You know the feeling – your house needs a refresh, but you don’t have that kind of cash. If you have some improvements in mind, or maybe a few deferred maintenance tasks that you’ve been putting off, here’s some good news – Achieva offers a Renovation Refinance Loan that lets you cash in on your property’s equity to help you create the home of your dreams. You may be able to refinance your current mortgage and include the cost of repairs or upgrades for up to 95% of your home’s completed value!
Smart Renovation Investments
For years we’ve been told that upgrading the kitchen and bathrooms is the smartest use of renovation dollars. According to Sheila Olson of Investopedia, that’s not necessarily the case anymore. Typically, most renovations answer a family need, such as expanding a great room or finishing a basement, and these comforts are a good investment if you plan to stay in the house for a few years. However, these upgrades don’t add immediate resale value, so if there’s a chance you may not live there for more than 2 years, other projects will prove more alluring for potential buyers:
Insulation
There’s nothing alluring about increasing the insulation in your attic, but surveys show that this one simple upgrade can net a return of up to 107% on your investment. The average cost of an attic insulation upgrade is $1,500 – $2,500. Plus, you’ll see a difference in your energy bills immediately.
Front Door
It’s one of the first things people notice about a home, so upgrading curb appeal is a natural win, especially if the door has an interesting feature, such as molding or glass insets. Costs vary depending upon the door style and materials, but the average replacement price is $1,500 – $2,500. Swapping out a boring door can net up to 90% return on investment.
Garage Door
For many homes, the garage door visually dominates the front of the home. Filling that space with something attractive and safe acts like a magnet for potential buyers. New rolling metal or carriage-type doors are lighter and safer than old-school lift doors. Add a few windows, and the return could be as high as 80%. Again, prices vary depending upon the extent of the remodel and the number of doors, but you can expect to invest $2,000 – $3,000.
Hardwood Floors
Flooring is a big deal. It’s expensive, and it’s necessary. This is not the time to be cheap. Install the best quality you can afford, and make sure it’s the real thing. Engineered wood products don’t stand up to use nearly as well as the real thing, and won’t return as much at resale. Choose a neutral color (oak is a perennial favorite) and make sure it feels good. Take your shoes off and walk on it at the store. If you don’t like how it feels, others won’t like it either. You can expect anywhere from 78 – 91% return on your flooring investment.
Don’t own a home (yet) but are poised to purchase that fixer-upper? Achieva’s got you covered there too! With a Renovation Purchase Loan, you can buy the crummiest house in the best neighborhood and include all the renovation costs in the mortgage! Construct your masterpiece with one mortgage and one easy monthly payment.
Not sure if either of these options are right for you? Stop by any Achieva Credit Union location to request a free consultation with a loan officer, or even take the plunge and begin the mortgage application process. You already know that Achieva is banking for GOOD; let us help you find a mortgage that is GOOD for you and your family!
Source: Investpedia, May 24, 2017[/vc_column_text][/vc_column][vc_column width=”1/3″][vc_widget_sidebar sidebar_id=”page-sidebar”][/vc_column][/vc_row]
