It’s the season of renewal and spring is an excellent time to take control of home improvement projects and renovations. There are plenty of reasons why you’d want to tackle home renovations this time of year. Sometimes it may just be because there’s work on the home that just needs to get done. You might have needed repairs or you may have maintenance to do. Or you simply might want to undertake a larger renovation or a project like adding a new room or extension.
Major renovations like this can help boost the value of your home, but there is one big hurdle to home improvement, paying for it. You want to get the most out of the investment in your home, but not maintaining it properly can cost you when your ready to sell. That’s why Cliffco Mortgage Bankers wants you to know that there are loans available to help with home renovations.
Cliffco Can Help You Finance a Home Renovation
If you’re planning a home renovation, Cliffco can help you find financing for it. We’ll explain the various loan options available to you and how they work. And of course, if you’re looking to purchase property, we can help find the right loan for you. So go ahead and plan those home renovations and we’ll give you a few ideas to prepare for them.
Popular Projects and Pitfalls of Spring Renovations
There are plenty of popular remodeling projects that can add value to your home. According to CBS News, adding a two story addition can boost the return on your investment (ROI) by 72 percent. A bathroom remodeling job will give you an ROI of 74 percent, while installing a finished basement will give you a 78 percent return.
A minor kitchen renovation will give you an 83 percent ROI. Spring and summer are good times to consider a kitchen renovation. Remember, you’re not going to be able to use the room for a while. Angie’s List suggests that you consider doing your cooking on an outdoor grill and moving your microwave to another room. Ask the workers to move the refrigerator too. You also should consider creating and freezing pre-made meals.
Loans for Home Renovations
If you’re looking for a loan to pay for your home improvement project, you should consider a 203 (K) Rehabilitation loan. One type is called the Streamline 203 (k) loan. This loan is restricted to repairs and renovations that cost less than $35,000, which is perfect for that minor kitchen renovation or bathroom remodeling job.
For major renovations such as additions to your home, or adding a garage you’ll need a full 203 (k) loan. This allows you to get more money, but you’re required to spend a minimum of $5000 on the project and a minimum 3.5 percent down payment is required. The property must also be occupied by the owner.
Let Cliffco Help You Find the Loan for You
If you need help with financing a repair or renovation, Cliffco can help. We can also help you find a loan to finance a home purchase and show you ways to tap into your home’s equity. Contact us today.