Our section on home improvement loans explains the details you need to know before borrowing money to help you pay for a large renovation project. We examine the benefits of taking out a loan as opposed to using savings or getting a second mortgage or entering an equity release scheme. We also look at the different kinds of loan available and the options on offer for people in specific circumstances, such as first time buyers, pensioners and those with bad credit.
Funding your home improvement project
Anyone who is thinking about getting a house extension, or any other large scale home improvement project, needs to make a decision about how to pay for it.
There are a variety of options available, including using your savings, equity release schemes and second mortgages, but many people find that taking out an unsecured personal loan is the best course of action.
Not only is an unsecured loan a less risky borrowing, in that it doesn’t jeopardise your ownership of the property, but these types of loans are also better suited to many home improvement projects in terms of the amounts of money that are available and the typical timescale in which you are expected to make repayments. In Are Home Improvement Loans a Good Idea? we look at the circumstances that are most ideally suited to this kind of borrowing.
Do more with what you’ve got
No matter how much you love your home, there is bound to be something that needs doing to it. Even the most well appointed property could do with a little something extra, whether that is an extension or an improvement on an existing feature. As well as helping to make your house more livable and convenient, a home improvement project can also help to raise the value of your property and make it more appealing to prospective buyers in the future.
Many people consider taking out a home improvement loan because they are thinking of getting a house extension. As a way of making more of your home, and improving on what you have already got, house extensions are the perfect alternative to moving house. You can add an extra room, or enlarge an existing space, and in the process you are almost certain to increase the value of your property. Similarly, conversions of loft and garage spaces are an excellent means of increasing your usable living space and adapting your home so that it better suits your needs.
Other reasons for taking out a home improvement loan could be to update your property, perhaps with a new kitchen or bathroom, or to make it more energy efficient. A new boiler, central heating system or double glazing windows, could all have a huge impact on your home’s energy efficiency, helping to bring it up to date and considerably lower your heating bills in the process. In How Much Can I Borrow for Home Improvement Loans? we look at the kind of deals that are available to borrowers depending on what they need to do to improve their homes.