There comes a time in every woman's life (and sometimes a man's) when she wants to give her home a whole new look. This usually happens when money is tight and all you can afford are new pillow covers and a fresh coat of paint.
But are you too quick to give up? You own a home, which means you have the means (the collateral) to make lenders more likely to lend you money if you need it. The best way to get peace, a pipe, and slippers at home may be to get a secured loan to pay for the renovation.
A secured loan is one that you take out based on the value of your home. You may be able to borrow more next time because the renovation may have raised the value of your home, but you'll need to be careful to keep up with the payments.
If you've decided you want a secured loan, the best thing you can do is shop around. Find out what different lenders have to offer and compare them. Try to find one with the lowest APR, or annual percentage rate, because you will usually pay less interest that way. But make sure it isn't for too long, or you might lose the money you saved on the APR.
Better advice: When you apply for a loan, don't go to a lender until you've done your research and have all the information you need at your fingertips. When you're doing your research, if you can, find out how much the loan fees are. This should be added to the total cost of the loan. Lenders won't give you more money than your house is worth, and they may give you much less than you want.
Since the Internet came along, there have been a lot more online businesses, and the business of lending money is no different. Because they have low operating costs, these companies are worth looking into because you might get a better deal.
When you apply for a loan, it might be a good idea to have an idea of how much the home improvement you want to do will cost, since these costs can often go up. Once you've done all of this, you should feel ready to talk to a lender. In six months, you should be sitting in your stylish living room.
