- Find a Real Estate Professional
- Realtors®
- Mortgage Lenders
- Home Improvement Pros
- Other Real Estate Services
- Review an Agent, Lender or Pro
- Marketing on Zillow
- Real Estate Agent Advertising
- Join the Professional Directory
- Popular
- Real Estate Market Reports
- More
Answers (5)
Best Answer
- Andrew Walter, "RealEstateByAndrew"
- Contributions:17
You can always do the work yourself. Now obviously, you still need to do the work correctly. I did a kitchen remodel a few years ago for only $1,500. I was able to keep my cabinets and refinish them, add some moldings, granite (tile) counters, porceline tile floors, new dishwasher, sink, faucet, light fixtures and hardware. It added $15,000 of value. It took me a lot longer than a pro would have taken, but it was worth the equity.
- Jessica Boudreaux, "JessicaBoudreaux"
- Contributions:10
Unfortunately, I think most of us owe more than our property is worth. How long do you plan on staying in the home? How long do you or real estate experts in your area think that it will take for the value to increase in your area? These are things I would think about first.
If you plan on being in your home for the next three-five years I would definitely proceed with renovations. It will make you feel better about the space you are living in. Before starting, write a list of everything you would like to do. Then come up with a budget. Next revise your list by highlighting priorities. Proceed on each priority as budget allows.
Places where you can see your resale value increase are kitchens and baths.
If you plan on being in your home for the next three-five years I would definitely proceed with renovations. It will make you feel better about the space you are living in. Before starting, write a list of everything you would like to do. Then come up with a budget. Next revise your list by highlighting priorities. Proceed on each priority as budget allows.
Places where you can see your resale value increase are kitchens and baths.
- Tawny Lynn, "tawnylynn"
- Contributions:211
Will this be a major renovation that will add value to your home? If so, you may be able to do a remodel/construction loan. The reason this may work is because the loan amount will be based on the completed home value not the current value. If you know a good real estate agent you might ask him/her how much more they think your home may be worth after you do the improvements. This will give you a good idea whether financing may be available for your remodel. If you feel the home will appraise for a lot more when the work is completed then talk to some home construction lenders in your area and get some estimates. The key will be the appraisal because you will need to tap into the additional equity for your remodel.
- real estate mike
- Contributions:2001
I halfway agree with M.E. cash only. Don't take on more debt to a losing asset. Unless you have sold comps that show that the remodel will bring you up to par, I would only do the renovation if you have an unlivable circumstance. How far you are "under" on equity and how much cash reserves you have are factors. I would NOT add more debt to this situation, but maybe thats just me. best of luck to you!
- Michael Emery, "MikeEmery"
- Contributions:7298
Cash or credit cards.
Would I use either? No.
You won't be able to get a home equity loan if you are upside down on your mortgage.
This scenario almost sounds akin to putting a new transmission in a Yugo. Probably not a wise idea at this juncture in time.
Would I use either? No.
You won't be able to get a home equity loan if you are upside down on your mortgage.
This scenario almost sounds akin to putting a new transmission in a Yugo. Probably not a wise idea at this juncture in time.
We want to renovate but we owe more than it's worth. What is the best way to finance the renovation?
Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.
We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.