAN USE A PERSONAL LOAN FOR
Personal loans are great to help fund a number of projects. In today’s finance market, your personal loan not only can help fund a valuable project, but it can also be a way to add value to your portfolio. The irony of personal debt is it can be used to build wealth.
For example, many finance degree programs to earn money on earning potential later. The home improvement project financed through a loan is another way that consumers turn debt into an asset. In fact, a Latitude personal loan or loans other online financial institutions can assist with many of the home improvement projects to add value to your home.
Let’s take a closer look at the various home improvement projects that can be financed through a personal loan.
Adding a room onto an existing structure is a great way to add value to your home. For example, adding an extra bathroom can result in recouping almost 80-130 per cent of what is spent on the loan, according to HGTV. Ultimately, your home’s value increases simply because there is more room, and while the loan to complete the project might be expensive, your home is that much more comfortable and valuable.
Repairing Or Replacing The Roof
While the general rule of thumb is to re-roof your home after its warranty, which is typically 30 years, some insurance policies increase their premiums after twenty years or depending on the condition of the roof. If your home is near water or in other high-risk areas, your insurance premium can drastically increase the total monthly costs for a home. Repairing or replacing your roof can reduce the amount of money spent on a yearly premium.
Furthermore, depending on the type of roof, a loan financing the project can generate value for the home. For example, roofs made from architectural shingles are more durable and lasting and can add value to the home. Of many of the home improvement projects, replacing a roof can lower insurance costs while adding value to the home.
Renovating The Kitchen Or Bathroom
Updating a kitchen or bathroom can also be a way to fund a remodelling project that translates into income. In fact, a homeowner can recoup anywhere between 60-120 per cent of the financing on this type of project. In many cases, if selling the home, the improvements can add up to thousands of dollars on the resale value.
Replacing The Flooring
Replacing the flooring in a home can also be one way to improve the value of your home through financing. Homeowners have a number of options from which to choose in installing floors for their home. Less expensive carpeting is one of the most popular ways, and tiled floors are a practical option for homeowners who want nice floors that last a long time. Finally, wood flooring can add charm and a lot of resale value down the line, especially if well-maintained.
Energy Efficient Anything
Whenever installing energy efficient appliances and making improvements to the home, the homeowner stands to save on monthly energy bills but the home’s total value increases. Energy efficient window, for example, can save on insulation costs in the winter and the summer when the cold and heat can increase heating bills. Energy efficient insulation that is placed around switches, doors and windows, around the attic, in the basement, and any place typically vulnerable to energy loss can also save homeowners quite a bit of money, making the loan translate into an investment.
Turning A Debt Into An Asset
The personal loan can be used for a number of projects, but it can really help homeowners increase the value of their homes. Regardless of the project, the personal loan used to fund a project not only adds value but, in many cases, can also save the homeowner money in the long run. Borrowing to improve your home’s value is one way to transform debt into an asset.