It is not unusual for a new homeowner with an eye towards the future to start planning improvements to their home after settling into their new abode. An addition, building a deck, or finishing the basement are all projects that can improve your lifestyle and increase the value of your investment.

You might think that funding such improvements will be a long-term savings project. Many homeowners do not realize that their new home can fund such improvements.

There are home equity programs available that will lend up to 80% or 90% of the home’s value. Of course, the improvements will increase the value of your home, so you may very well end up with a total mortgage which is even less than the value of the home after the projects are complete.

When considering these improvements, it is important to be fully aware of the value each project will add to your home. Some work will have a better rate-of-return in terms of money spent versus value created. Of course, the most important aspect of this decision is to improve the way the home fits your lifestyle.

My next communication will address the issue of value-added to your home via home improvements. In the meantime, if you would like to talk about funding these projects with a home equity loan–please do not hesitate to give me a ring.