5 Tips for Using a Home Improvement Loan

5 Tips for Using a Home Improvement Loan

New York, October 17th, 2022

iQuanti: Have you been wanting to make some updates to your home? With residential real estate prices up an average of around 20 percent nationwide, many homeowners are taking advantage of this newly created equity by taking out home improvement loans. These loans will provide the tens of thousands of dollars needed to make some pretty major updates throughout the property. Which #renovations are the best use of a home improvement loan? In this article, we’ll explore five good ways to use these funds:

1. Remodel the #bathroom

Nearly everyone from realtors to professional contractors agrees that a bathroom renovation has one of the highest ROIs (return on investment). This is because, believe it or not, many people see their bathrooms as a sanctuary. It’s where they come to relax in a bathtub or get ready to take on the world every morning.

Some of the most common changes include updating the vanity, redoing the tile work, or getting new light fixtures. Even small changes like adding water-efficient toilets and showerheads can save you money over time.

2. Update the #kitchen

Second to the bathroom, the kitchen is the most important room in the house. Kitchens are not only where the food gets prepared, but it’s also a place where people typically gather and talk during get-togethers. Some of the simplest kitchen upgrades might be –

• Replacing the appliances
  
  
• Changing the flooring
  
  
• Adding a new backsplash to the wall
  
  
• Depending on your budget, you can also spring for some major renovations like ordering new countertops, replacing the cabinets, and even taking out a wall to open the room up.

3. Finish the basement

Finishing the basement in your house is one of the classic ways to expand your home without making any additions to the exterior. Depending on the footprint, it can easily add another 1,000 square feet to the sellable size of your home. 

Finishing the basement also can provide a lot of much-needed utility. It can give you …

• A second living room or entertainment space
  
  
• A place for the kids to play
  
  
• Office area
  
  
• Workout gym

Some finished basement plans even include a spare bedroom where guests can stay. Take into consideration that it will need a fire escape, such as an egress window, to pass inspection.

4. Add landscaping

Regardless of how you may feel about landscaping, adding a touch of love to the lawn can make a world of difference in the appearance of the house as well as its future resale price. This can be done with simple changes such as …

• Adding new colorful trees and shrubs
  
  
• Having an irrigation system installed
  
  
• Lining the landscaping with rich mulch or stone

5. Replace your roof

It may not be the most exciting home renovation, but if it’s been about 15 years or so since the last time the shingles on your roof were replaced, then now might be the time to consider having it done. A new roof will not only look better, but it will also better serve its purpose of protecting the home against bad weather and other elements. Plus, it should provide some reduction to your homeowner’s premium.

The bottom line

There are plenty of good ways to spend a home improvement loan. Interior changes like renovating the bathroom, kitchen, or basement are all good places to start. But don’t forget to also consider the exterior too by updating the landscaping and roof.