- March 25, 2019
- Posted by: pinnacle777
- Category: Loans
If you’ve ever watched an episode of The Block you’ll know even the most simple reno’s can end up costing far more than originally expected. Things will break; windows will be delivered 2mm too short, removing walls will reveal extra work required or there will be a range of costs that were never considered in the first place.
Estimating the realistic cost of any renovation, together with careful planning; can go a long way in having a successful on-budget reno.
Once you’ve estimated the realistic cost of your renovation, it will most likely become evident that you will require to borrow money.
This may offer a temptation to use the existing equity in your property (which is the difference between the market valuation of your house and the amount you still owe on the home loan). You might also consider refinancing or redrawing against your current home loan. But if you have 20 years left on your mortgage, you could end up paying more in interest payments than if you took out an additional shorter-term loan, like a construction or personal loan.
Getting the finance right in these situations can sometimes make or break a renovation, not to mention your future financial security. Make sure you talk to Pinnacle Wealth for a FREE No-Obligation phone consult – where you can get all of your questions answered and a solid loan strategy moving forward. Contact Pinnacle Wealth Today – 📞Click Here