You’ve settled in your new home for more than five years now. At one point, you feel the need to add more rooms, replace the flooring, and upgrade to a more advanced (and energy-efficient) HVAC system. Whatever you’re planning. A home improvement project is a good investment as long as it adds comfort to your family and value for more cash.

Before reaping the benefits of these projects, you will have to shell out a great deal of money. After all, improving your home doesn’t come cheap. You will need to come up with more than just a few hundred dollars to afford the necessary materials, labor, and preparation, especially if it’s a major project that spans months. Here’s an easy guide you can follow for financing any home improvement project you’re looking to complete this year.

1. Come up with a manageable, practical plan

You have the right as a homeowner to start any home improvement project so long as it follows local ordinances and, more importantly, aligns with your current financial situation. Planning an above-ground pool while you’re still struggling to catch up with mortgage payments is anything but wise. Before you start saving up, consider the practicality and manageability of the project. You wouldn’t want to end up making the mistake of financing a renovation that costs more to build than it adds value.

2. Tap your existing equity

If you’ve owned your home for more than five years, it would have gained enough equity for you to qualify for several financing options. With a fixed-rate mortgage, you could use your home’s value gains over the years to pay for major projects.


You can do this by applying for a home equity loan which allows you to borrow money at more manageable repayment schedules and rates. So long as you have a good credit standing, this strategy will provide you with cash you could move around.

3. Apply for a personal loan

Not all homeowners have stellar credit records. If you happen to be one of them, you should know that there are personal loans you can easily apply for without having to deal with extra paperwork and unreasonable repayment terms. It’s only a matter of choosing lenders that offer the loans you qualify for.

For instance, My Canada Payday offers emergency loans in case you need to do major repairs and rehabilitation activities on your property. On the other hand, some lenders offer loans specifically for home improvement. To be sure, always ask for and compare quotes and find out which loans best suit the project.

4. Pay with your credit card

It’s a simple solution to starting a renovation project right away, but using a credit card to finance the work has its merits. For one, you could gain zero-percent interest if you shop for materials in selected stores or brands.


What’s more, appliances and tools needed in a home improvement project could have extended warranties if you pay using your card. So long as you maintain a good credit record and avoid overspending, you can finish a project without exhausting your savings.


No matter how complicated the project you’re handling could get, securing the needed cash should ease up the entire process. So, use these tips and start modifying your home.