Tag Archives: improvement
Are Unsecured Personal Loans Good For Home Improvements
Many advertisements on the internet and on other media suggest that you can use certain unsecured personal loans for whatever purpose including making home improvements. Have you ever wondered whether personal loans are really such a good tool for undertaking home improvement projects? Here are some thoughts about the issue.
Making home improvements often requires financing but not any financial product will do. It needs to provide certain flexibility that is needed to complete any home improvement project. Unsecured personal loans are really a flexible source of financing. Do they have what is needed to finance a home improvement project?
Loan Amount
Unsecured loans do not carry very high amounts and thus, it really depends on the type of improvements you need to make whether an unsecured loan can provide the needed funds or not. Unsecured personal loans can easily provide funds to finance home improvement projects from a couple of hundred dollars up to tens of thousands.
Home equity loans (secured loans), on the other hand, can reach hundred of thousands dollars that can fund more expensive home improvements projects like rebuilding a property, adding floors to a building, etc. Thus, depending on the kind of project you have in mind you will need a secured loan or you may do fine with an unsecured loan.
Overall Costs
The interest rate of unsecured loans is higher than the rate charged for home equity loans or lines of credit and thus, the amount of money you will spend on interests over the whole life of the loan will increase with the loan amount and with every year of the repayment program.
Thus, unsecured loans can be really expensive for financing home improvement projects if you need funds to finance an expensive project and you want to repay the loan in several installments. Anything longer than 48 months will turn out rather expensive compared with a home equity loan of up to 5 years.
Repayment Programs
Unsecured loans do not have long repayment programs. However, given that almost no one undertaking a home improvement project wants to finance for more than 5 years, truth is that unsecured loans do not present limitations on this matter. An unsecured loan repayment program can last from a couple of months up to five years.
Home equity loans for home improvements, on the other hand can be repaid in up to 15 years. These periods of time are useless for inexpensive home improvement projects but can be very useful for high cost home improvements. So, it definitely depends on the cost of the project whether you will do better with an unsecured loan or with a home equity loan or line of credit.
Approval
There are not many differences between the requirements needed to get an unsecured loan or a secured loan when you are using the money for home improvements because in either case you do own a property. However, the loan approval processes of unsecured loans are faster due to the fact that there is very little paperwork to do.
How the Economy is Impacting the Housing and Home Improvement Industries
With the limitations on mortgage lending, and lack of credit that is available these days, for most families the dream of moving into a bigger home has been put on hold. Homeowners have had to do some quick thinking/ strategizing on how to make their existing home and situation a workable one for the time being. It is not a surprise that they decide to do some work on their home and remodel, refinish or expand. If there is an unfinished basement in the house, this is one of the first places to update because it brings in a high return for the money spent when it comes time to sell the home. Many homeowners, especially up north, decide to turn it into a separate apartment or studio space to rent out. They, many times, do part or all of the work themselves.
If adding more space really isn’t an option, upgrading existing rooms is another way to increase value and make the space more liveable. The kitchen is the room that can be the most expensive to remodel, but at the same time have the biggest impact and save you the most money. The kitchen is the hub of the house. Everyone wants an attractive and comfortable space. In the past looking for affordable cabinets left you disappointed at all the shoddy workmanship and poor quality materials. With ready to assemble(RTA) kitchen cabinets you can save your self some money and still have the quality product you admire. You do not need professional experience to put these together. They come with simple directions and usually only need to use a screwdriver to put together.
. They can be found at the home improvement stores or you can order on line if you feel confident of your measurements and know what you want. Take note that some of these have a very low price because the material that they are using is not the preferred one. Many places make the sides out of particle board when they would last much longer using plywood. So, make sure you are asking the right questions as you look for your best deal.
RTA kitchens have been used for years by construction builders. The manufacturers have added more styles and materials to choose from. The quality can be high and your savings significant. They will offer discounts on package orders and depending on the size of the order can offer you free door to door shipping. Without the worry of spending on labor and installing the cabinets, you can spend the money you save and buy the new appliances that you will need anyway. Remember, the sooner you can complete the remodel, the sooner you will be able to rent it out and start to make a profit. Get going. When you are searching for Cabinets for kitchen, RTA Cabinet Store has what you are looking for. Whether you are homeowner or contractor, the DIY aspect of RTA cabinets makes them a great alternative to high priced cabinets. Go to RTA Cabinet Store.com to save 30-40% on cabinets for kitchen.
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