Home renovation is a billion-dollar industry in Canada. Homeowners will often make inquiries into renovations in order to maximize the return on their investment, whether they’re looking to sell right away or they plan on enjoying the renovations for many years.
We’re breaking down the most effective home improvement projects and tips for financing them.
First Impressions Matter
Before you lay out plans for the interior of your home, have you done an overview on its exterior? Afterall, if you’re looking to eventually sell your home it’s the first thing potential buyers will notice before they even step foot inside. Exterior renovations tend to have the highest return, according to the chief editor of Canadian graphic design agency JLC Group. A freshly painted door and a well-maintained lawn can do wonders for the overall aesthetic of your home and are easily doable without a high price tag.
Give the Kitchen a Facelift
Kitchen renovations can feel like a daunting experience; however, there are basic renovations that can drastically alter the space without the need to fully gut and rebuild. The kitchen is often seen as the centrepiece of the home, where most entertaining takes place. A few coats of paint to the cabinets, updating the light fixtures, and replacing cabinet handles can give the space the update it needs without breaking the bank.
However, if you can invest into a full remodel, working with contractors and interior designers can benefit your future return, so long as the colours and materials flow with the rest of the home and are neutral enough to appeal to potential buyers if you plan to sell.
A Finished Basement is a Money Maker
Maximizing space in a home will ultimately lead to a maximized return. Adding livable space offers current owners and potential buyers a wealth of possibility. If it’s feasible, renovating this space to include a kitchen and bathroom can turn the basement into a rental property.
Investing in these changes allows homeowners the freedom to use the space however it works best for their family. It may be one of the more costly renovations to your home but if you plan on turning it into a rental, it can raise your home’s value by ten per cent. Additionally, a rental suite can help alleviate a portion of your mortgage payments.
Financing: Tips & Tricks
If you’re working on cosmetic changes that don’t require a hefty budget, consider financing the project yourself using savings or a credit card — as long as you can pay off the balance without encountering interest. Additionally, personal loans are available and typically have lower interest rates than credit cards.
If you’re in need of a short-term solution, there are payday loans available, offering more flexible lending options. If you need to borrow cash online in Canada, these alternative avenues serve as temporary relief should you find yourself struggling with cash flow, and can be especially helpful if obtaining a line of credit or other traditional funding proves impossible.
You’ll know you’ve found the right lender when they’re able to provide efficient service without the hassle of red tape often found with traditional lenders. With only basic information needed, primarily banking information and employment history, you have the option to settle your financial headaches. Depending on the renovations you’ve chosen, there are often multiple financing options available.
If you plan on tackling a major renovation or ongoing projects, a line of credit allows you to access the money as needed and you’d only pay interest on the amount you’ve spent. These loans offer low interest rates and the possibility of re-borrowing without reapplying.
