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Should You Remortgage to Do Up Your Home?

If your house is in need of some love and you are desperate to give it a proper makeover, you will need a substantial sum of money to get exactly what you want. Where a lick of paint and a new carpet can freshen any room up, when you are looking at knocking down walls and putting up an addition, you need to think long term. 

While putting money away and saving over a long period of time is certainly one way to get what you want, this method will probably take years. On the other hand, you could approach a mortgage lender like https://altrua.ca and remortgage your house. This might set you back in terms of borrowing but it will free up the cash you need to make the changes you want. 

So, what are the pros and cons of this route?

Why You Should Remortgage

Remortgaging allows you to borrow against the value of your home and with the right changes, the value could go up once you have completed your project. So, if you were to remortgage and free up $20,000 for an addition which adds $25,000 to the value of your house, you would have a good deal. 

Remortgaging your home is often a lot cheaper than taking out a personal loan and you may find a better deal while you’re at it too. Make sure that you shop around and stay within your comfort zone for borrowing. 

Image Credit: Pixabay CC0 Licence 

Why You Shouldn’t Remortgage

While some changes can make a significant difference to your home, ultimately, you have to make sure that you are still getting value for money. If it is likely that even after altering your house you will need to move, there isn’t much sense in going through all the hassle unless you are going to make a substantial profit on your efforts. 

People often read about house flipping and assume that it is a great way to make money. However, the reality of house flipping is that you need to have a lot of skills to be able to achieve the standards you need to profit without investing too heavily. So, before you start spending large sums, think carefully about where you are adding value and whether there could be another option.

Sell Up and Move On

Sometimes, doing up a property simply won’t change enough for you. In this case, there are a few interior design tricks that are cheap, cheerful and take very little effort that will genuinely help sell your home faster. This way, you won’t need to take out a larger mortgage and you can focus on putting your money into a property that will genuinely fulfill your needs. 

If you are looking at a lot of work and not a great deal of gain, it will probably be a lot easier to pack up and move on instead. This way, you can put your potential buying power into a property that is already done and settle into your new life in a hassle-free way.

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