While you might have a home remodel plan in mind, you may not have the proper funds to see that plan become a reality. According to restoration and construction company Integrity Restoration, there are a variety of ways to successfully finance your residential remodel, allowing you to potentially increase the value of your home without going into debt into the process.
You can’t go wrong with using cash. One thing to keep in mind if you use cash from your savings account is that you won’t have that money for investing, retiring or emergencies, so make sure you think long and hard about using those funds for your home restoration.
Using a credit card is a good idea for a smaller, less expensive improvement project. The more you charge, the more interest you’ll have to pay. Aim for paying off the cost of your project within one to two months, and try to use a card that offers rewards to make the expense worthwhile.
If you don’t like the idea of using a credit card, you may be more comfortable getting a short-term loan, which will most likely have a lower interest rate than that of a credit card, but you’ll want to check your credit score before applying to see if you qualify for those low interest rates.
You can also look into a combination of all three financing options to pay for your home improvement project. While money is most definitely a large factor when it comes to bettering the look of your home, it shouldn’t be a barrier.