Around the country, more and more families and individuals are getting into home improvement projects. In fact, Harvard University researchers report that Americans spent nearly $420 billion on home improvement projects in 2020. This surge in home renovations is partly due to the COVID-19 pandemic, which has forced people to spend more time inside their homes and rethink their current living situations.
Home improvement projects don't only make your home a more comfortable place to live in — they also increase the value of your house. This makes home improvement projects some of the best investments that you can make as a homeowner. In this post, we’ve listed four of the best home renovation projects you should consider undertaking and how you can finance them.
Upgrade your flooring
One of the best upgrades that you can install in your home is hardwood flooring. Using this kind of flooring in common areas can increase the resale value of your home as it is durable, attractive, and goes well with just about any home aesthetic. But if you’re looking for some flooring that works best for families with young children, it might be worth sticking to carpets. The great thing about carpet flooring is that they are easy on young knees and elbows, and you can even choose stain-resistant options if you’re worried about spills.
Update the look of your bathroom
A bathroom remodeling project can give you a huge ROI. However, bathroom renovation projects can often be costly. Thankfully, you don’t need to turn it inside out to increase the overall value of your home. Something as simple as replacing the fixtures, tiling, and vanity can go a long way. By modernizing your bathroom through simple adjustments, you can make it look more inviting to potential buyers.
Finish out your basement
If you want extra space in your home, finishing your basement may be a good idea. While this home improvement project can set you back thousands of dollars, the money you spend is well worth it — since you increase both the usable living space in your home and its market value. If you choose to finish your basement, you can expect a return of at least 70% on your investment. This means that if you spend $10,000 to on your basement, it can potentially increase the value of your property by about $7,000.
Remodel your kitchen
Remodeling your kitchen can instantly boost the level of comfort in your home. After all, no one wants to prepare food in an old and dingy kitchen. What’s great about kitchen renovation projects is that you don’t have to demolish the entire space to change it. Simple upgrades such as refinishing the existing cabinets or adding a fresh coat of paint on the walls can transform your kitchen. But if you have the money to spare, going all out and changing the flooring, installing a backsplash, and buying new appliances isn’t a bad idea either.
So how can you finance your home improvement project?
As we mentioned earlier, home improvement projects don’t come cheap. Thankfully, there are many ways to finance your home improvement projects if you prefer keeping your savings for a rainy day. For starters, you can take out a home improvement loan from banks or alternative lenders. Home improvement loans are unsecured loans, so this means you won’t need to put up your other assets as collateral in order to get approved. These kinds of loans are your best bet if you have a good credit record because your lender will check your creditworthiness to determine if you’re qualified for the loan.
You can also choose to take out a home equity loan to fund your home renovation project. With this type of loan, your home acts as collateral and you will receive the money as a lump sum. A home equity loan is ideal if you prefer low and fixed interest rates. However, missing your payments means that your lender could potentially assume ownership of your home since you put it up as collateral.
Buying a home is one of the best investments that you can make in your life. If you want to make the most out of your investment, be sure to consider the home improvement projects that we’ve listed above.
Specially written for BluegrassCleaning.com
By: Roxanne Jordynn