December 5, 2017
Home Renovations that Pay Off
Calling all Chip and Joanna Gaines wannabes! Are you interested in purchasing a fixer upper? Or are you considering renovating your home? Before moving forward with home renovations, it’s important to consider which improvements are best to invest in for your home.
The first step in evaluating a home improvement project is to run a quick cost benefit analysis. In other words, how much will this cost and how much value will it add to my home? Is the primary reason for the project to make the home more livable or to improve the resale value? Method Mortgage Partner Adam Stoffregen pointed out, “This absolutely critical if you are planning to sell in the near future as some improvements don’t necessarily increase the value of your home.”
Here are a few home renovations that Method Mortgage Partner Roger Steur recommends. He said, “Personally, I think outdoor living spaces and kitchen renovations are great places to spend money. Dollars spent on those two areas help people imagine themselves living in the house.”
- Outdoor living space additions.
The addition of an outdoor living space such as a deck, patio or courtyard is a great way to add charm, curb appeal and an extra living space to your home.
- Kitchen remodels.
Whether you go big or small, remodeling your kitchen definitely pays off. After all, it’s where people typically spend the most time, so it’s essential that it is up-to-date, functional and attractive.
- Exterior improvements.
Installing a new roof and/or redoing your siding is extremely profitable because the exterior of your house is the first thing home buyers notice when visiting your home. Exterior improvements not only increase curb appeal, but they can also improve energy efficiency.
- Hardwood floors.
Say goodbye to grungy, old carpet and hello to fresh floors. Refinishing your current hardwoods or adding new hardwood floors is a no-brainer and a simple way to add value to your home.
- Bathroom remodels.
Whether you replace the vanity, upgrade the tile or relocate the shower, giving your bathroom a facelift is another perk homebuyers will appreciate.
Now that you know the best renovations to invest in, let’s talk loans. Method Mortgage Partner Craig Tindall said, “There are a variety of home loans out there, including some renovation loans, that require smaller down payments than you may think.” A renovation loan enables buyers to borrow based on what the house is expected to be worth after the renovations are completed. Homeowners can also use renovation loan programs to refinance their existing mortgage plus the renovation costs into one loan.
If you’re having difficulty finding a house that’s perfect for you as is, there are plenty of homes that need some updates and improvements, and a renovation loan from Method Mortgage can help. Contact us today to learn more!