Are you at the point where you’ve decided it’s time to remodel your home? Maybe you’re tired of your outdated kitchen and want to give it a refresh and some new appliances. Or you want to update your landscaping and add a pool. No matter the project at hand, it’s important you do it for the right reasons and find a cost-effective way to finance your remodel if you can’t pay for it outright.
While getting a personal loan is an option, homeownership has many benefits, including the opportunity to build wealth over time through equity. You can then tap into that equity to renovate your home, pay off debt, or even take a vacation.
Home equity is the amount of your home that you actually own. Specifically, the difference between what your home is worth and what you owe to your lender. The good news is that your home equity can be quickly converted into cash through various loans, the most popular being a Traditional Equity Loan and a Home Equity Line of Credit (HELOC).
However you decide to pay for your updates, enjoy your new renovations!