Century 21 North East - Norton Group RE



Posted by Century 21 North East - Norton Group RE on 7/28/2019

These days, homeowners are very busy renovating and improving their property, according to a HomeAdvisor survey. The homeowners who participated in that survey admitted they had spent an average of over $6,600 on repairs and improvements in 2018, and almost 50 percent of these homeowners were thinking about doing more renovations.

What is driving all this home improvement? Part of the reason is that a lot of potential buyers are buying places that need work as home prices are becoming so high. So, many people are remodeling rather than moving when they want more or better space.

Home renovations are a serious project. Many individuals renovate to update and upgrade their homes as well as increase property values. There are many ways you can pay for home repairs. Below you will find the three smartest ways to cover those costs.

1. Saved-up Cash

This option can be effective if you have a separate emergency fund saved and can save what you need before renovations become critical.

If you had saved up enough cash, you probably would not be reading this post as you are here to know how you finance your home repairs with your available funds! But still, the best way to pay for a home renovation is with the cash you've saved over the years so that you can keep your total debt at the lowest level. 

Of course, your patience can wear down when you see your core rooms like the kitchen and the bathroom going down the drain. You know waiting until you have cash is not realistic at all as you should not delay critical repairs for a long time. If you neglect a leaky roof, it might turn into a bigger and more expensive problem.

However, if you are not sure how critical a repair is, especially for something like the roof or anything structural, consult a real estate professional such as a licensed a home inspector.

2. Home Improvement Loan

If you do not have enough cash in your savings to fund your renovation project, there is still hope; you can get a personal home improvement loan. This option allows you to secure loan money without putting your house at risk. If you go for an unsecured personal loan, you will probably get more than you can on a credit card. 

However, pay attention: it is more sustainable not to borrow more than you need for your repairs. No matter how much you borrow, make absolutely sure that you know the amount of your overall monthly payments.

3. Home Equity Line of Credit

Using home equity is a viable option if you have at least 20 percent equity in your home and do not need over $25,000 as well as want to make a series of smaller home improvements.

The HELOC or home equity line of credit works in the same way as a credit card. You do not have to borrow and pay interest on the complete sum all at once. Instead, you borrow and pay as you go. With this arrangement, this option makes a HELOC an excellent choice for not-too-large renovations or a series of small home improvements.

Wrapping Up…Home repairs and renovations can be expensive to handle, but there are many ways to pay for them. So, you should plan your budget before embarking on a home renovation project as the cost of most repair works can increase considerably.




Categories: Uncategorized  


Posted by Century 21 North East - Norton Group RE on 4/15/2018

Doing a home improvement or renovation is a great way to add value to your home while learning something new. If you decide to DIY, you can enlist the help of your family and learn together.

But, when you’re taking on a task you’ve never done before, there’s a lot that can go wrong. You might go over budget, or the project might take significantly longer than expected. Sometimes we start jobs that we don’t have the expertise (or permits) to finish and have to call in a professional sinking more time and money into what was supposed to be an inexpensive renovation.

To help you avoid some of these common pitfalls, we’ve provided these tips for running a successful home improvement project so you can focus on your renovation and not on the headaches that come with it.

1. Know when to call the experts

Undertaking a do-it-yourself project can be fun and rewarding. However, some tasks are better left to the professionals. Plumbing and electrical mistakes, in particular, can be dangerous and costly if you get it wrong. You don’t want to disregard the safety of you, your family, and your belongings just to save money on hiring a professional.

2. Call the best expert for the job

Call multiple professionals for a quote before accepting an offer.

If you received what seems a very low quote for a job, make sure to call other experts in the industry to see how much they would charge for the job. Getting an unusually low offer could be a sign that the contractor will rush the project or use cheap materials.

Alternatively, if you receive a quote that seems too high, the contractor may have a busy schedule or might not really want the job, so they’ve offered you a price they don’t expect you to take.

Regardless of who you choose, see if you can find reviews and testimonials to make sure you’ve selected a contractor who is professional and has good customer feedback.

3. Aim high with your budget

When homeowners take on a renovation, they tend to underestimate the costs. To avoid being shocked by going over budget, estimate what you think the total costs would be and then at another twenty percent. That twenty percent could account for damaged building materials, mistakes, or last-minute changes and customizations--all are frequent on DIY projects.

4. Don’t work without a design or blueprint

Even for simple home improvement projects, it’s best to start out with a plan. Having detailed measurements and drawings to refer to will help you avoid costly mistakes. We’ve all felt the temptation to “eyeball it” when working on a project--taking the extra few minutes to measure and refer to your plan will save you time in the long run.

5. Relax and focus on the results

Home improvement projects can be a source of frustration for many families. If you aren’t an expert, it’s easy to get angry when things aren’t going as you planned. If you find yourself frequently hitting a wall-literally or figuratively--step back from the project and refocus on the end goal, improving your home for years to come.




Categories: Uncategorized  


Posted by Century 21 North East - Norton Group RE on 1/15/2017

Many new homeowners are eager to begin renovations on their home to make it fit the beautiful picture they have in their mind. Unfortunately the aesthetic improvements, while important, are often prioritized over important structural and functional repairs that should be made first. The key to making smart financial decisions for renovating your home is to have a good budget and to stick to it. Home improvements are one of the few expenses that people often forget to budget for, alongside car repairs and emergency medical expenses. If done properly, however, a budget will help you prioritize your repairs so you'll spend your time and money wisely. In this article, we'll explain how to budget for home repairs in a way that works for you and your family.

Understanding your money

To budget for home improvements, you first need to budget for other things in your life. Use an app or website like Mint or You Need a Budget to get a better understanding of how you spend your money. For some, budgeting for home improvements may mean cutting back on other spending areas. Fortunately, these apps break down all of your purchases by categories and help you spend less each month.

Ranking your renovations

If you're dying to update the bathroom but the roof needs to be redone, you should call the roofers first. Some home improvements are a ticking time bomb: deteriorating roofs, poor insulation, HVAC issues, water damage, and safety concerns like fire hazards are all problems that need to be addressed first on your budget. Some will save you money, others could save your life, but all of them are more important than adding closet space in your bathroom.

Estimating costs

Do your research when it comes to the the cost of repairs and home improvements. Once you have a ballpark figure, add it into your budgeting app as a new item on your budget. There is a general rule, when budgeting for home repairs, that you should set aside 1% of the cost of your home for maintenance and repairs each year. However, there are many other factors involved in how much it will cost to upkeep your home like the age of the house, the weather in your area, and how well-maintained the home was before you bought it.

Sticking to your budget

Everyone starts with good intentions, but keeping a budget isn't easy. Thankfully, it has been made much more manageable with the help of apps and websites that link right to your bank accounts. To stick to your home repair budget, make sure you sign up for reminders on your spending and progress. If you're keeping a budget the old fashioned way (pen and paper), put reminders on your calendar each month to check if you're spending too much on home repairs. Another key to successful budgeting it to make sure everyone in the house is on the same page. If your significant other plays a role in home repairs, go over your budget together. This will help you keep one another accountable and set priorities that work for everyone.