How to Fund Your Project: HELOC vs. Home Improvement Loan or Other

Source: HomeZada – Repost Fadely 5/10/2023 – 

Making improvements to your home can increase its value, make it more energy-efficient, or just make it more comfortable to live in. However, house improvements can also be very costly. That’s why, if you’re considering making home improvements, one of the most important decisions you’ll need to make is how you’ll fund them.

A home remodel can be financed in a variety of ways. You can borrow money, use your own funds, or do both at once. The option you choose will depend upon your particular situation, so it’s important to understand the pros and cons of each funding method.

Read on to learn about the different ways to fund a home renovation.

HELOCs

You can borrow money using the equity in your home with a HELOC, or home equity line of credit. The equity in your home is the difference between the amount of your mortgage debt and the value of your home.

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