Is your home a work-in-progress?
Many Australians buy property with a vision of what it will eventually turn into – not necessarily what it looks like upon purchase.
However, ambitions of pulling down a wall here and renovating a room there often fall to the wayside as the years go by.
This is most likely because unexpected expenses creep up that you did not budget for and on top of making your home loan repayments, there is simply nothing left in the kitty.
It is possible however, to bring your renovation dreams to a reality with a slight change in strategy.
1) Change your view of the cost from a ‘want’ to a ‘need’
It is easy to say that there is no room in the bank account for remodelling your bathroom, but what happens when your plumbing suddenly kicks out on you? Somehow that money is found and the world continues to turn.
Of course this does not mean throwing all caution to the wind and spending helter skelter, this means giving yourself a timeline and a strict budgeting plan to get the job done!
And don’t forget that upgrading outdated appliances to more modern and environmentally friendly ones can help to save you money on your monthly bills over the long run.
2) Explore your home equity
Sometimes the answer to the question – how much can I borrow – is related to how much of your mortgage you have already paid off.
Years of making repayments give you a certain degree of lender leverage and could provide just what you need to finally carry out your home renovation objectives.
3) Plan wisely
Now that you have decided to finish the job and have found a way to finance your project, plan well and adhere to your budget so that you don’t get carried away and make a mess of all of the hard work you put towards making your renovation project happen.