Revamping your home can be quite costly, and you may struggle to find the finances for it upfront. However, once you’ve decided you need to refurbish your home, it can be hard not to want to see it through. If you don’t have the funding, you don’t have to despair as there are other ways you can secure the money you need and get the home of your dreams. An emergency home expenditure could be resolved by no credit check loans, but when it’s a big project, you may need to find the funds yourself. To help you complete your home renovations, here are 5 ways you can fund your refurbishment without breaking the bank.
- A Personal Loan
One of the most common ways people finance a home refurbishment is through loans. A lot of people opt for this method as it provides you with all the funds you need upfront in the form of a lump sum. By having all the cash you need to complete the renovation, you may find it easier to finish and find that you can get it done quicker than you may have planned. Make sure that when taking out your loan, you compare lenders and take the interest rate into account, as well as ensuring you can afford the repayments.
- Sell Your Old Furnishings
If you don’t want to take out a loan, you could sell your old furnishing that is going to be replaced. Although the money you make from selling them might not cover the whole project, it could help take the burden off your bank account. It also saves you finding and paying for a skip to take away all of your old pieces of furniture too, as a lot of people are willing to pick it up once they’ve paid.
- Savings
If you have savings behind you, then it can be great to utilise them for your refurbishment. Although you might not want to splash it all on the renovation, refurbishing your home can actually add value to it and could pay you back tenfold in the long term. Using your savings can be an investment rather than an expenditure, and it won’t leave you with debt at the end of it.
- A Credit Card
Personal loans aren’t your only option of borrowing either, you could look into getting a credit card. You might prefer to use a credit card even if you have savings too, as you could pay for things on your credit card, and then pay the balance using your savings. This can add a layer of protection to your spending and will ensure you don’t lose out on any money should something go wrong. Credit cards offer you the ability to only spend what you need, whereas a loan can only be taken as a large lump sum. This way, if you don’t actually need as much money as you thought, you aren’t left with a large debt that still needs paying. You can also find credit cards that have a 0% interest rate, so you’ll only ever pay back what you spend and not a penny more.
- A Second Mortgage
An alternative to all of these options is to take out a second mortgage on your house. This can be tricky though, as it’s not always a given that your request will be approved, and it might not be at the same rate as your current one. You may also find that you can’t receive as much money as you would when you applied for your first mortgage too. Re-mortgaging your home isn’t something you should rush into. Paying off your original mortgage probably took you a fair while, so you need to be 100% sure that you want to restart your payments. Bear in mind they can also be a lot higher, so although a second mortgage is a good option, it’s one that has a hefty price tag.
Refurbishing your home is an exciting time, only to be made stressful when you don’t have the funds. There are options are out there that can help resolve any issues that pop up, so even if you’re set on using your savings, you could always use a credit card alongside them to help carry your project to the finish line.
