Fund Your Home Improvement Project with Your Equity
Source: Informa Research Services
(07/09/2010) Summer’s here and while the temperature continues to climb, the national average rate on home equity loans continues to drop. According to Informa Research Services, the national average on a home equity line of credit (HELOC) fell to just 4.96% (Source: Interest Rate Review). For some homeowners, summer may be the perfect time to work on minor home improvements to increase the value of their home.
Improvements such as painting a room, reconditioning the floors, or redoing your landscaping can make your property more aesthetically appealing and add value to your home (Source: MSN Real Estate). Other improvements, such as updating your windows, can actually save you money in the long run. According to Victor Gonzales Maertens, an energy efficiency expert with Lennox Industries, “…upgrading old single-pane windows with new Energy Star-qualified windows can save an average of between $126 and $465 per year on energy bills, and some new windows qualify for the federal tax credit."
To get the most out of your renovations, be sure to shop around for the best prices. Likewise, you should also shop around for the best rate on your home equity loan or line as well. Like many other things you may shop for, the best rates are found online on sites such as ERATE.com. On ERATE.com, you can quickly look at home equity offers from various lenders in your area. Furthermore, you can quickly sort and search for the one that is the best fit for you.
When tapping into your home equity, remember that like any other loan, a home equity loan or line of credit will need to be paid back in time. Be conscientious of the cost of your project and remember to be responsible when managing your debt.
