A home equity loan is exactly what it sounds like. It allows you to tap into the equity of your home, gaining access to funds that you can use for almost every expense imaginable.
Many people turn to a home equity loan when they’re interested in completing a home improvement project.
As you learn more about your project, you’ll gain a better understanding of how much it will cost. You can then decide how much money you need to borrow.
Here are five types of projects that are often paid for with a home equity loan:
1. New Roof
It may not be the most exciting project, but it’s essential to protecting your home.
Once you install a new roof, you don’t have much to worry about in this regard for many years. Sure, it may require repairs every now and again, but nothing nearly as expensive as an entirely new roof.
2. Kitchen Remodel
For many homeowners, this is a dream project. Even if you don’t spend a lot of time in your kitchen, it’s still the centerpiece of your home. And for that reason, you want it to look its best at all times.
A kitchen remodel can take on many forms, ranging from minor upgrades to a full-blown transformation.
3. Bathroom Remodel
Just the same as your kitchen, you want your bathrooms to be fresh and modern. When they’re not, you won’t want to spend much time in them.
From minor updates, such as swapping out flooring and fixtures, to a major renovation, such as changing the location of your shower or tub, the sky is the limit.
4. Deck or Patio
There’s nothing more enjoyable than soaking up nature. However, if you don’t have a deck or patio, you may find it difficult to do so.
Find your inspiration, get a quote from a contractor, and decide if the project fits into your budget. Soon enough, you’ll have an outdoor living space that you want to use, day in and day out.
5. Swimming Pool
It’s not the right project for everyone, but it’s surely one of the most exciting if you decide to tackle it.
A swimming pool makes for many hours of fun, as well as a place to cool off on those hot summer days.
If you’re borrowing money to install a pool, make sure you consider all the costs. In addition to the pool itself, you also need to budget for a patio, landscaping, and related equipment.
If you’re interested in any type of home improvement project, first consider how you’ll pay for it. You may learn that a home equity loan is the perfect solution, as you can borrow the money you need at a competitive interest rate.
Once you have the money in hand, you’re closer than ever to starting your project and enjoying the end result.